Key Moments:
- Operating revenues for Q3 2025 rose by 11.4% year-on-year to US$1.31 billion
- Macau and Cyprus properties led the group’s growth, with Macau’s City of Dreams posting a 19% year-on-year GGR increase
- Net income grew to $62 million, up from $13 million a year earlier
Q3 2025 Financial Highlights
Melco Resorts & Entertainment reported an 11.4% year-on-year increase in operating revenues, reaching US$1.31 billion for the third quarter of 2025. This momentum was driven mainly by Macau’s casino segment and improved performance in Cyprus, signaling ongoing recovery despite operational headwinds.
| Metric | Q3 2025 | Year-on-Year Change |
|---|---|---|
| Total Operating Revenue | $1.31 billion | +11.4% |
| Gaming Revenue | $1.06 billion | +12.4% |
| Non-Gaming Revenue | $248 million | +7.5% |
| Adjusted EBITDA | $352 million | +16.3% |
| Net Income | $62 million | from $13 million |
While yearly comparisons show strong gains, total revenues decreased from the previous quarter, affected in part by a 33-hour shutdown at Macau resorts due to Typhoon Ragasa. Adjusted EBITDA advanced 16.3% year-on-year to $352 million. Net income improved significantly to $62 million, compared to $13 million in the prior year.
Macau Remains the Core Growth Engine
The City of Dreams in Macau saw gross gaming revenue expand 19% year-on-year to $732 million, though this figure declined 5% relative to the previous quarter. Gains were recorded across all gaming segments. VIP gross gaming revenue grew 57% year-on-year to $206 million, mass-market GGR increased 9% to $494 million, and slots GGR also climbed 9% to $33 million. Adjusted EBITDA at City of Dreams rose 27% year-on-year to $207 million, but slipped 8% from the prior quarter.
Studio City, also in Macau, reflected similar year-on-year growth patterns. Macau’s aggregated gross gaming revenue reached $344 million, a 3% increase over the prior year. The mass-market segment rose 12% year-on-year to $312 million, while slot machine revenues advanced 14% to $32 million. However, growth was tempered by a shortage of VIP gaming tables. Studio City posted a 13% year-on-year increase in adjusted EBITDA to $113 million.
Performance Review: Philippines and Cyprus
At City of Dreams Manila, results were mixed. Total gross gaming revenue dropped 9% year-on-year to $125 million, but gained 12% quarter-on-quarter. Despite a 5% decline year-on-year, VIP play recovered robustly from the previous quarter, up 59% to $23 million. Both mass-market and slots revenues fell by 8% and 12% year-on-year, respectively.
City of Dreams Mediterranean in Cyprus reported strong momentum during the quarter. Total GGR grew 35% year-on-year and 14% sequentially, totaling $78 million. There was no VIP play this quarter, compared with losses previously reported. Mass GGR jumped 43% year-on-year to $41 million, while slots revenue increased 26% to $36 million. Adjusted EBITDA rose sharply to $23 million.
Other Businesses and Strategic Initiatives
Melco’s other divisions, including management services at City of Dreams Sri Lanka, which began operations in August 2025, generated $6.1 million in total operating revenues for the quarter, along with an adjusted EBITDA loss of $600,000.
Lawrence Ho, Melco’s Chairman and CEO, stated, “Macau properties reported solid growth, with property EBITDA up 21 percent year-over-year. He added that stable margins reflect the strength of Melco’s core business, together with strong operational discipline. During the quarter, the company introduced new gaming areas and facilities intended to provide differentiated experiences for its patrons. Melco is going to continue this upward trajectory by further innovating to raise customer engagement.”
Property EBITDA improved 45% quarter-on-quarter in the Philippines. Cyprus marked its strongest quarter since launch with property EBITDA rising 53% year-on-year.
Outlook for 2025
The third quarter has underscored Melco’s resilience and the continuing rebound in critical markets. With Macau as the primary source of growth and renewed momentum in Cyprus, management continues to focus on enhancing customer experiences, optimizing cost structures, and investing in new gaming offerings. Despite adverse weather conditions and competitive pressures, Melco aims to sustain recovery and maximize returns throughout the remainder of fiscal 2025.
- Author
Daniel Williams
