Melco International remains confident in prospects amid narrowed losses

Melco International Development Limited, the parent company of Macau’s Melco Resorts & Entertainment, has achieved net revenues of HKD17.77 billion in the first half of the year, marking a 36.3% increase from HKD13.04 billion during the same period in 2023. This growth is largely due to the ongoing recovery in inbound tourism to Macau, which has positively impacted the company’s casino and hospitality operations.

The group generated Adjusted EBITDA of HKD4.49 billion for the first half of 2024, up from HKD3.20 billion in the same period last year. Although the company recorded a loss of HKD0.44 billion, this was an improvement compared to a loss of HKD1.40 billion in 2023.

The Board has opted not to recommend an interim dividend for this period.

Lawrence Ho, group chairman and CEO, stated, “The business improvement momentum has continued, driven by strategic initiatives aimed at expanding revenue streams, enhancing profitability, and fostering sustainable growth.”

Significant investments in workforce and property enhancements were noted, including the June 2024 launch of Studio City Cinema, which features the first Dolby Cinema in Macau and Hong Kong.

In the Philippines, City of Dreams Manila has shown solid performance, while City of Dreams Mediterranean in Cyprus has implemented substantial property upgrades.

Melco also announced a strategic partnership with John Keells Holdings PLC to develop City of Dreams Sri Lanka, an integrated resort designed for a capital-light investment “with an appealing return profile.”

“Looking ahead, the group remains confident in its long-term prospects across regions, while standing ready to navigate near-term uncertainties and challenges in a prudent and agile manner,” said Ho.

Melco International holds a 51.69% ownership stake in Melco Resorts.