Studio City International Holdings Limited, a subsidiary of Melco Resorts & Entertainment Limited, released its unaudited financial results for the quarter ended December 31 2025. The resort posted operating revenues of US$160.3 million, up 5.2 % from US$152.9 million in the same period a year earlier, driven by stronger mass‑market table‑game activity and higher non‑gaming income.
Gross gaming revenue rose to US$342.7 million, a 6.8 % increase from US$321.8 million in Q4 2024. Operating income climbed to US$7.8 million from US$3.1 million a year earlier, reflecting a higher casino contract revenue of US$69.0 million and an improved gaming‑machine handle of US$935.8 million. The resort’s win rate for the quarter was 3.0 %, compared with 3.3 % in Q4 2024, indicating a modest decline in the casino’s profitability per dollar of handle.
Adjusted EBITDA for the quarter was US$60.2 million, up from US$56.7 million in Q4 2024, while the net loss attributable to Studio City International was US$20.5 million, a reduction from US$27.7 million a year earlier. The company’s revenue estimate for the quarter was US$1,310.0 million, so the actual operating revenue of US$160.3 million represents a significant miss relative to expectations. The EPS estimate of US$0.12 was not met, as the resort reported a net loss rather than a positive earnings per share.
The results underscore the resort’s continued focus on mass‑market gaming and ancillary services, which have helped lift operating revenue and operating income. However, the persistent net loss and the large gap between actual revenue and analyst estimates highlight ongoing challenges, including high interest expense on the company’s US$2.02 billion debt balance and the need for continued cost discipline. While the resort’s gross gaming revenue and operating income improved year over year, the decline in win rate and the net loss suggest that the company remains under pressure to convert increased handle into profitability.
The unaudited Q4 2025 results provide a snapshot of Studio City’s operational performance and financial health. Investors will likely focus on the company’s ability to manage its debt load, improve win rates, and translate higher revenue into positive earnings in future periods. The results also signal that, despite a rebound in Macau’s tourism market, Studio City still faces headwinds that could affect its long‑term profitability.
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