Melco Resorts and Entertainment has reported a growth in its adjusted EBITDA figures as published in its interim results for the six months ended 30 June 2019, despite what the company has described as ‘ongoing challenges in the global economy.’
As the group continues to focus upon its international expansion Cyprus, Japan and Macau all continue to be areas of focus for Melco, with further plans for expansion across Australia and the UK.
Lawrence Ho, Group Chairman and Chief Executive Officer of Melco International, said, “Melco Group always strives to be a pioneer by delivering world-class premium offerings that go beyond gaming. We are delighted the Group continues to achieve milestones as it continues its global expansion strategy in the first half of 2019.
“In Macau, Morpheus, our iconic flagship hotel for City of Dreams in Macau, has become an instant global architectural icon, receiving numerous international recognitions and awards since its opening in June 2018. This signals global recognition for our dedication to excellence and further strengthens the Group’s position as a leading integrated resort operator globally.
“To better cater to our target market segments, the Group is overseeing exciting developments across our properties that will further boost our competitiveness to offer differentiated and premium services to our guests.”
Despite a growth in EBITDA figures, Melco has reported that profits for the six month period have slipped slightly by 4.2% to HK$1.0bn, while net revenues reached HK$22.4bn.
City of Dreams, Melco Resorts’ flagship integrated resort in Macau, is currently undergoing an extensive renovation as part of its Phase 3 development, while renovation of its Nüwa property is expected to begin in the coming months.
With operations across Macau, the Philippines and Cyprus, Melco has also announced its agreement to acquire a 19.99% stake in Crown from CPH Crown Holdings Pty Limited in May 2019.
Ho continued: “Moving forward, the completion of City of Dreams Phase 3 will be a key focus, and we will continue to undertake a series of property upgrades at Studio City.
“Internationally, we remain bullish on our exposure to an expanding network of global operations and business development opportunities beyond Macau. For Cyprus, the launch of Cyprus Casinos (“C2”), including the temporary casino and satellite casinos, has received favourable responses since they opened.
“With the strong support from the Cypriot government and positive word of mouth by patrons in the region, we anticipate a continued uptick in customer growth and are confident that the project will further position us as a leader in the global market.
“In May 2019, our subsidiary Melco Resorts announced its agreement to acquire a 19.99% stake in Crown Resorts Limited (“Crown”) from CPH Crown Holdings Pty Limited. The Group believes the strategic acquisition will expand its business presence into two new markets, Australia and the United Kingdom.
“Japan remains to be our core focus and we are very dedicated to becoming an international integrated resort operator in the country. In the past few months, we have released designs of our proposed Osaka integrated resort and participated in the Yokohama’s Request for Information and Osaka’s Request for Concept.
“With our focus on the Asian premium segment, high quality assets and dedication to world-class entertainment offerings, we believe the Group is in a strong position to be a partner to Japan’s journey in its integrated resort development with unique Japanese touch.”