Melco Resorts & Entertainment set the tone for its Macau operations during the latest earnings call: "stable". The management clearly stated that despite fierce market competition, the company will not significantly increase investment in gambling projects to compete for market share. In plain terms, they are not aiming for aggressive growth, but rather stability. In the fourth quarter of 2025, the flagship project City of Dreams performed brilliantly, with operating income soaring from $88.53 million to $151 million, and VIP room GGR increased by 36%. However, another project, Studio City, saw moderate growth, while Altira Macau fell into loss. Want to understand the latest property-level performance analysis of Macau's gambling giants? PASA official website continues to track industry financial reports and strategic trends.
First, Market Judgment: Stable without risk, but no increase
President Evan Andrew Winkler admitted at the earnings call, "From the fourth quarter to the first quarter, we did not see an upgrade in the level of gambling project expenditure." He believes that under the current competitive situation, the company's business has no short-term downside risk, but also no upward momentum. Chairman Lawrence Ho added that the intensity of competition will remain the same throughout the year, but he feels "comfortable" with the current profit margin levels.
Second, City of Dreams: Soaring performance, 'The House of Dancing Water' drives non-gambling consumption
In the fourth quarter of 2025, City of Dreams saw significant growth in several key indicators:
Operating income: $151 million (4Q24 was $88.53 million), +70.5%
Adjusted property EBITDA: $194 million (4Q24 was $140 million), +38.4%
Total GGR: $764 million, +14%
VIP room GGR: $200 million, +36% (slight increase in turnover by 1%, win rate rose to 3.18%)
Main floor GGR: $539 million, +10% (table drop increased by 14%, win rate decreased to 31%)
Slot machine GGR: $25 million, -22%
After the relaunch of the flagship show 'The House of Dancing Water', there was a significant increase in property visitation. Lawrence Ho revealed, "During and after the show, non-gambling consumption significantly increased, and the main floor table drop also recorded a considerable increase." Winkler added, although only a few spectators directly converted into gamblers, each show brought thousands of exposures to the property, driving consumption in dining and other areas.
In 2026, City of Dreams will gradually open the renovated Countdown Hotel and upgrade the retail and dining facilities.
Third, Studio City: Moderate growth, no VIP business
Another project, Studio City, performed steadily in the fourth quarter:
Operating income: $29.56 million (4Q24 was $23.02 million), +28.4%
Adjusted property EBITDA: $86.59 million (4Q24 was $81.24 million), +6.6%
Total GGR: $343 million, +7%
Main floor GGR: $314 million, +10% (table drop increased by 4%, win rate rose to 33.7%)
Slot machine GGR: $28 million, -3%
This project does not have a VIP room, and its revenue comes entirely from the main floor and slot machines.
Fourth, Other Properties: Increased losses at Altira Macau, contraction in Mocha operations
Altira Macau: Operating loss of $6.3 million (4Q24 loss was $2.5 million), GGR declined by 9% to $29 million, main floor GGR plummeted by 16%. Last September, the group closed the satellite casino "Golden Dragon Casino" and terminated the operations of Mocha Golden Dragon and Mocha Royal Hotel.
Equipment relocation: 15 gaming tables from Golden Dragon were transferred to Studio City, 90 to City of Dreams; from the closed Mocha outlets, 108 gaming machines were moved to Studio City, 137 to City of Dreams, and 100 to Altira Macau.
Mocha slot machines: Operating income dropped to $20 million (4Q24 was $29.3 million), EBITDA dropped to $4.4 million, betting volume decreased by 8.8%.
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This article is from "PASA-Global iGaming Leaders" gambling industry news channel: https://t.me/pasa_news
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