Melco Resorts & Entertainment reported a stirring performance for the first quarter of 2026. The group's total revenue jumped by 10.9% to $1.37 billion, with net profits soaring from $32.5 million in the same period last year to $76.8 million, an increase of 136.2%. Adjusted property EBITDA also climbed by 11.7% to $381 million. Founder, Chairman, and CEO Lawrence Ho summarized the financial report as "solid growth across the board" during the earnings call. From the flagship resort in Macau to the Manila casino, and the newly opened project in Sri Lanka, all revenue streams recorded positive growth, though the profit engine's speed and an unexpected slowdown in Cyprus painted a mixed picture on the report card.
Macau's Triple Engine: Studio City GGR Surges by 47%
The Macau operations were the core fuel for this quarter's explosive profits. The entire Macau segment's property EBITDA rose by about 12% to $334 million, with an EBITDA profit margin improving to about 28%.
City of Dreams Macau maintained its flagship status with $734.6 million in revenue and $214.4 million in adjusted EBITDA. Total gaming revenue increased by 11% to $813 million, with both mass tables and slots performing strongly. VIP business remained stable compared to the same period last year and showed a sequential improvement. Studio City contributed $392 million in revenue and $111.7 million in adjusted EBITDA, with total gaming revenue also increasing by 11% to $373 million. The mass hold percentage was a high 36.9%, and slot GGR jumped by 24% to $41 million.
The most eye-catching was Altira Macau, the smallest property on the Macau Peninsula. Despite its limited scale, it recorded the group's largest growth rate this quarter, with total gaming revenue skyrocketing by 47% to $41 million, and adjusted EBITDA returning to a positive $4.1 million.
Manila Rebound and Pressure in Cyprus
The Philippine market also released clear recovery signals. City of Dreams Manila's adjusted EBITDA rose by 24.3% to $37.4 million year-over-year, with rolling chip volume expanding from $351.9 million in the same period last year to $460.1 million, and the win rate significantly increasing from 2.98% to 5.18%. VIP gaming revenue soared by 128% to $24 million, driving overall gaming revenue up by 9% to $119 million, although mass GGR dropped year-over-year but showed sequential improvement. Lawrence Ho noted during the call that despite intensified competition and ongoing industry headwinds, the Manila property still delivered a robust performance.
The report card for Cyprus revealed the immediate transmission effect of geopolitical shocks. The Mediterranean City of Dreams and its satellite casinos, although revenue increased by 11.6% to $65.3 million, adjusted EBITDA shrank from $11.6 million in the same period last year to $9 million. Ho attributed this to the impact of the Middle Eastern conflict that erupted in late February on tourist flows, stating that the group is closely monitoring developments and maintaining operational flexibility to await the recovery of tourist demand. The Sri Lanka project, which opened in August last year, contributed $14.3 million in revenue and about $0.3 million in adjusted EBITDA, still in the early ramp-up stage.
$500 Million Buyback and $236 Million Liquidity Reserve
The group's gaming operations accounted for $1.15 billion of total revenue, with rooms, food and beverage, entertainment, and retail contributing $108.5 million, $65.8 million, and $42.1 million respectively. As of the end of March, Melco Resorts held $1.07 billion in cash and bank deposits, total debt of $6.67 billion, available liquidity of about $2.36 billion, and capital expenditures for the quarter were $73.6 million. The company also announced a new $500 million share buyback plan, adding to the approximately $210 million in buyback capacity still unused, signaling management's confidence in its balance sheet and cash flow. Lawrence Ho did not provide formal guidance for the full year but mentioned that with costs remaining stable and early signs of improved occupancy and player quality during the May Day holiday, the group is cautiously optimistic about the outlook for the second quarter.
PASA Official Website continues to track the financial dynamics and regional market trends of Asia-Pacific and global integrated resort giants, noting Melco Resorts' overall rise in Macau this quarter and the strong rebound in the Philippines' VIP business, collectively depicting the most synchronized profit recovery in the Asia-Pacific gaming market post-pandemic.
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