• About Us
  • The Team
  • Advertise with Us

The latest news on the gaming industry in Asia

() () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () () ()
  • Home
  • Macau
  • Philippines
  • Singapore
  • Japan
  • Rest of Asia
  • World
  • Industry Talk
  • Trends & Tech
  • iGaming
  • follow
    • Facebook
    • Twitter
    • RSS Feed
    • LinkedIn

Melco Resorts 3Q loss widens sequentially to US233mln

Nov 09, 2021 Newsdesk Latest News, Macau, Philippines, Top of the deck  


Melco Resorts 3Q loss widens sequentially to US233mln

Casino operator Melco Resorts and Entertainment Ltd posted a net loss of US$233.2 million for the three months to September 30, compared to a loss of US$185.7 million for the second quarter of 2021. But the result was an improvement on the US$331.6-million loss recorded a year earlier, according to a Tuesday filing to Nasdaq.

The firm meanwhile confirmed it would no longer be vying for a casino resort in Japan. “We have discontinued our pursuit of an integrated resort development in Japan and will close our offices there in the coming months,” the release quoted company chairman and chief executive Lawrence Ho Yau Lung as saying.

Melco Resorts runs gaming operations in Macau; in Manila, in the Philippines; and in the Republic of Cyprus.

The company’s aggregate operating revenues for the third quarter of 2021 were US$446.4 million, more than double the result achieved in the prior-year period. Such revenue was however down 21.2 percent sequentially.

Melco Resorts reported group-wide adjusted property earnings before interest, taxation, depreciation and amortisation (EBITDA) of US$31.9 million in the third quarter of 2021, a decline of 59.7 percent from the previous quarter, but an improvement on the negative adjusted property EBITDA of US$76.7 million in the prior-year period.

“In Macau, Melco Resorts’ operations have been impacted by on-and-off travel restrictions and quarantine requirements as imposed by the governments of Macau, Hong Kong, and mainland China in response to isolated [Covid-19] cases,” said the firm. It made reference in particular to stricter Covid-19-related restrictions iimplemented in Macau in early August and September following a number of new infection cases in the city.

Commenting on Melco Resorts’ latest set of results, brokerage Sanford C. Bernstein Ltd noted that “despite third quarter’s Covid impact on Macau visitation and temporary closure of its Philippine casino, the casino firm “managed to achieve EBITDA positive in all its operating regions.”

In the Philippines, City of Dreams Manilla operated at limited capacity since the beginning of the quarter until August 5, when Manila was put into lockdown due to a surge in Covid-19 cases. On September 17, the property reopened operations with capacity limited at 50 percent, said Melco Resorts.

In their note, Sanford Bernstein analysts Vitaly Umansky, Louis Li and Kelsey Zhu said that the casino operator’s Macau gross gaming revenue (GGR) was US$402 million, up 170 percent year-on-year, but down 28 percent sequentially. Melco Resorts’ GGR market share in the third quarter was 17.1 percent versus 17.6 percent in the prior three months, they added.

Tuesday’s filing quoted Melco Resorts’ Mr Ho as saying the firm was continuing to “enforce strong cost control discipline in respect to both operating expenses and capital expenditures” to preserve cash and liquidity amid the challenges linked to the Covid-19 pandemic.

The executive added that works were ongoing for the second phase of Melco Resorts’ majority-owned Studio City casino resort (pictured in a file photo) in Macau. “The construction of Studio City Phase 2 is progressing on track for completion before December 27, 2022,” he said.

The firm is hosting on Monday (November 15) a “topping out ceremony” for the second phase of the casino property.

Mr Ho also confirmed that the development of City of Dreams Mediterranean in Cyprus was “on track” to open in the second half of 2022.

Melco Resorts’ capital expenditures for the third quarter were US$221.3 million, primarily related to the construction projects at Studio City Phase 2 and City of Dreams Mediterranean.

City of Dreams Manila also commenced operating online gaming in the third quarter, the firm said. That included live-dealer table games from August 10 and slot machines from September 15, it stated. “Such online gaming offerings are only available to registered patrons of City of Dreams Manila inside the Philippines,” according to Melco Resorts’ filing.


  • tweet
Related articles
  • Pagcor says 35pct of revenue owed from POGOs ‘resolved’
    Pagcor says 35pct of revenue owed from...

    Jun 27, 2022  

  • Blackstone clinches US$6.15bln takeover of Crown Resorts
    Blackstone clinches US$6.15bln takeover...

    Jun 24, 2022  

More news
  • LVS full recovery may take until 2024: Moody’s
    LVS full recovery may take until 2024:...

    Jun 29, 2022  

  • Satellite casino ops still to Dec 31 at Casa Real, Grandview
    Satellite casino ops still to Dec 31 at...

    Jun 29, 2022  


Latest News

LVS full recovery may take until 2024: Moody’s

LVS full recovery may take until 2024: Moody’s

Jun 29, 2022  

The liquidity of casino group Las Vegas Sands Corp is “strong”, with over US$6.4 billion of consolidated cash and nearly US$3.5 billion of undrawn revolving credit facility capacity, said a...
Read More
Satellite casino ops still to Dec 31 at Casa Real, Grandview

Satellite casino ops still to Dec 31 at Casa Real,

Jun 29, 2022  

Macau Legend US$152mln loss, eyes Macau ops after 2022

Macau Legend US$152mln loss, eyes Macau ops after 2022

Jun 29, 2022  

Sign up to our FREE Newsletter

UB8V5.qr.16(Click here for more)

Pick of the Day

"There is still no clarity about when border easing for Macau will occur. In the end these changes are needed to see a rebound for Macau business"

Vitaly Umansky, Louis Li and Shirley Yang

Analysts at brokerage Sanford C. Bernstein



Most Popular

  • SJM to make 2nd of pledged staff subsidy payments for 2022SJM to make 2nd of pledged staff subsidy payments for 2022 June 27, 2022
  • Covid-19 test certificate to enter Macau casinosCovid-19 test certificate to enter Macau casinos June 27, 2022
  • Parisian quarantine hotel as Macau Covid cases near 360Parisian quarantine hotel as Macau Covid cases near 360 June 27, 2022
  • MGM China gets deal for use of MGM brands renewedMGM China gets deal for use of MGM brands renewed June 27, 2022
  • Moody’s confirms SJM Holdings’ ratings, negative outlookMoody’s confirms SJM Holdings’ ratings, negative… June 27, 2022
Copyright 2014-2022 TEAM Publishing and Consultancy Ltd / All rights reserved
  • Code of Ethics
  • Privacy Policy
  • Useful Links
  • Contact Us