Melco Resorts and Entertainment Reports Strong Numbers

Melco Resorts and Entertainment has published its 2019 Q4 and the full year report and the company is still committed to expand across Asia and Europe.

The revenue for the fourth quarter of 2019 grew three per cent to $1.45bn ($1.41bn in 2018). This growth is attributed to better performance in the mass market table games segment.

As the full-year growth goes, revenue went from $5.19bn to $5.74bn, which is a 10.6 per cent rise, due to aforementioned table games performance.

Melco, which recently delayed its Crown Stake Acquisition, is proud of its developments in Cyprus, as the construction of its Studio City entity continues. The firm has acquired 75 per cent interest in ICR Cyprus Holdings Limited, from its parent company, Melco International Development.

The company currently operates one temporary and three satellite casinos, and a fourth one is scheduled to open in the coming months. The construction of Melco’s $550m City of Dreams Mediterranean, is still underway.

Major Growth

As far as Melco’s Cyprus Casinos go, the revenue grew 58.3 per cent to $24.7m from $15.6m and the adjusted EBITDA is significantly increasing from $8.6m to $2.3m.

Commenting on the company’s Japanese progression, Lawrence Ho, chairman and CEO of Melco said: “Japan continues to be a core focus for us. In September 2019, we announced our ‘Yokohama First’ policy as we focus our Japan team on bringing to Yokohama the best IR the world has ever seen. In December 2019, we submitted our response for the Yokohama RFC.”

“We believe our focus on the Asian segment, a portfolio of high-quality assets, devotion to craftsmanship, dedication to world-class entertainment offerings, market-leading social safeguard systems, established track record of successful partnerships, culture of exceptional guest service, and commitment to employee development puts Melco in a strong position to help Yokohama realise the vision of developing a world-leading IR with a unique, Japanese touch.”

However, the operating income across the group decreased 15 per cent during Q4 to $173.4m from $203.3m but the full-year results grew 22 per cent from $613.4m to $747.7m.

Adjusted EBITDA also fell during the quarter to $409.8m, a four per cent drop from $427.5m, with FY figures growing 13.4 per cent from $1.49bn to $1.69bn.

Maintaining Sustainability

Ho went on to say that Melco continues to prioritize sustainability in its operations. In March 2019, Melco became the first and only hospitality group and integrated resort signatory of New Plastics Economy Global Commitment, a global initiative to tackle plastic waste and pollution, led by the Ellen McArthur Foundation in collaboration with the UN Environment.

“Melco continues to prioritise sustainability in its operations. In March 2019, Melco became the first and only hospitality group and integrated resort signatory of the New Plastics Economy Global Commitment, a global initiative to tackle plastic waste and pollution, led by the Ellen MacArthur Foundation in collaboration with the UN Environment.”

“In December 2019, Melco became the first integrated resort and hotel operator in the Macau SAR and Hong Kong SAR to receive ISO 41001:2018 for its efforts in facilities management systems (FMS). Melco has also attained ISO 50001:2018 for effective energy management systems (EnMS) and was recognised by global environmental disclosure system CDP as one of China’s leading companies in sustainability,” added Ho.

Source:

“Melco 19Q4 results boosted by mass”, agbrief.com, February 21, 2020