Melco Crown 2Q results show year-on-year decrease in net revenue

Melco Crown Entertainment Limited yesterday reported its unaudited financial results for the second quarter of 2014.
Net revenue for the second quarter of 2014 was USD1,199.5 million, representing a decrease of approximately 7% from US$1,295.0 million for the comparable period in 2013. The decline in net revenue was primarily attributable to lower group-wide rolling chip revenues, partially offset by improved mass market table games revenues.
Adjusted property EBITDA was US$313.6 million for the second quarter of 2014, as compared to Adjusted property EBITDA of US$350.8 million in the second quarter of 2013. According to a statement issued by Melco Crown, the 11% year-over-year decline in Adjusted property EBITDA was attributable to lower group-wide rolling chip volumes and rolling chip win rate, partially offset by growth in the mass market table games segment.
Lawrence Ho, co-chairman and chief executive officer of Melco Crown Entertainment, commented, “In the second quarter of 2014 we delivered solid underlying financial performance, driven primarily by our mass market table games business at City of Dreams where revenues increased approximately 38% on a year-
over-year basis.”
The CEO added that City of Dreams Manila is due to open later this year, and Studio City, Melco’s second large-scale resort in Cotai, “remains on track to open in mid-2015, representing the next standalone integrated property to open in Macau, delivering an entertainment proposition not yet available in the region.”