Macau's prominent casino operator, MGM China Holdings Ltd, has reported impressive financial results for the third quarter of 2025. The company recorded net revenue of approximately HKD8.51 billion (US$1.10 billion), marking a 17.4% increase from the previous year.
Furthermore, adjusted earnings before interest, taxation, depreciation, and amortization (EBITDA) saw a 19.6% rise, reaching HKD2.37 billion. Both revenue and EBITDA figures are "record highs for a third quarter," as indicated in the company’s press release and selected unaudited financial data filed with the Hong Kong Stock Exchange.
MGM China's adjusted EBITDA margin improved slightly to 27.9% from 27.4% despite the backdrop of a "mass-focused business and continuous improvement in operational efficiency." The company's visitor numbers showed a healthy surge of around 17% year-on-year at its flagship properties, MGM Macau and MGM Cotai. In terms of gross gaming revenue (GGR), daily figures, including slot machine earnings, grew 20%, while mass GGR increased by 17%.
Individual Property Performance and Market Position
Breaking down the performance by property, MGM Cotai registered revenue of HKD5.12 billion for Q3 2025, a 21.5% increase year-on-year. Its adjusted EBITDA rose by 23.3% to HKD1.46 billion. Meanwhile, MGM Macau's revenue reached HKD3.39 billion, reflecting an 11.7% rise, with adjusted EBITDA increasing by 13.7% to HKD914.4 million.
As of September 30, MGM China boasted total liquidity of around HKD22.3 billion. This robust liquidity comprises cash, equivalents, and an undrawn revolving credit facility. Concurrently, MGM China experienced a market share rise to 15.5%, up from 14.8% a year earlier.
MGM Cotai's market share stood at 9.4%, while MGM Macau achieved a 6.1% share. The company anticipates October to be one of its strongest months, with Golden Week holiday boosting visitation by 11% and total win by 20%. President of MGM China, Kenneth Feng Xiaofeng, expressed confidence in the firm's ongoing property transformations at MGM Cotai, converting 160 hotel rooms into 60 luxurious suites to meet customer demands. The aim is to solidify its "mid-teens market share in Macau."
Strategic Moves and Future Outlook
On the strategic front, MGM China is advancing renovations to include "additional high-end gaming areas" at MGM Cotai. The CEO of MGM Resorts International, Bill Hornbuckle, during a conference call, affirmed the company's "positive momentum" driven by the high-end gaming sector bolstered by the recent launch of the Alpha gaming club at MGM Macau. The Alpha club features nearly 30 gaming tables, a dedicated restaurant, and a cigar lounge, positioned below the newly designed Alpha Villas.
Looking beyond Macau, MGM is making significant strides towards the 2030 completion of MGM Osaka, Japan's first integrated resort, which is projected to deliver high returns as a singular offering in a nation with a population surpassing 120 million. Mr. Hornbuckle mentioned the group's successful securing of a "US$300-million yen-denominated credit facility" at favorable rates to support the Japanese project.
Despite facing operational challenges such as a typhoon-related closure in September impacting revenues by about US$12 million, MGM remains proactively engaged in enhancing shareholder value through strategic investments and market adaptations.
Analysts from JP Morgan and Jefferies Hong Kong noted MGM's shifting focus towards premium customers amidst "rational competition" within the Macau market. Overall, MGM China remains committed to expanding its high-end offerings and capitalizing on its strategic developments to maintain its substantial market position.
Source: MGM China 3Q year-on-year revenue jump of 17pct, EBITDA up 20pct, GGRAsia, October 3, 2025.
Posted by Wizard
Oct 31 2025
Oct 31 2025
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