Melco Resorts & Entertainment Limited reported third‑quarter 2025 results that surpassed analyst expectations, with total operating revenue rising 11% year‑over‑year to US$1.31 billion and operating income climbing to US$184.5 million from US$138.6 million a year earlier. Adjusted Property EBITDA reached US$380.4 million versus US$322.6 million in Q3 2024, while net income attributable to Melco was US$74.7 million, or US$0.19 per ADS, up from US$27.3 million (US$0.06 per ADS) in the same quarter last year.
The revenue increase was driven by robust performance across Melco’s core markets. Macau’s property EBITDA grew 21% year‑over‑year, reflecting higher gaming volumes and premium pricing. The Philippines segment posted a 45% quarter‑over‑quarter jump in EBITDA, supported by the launch of new gaming areas and a surge in non‑gaming revenue from the refreshed House of Dancing Water show. In Cyprus, City of Dreams Mediterranean reported a 53% year‑over‑year rise in EBITDA, buoyed by increased visitor spend and expanded entertainment offerings.
Margin expansion was a key theme. Operating income margin expanded from 11.7% to 14.1%, while EBITDA margin grew from 27.3% to 29.0%. The improvement stems from a combination of pricing power in high‑margin gaming and non‑gaming segments and disciplined cost management, which offset the capital outlays associated with new gaming facilities and show upgrades.
Melco’s earnings per share of US$0.19 per ADS beat the consensus estimate of US$0.11, a surprise of $0.08 or 72% above expectations. The beat is attributable to the strong mix shift toward higher‑margin non‑gaming revenue, the successful reopening of the House of Dancing Water show, and effective cost controls that kept operating expenses in line with revenue growth. The discrepancy in reported EPS figures across sources is clarified by the company’s own disclosure of US$0.19 per ADS.
Investors reacted positively to the results, citing the revenue beat, margin expansion, and strong regional performance in Macau, the Philippines, and Cyprus as key drivers of confidence in Melco’s premium‑experience strategy. The company did not provide forward guidance, leaving the market to interpret the results as a sign of continued operational strength.
The absence of guidance suggests management is monitoring market conditions closely while maintaining confidence in its cost discipline and pricing strategy. The company’s focus on enhancing customer experience through new gaming areas and entertainment shows positions it to sustain growth in a competitive integrated resort market.
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