Asia round-up: Melco Resorts 2021 revenue down, Landing International up and more

Melco announces Q4 and FY 2021 results

Asia News Round Up MACAU Web Image

Melco Resorts & Entertainment has reported its unaudited financial results for Q4 and the full year ended December 31.  

Total operating revenue was down 9% year-on-year, with $480.6m taken at the end of 2021, down $47.4m on 2020.  

Melco attributes this downturn in revenue to softer performances in its rolling chip segment. 

Yet operating loss was not as extensive in Q4, with a setback of $104.4m significantly less than $144.8m in Q4 of 2020.  

What’s more, Melco generated adjusted property EBITDA of $94m in Q4 2021, a greater uptake than the $53.4m generated in the same period of 2020.  

And net loss for Q4 was at $159.9m, down from losses of $199.7m in the fourth quarter of 2020.  

Melco has also posted its net losses from non-controlling assets, which is at $30m for Q4 of 2021, down $5.1m on Q4 of 2020. Melco notes these losses were associated with its land-based outlets, including Studio City, City of Dreams Manila and the Cyprus Operations.   

Chairman and CEO Lawrence Ho said: “Covid-related travel restrictions continued to impact our fourth quarter operating and financial performance. We have maintained strong cost discipline under these challenging times and are pleased to see improving EBITDA profitability across each of our geographies this quarter. We are confident that our customers will return in numbers once restrictions are eased. 

“We are pleased to see Macau’s vaccination rate now at over 80% and, to play our part, Melco’s employee vaccination rate in Macau has reached 95%. We hope that increasing vaccination rates can facilitate an easing of travel restrictions within the Greater Bay Area. 

“In Europe, the City of Dreams Mediterranean integrated resort project is on track for completion in the second half of 2022.” 

“Covid-related travel restrictions continued to impact our fourth quarter operating and financial performance. We have maintained strong cost discipline under these challenging times and are pleased to see improving EBITDA profitability across each of our geographies this quarter. We are confident that our customers will return in numbers once restrictions are eased. Mr. Lawrence Ho, Melco Chairman and CEO

Macau February revenue up 6% to HK$7.76bn 

Macau's February 2022 gross gaming revenue was up 6% from the same period last year.  

Casino revenue totalled HK$7.76bn ($992m), a 22% increase on January, in which takings reached a meager HK$6.34bn. 

Despite this significant improvement on the previous month, accumulated revenue still sits at a variance of -8% from the same period in 2021. This is a vast improvement on January's year-on-year variance, though, which slumped to -20.9% from the same period in January 2021.  

Although these short-term gains are encouraging, Macau is still a far cry from its pre-Covid-19 international dominance. Last month, we spoke about Macau's struggles up against a resurgent Las Vegas and these struggles remain in place, for the most part. 

But February does present budding green shoots of hope for a full Macanese recovery, particularly as the region remains locked under stringent Covid measures. Yesterday, Ho lat Seng refuted calls to end social distancing measures in Macau's current climate, dashing hopes of a significant economic recovery next month. 

Landing International estimates 70% FY revenue increases 

Landing International is expected to record an increase in consolidated revenue of 70% for the year ended 31 December 2021.  

In addition, consolidated net loss is anticipated to decrease between 40%-60% for the year ended 2021.

Landing notes its significant profit gains and decrease in consolidated net loss is attributable to greater domestic consumption in Jeju Shinhwa World, and an increase in residential property sales activities. Furthermore, Landing International notes a decrease in operating expenses as a result of stringent cost controls, and an increase in fair value of investment properties has also contributed to an upturn in financial fortunes. 

In other news, a financial watchdog is taking two Crown Resorts casinos to Australia’s Federal Court over alleged violations of anti-money laundering and counter-terrorism financing laws.

Missed a big gambling industry story in Asia? Don't worry, Gambling Insider has you covered with our Asia round-up.

Industry News Sponsor
Premium+ Connections
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
 
Premium
 
Premium
 
Premium
 
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium Connections
Executive Profiles
Interblock
Caesars Entertainment
Pragmatic Play
Flutter Entertainment

Global Gaming Awards London: Who will win Executive of the year 2023?

Gambling Insider takes a look at the nominations list for 20...

CEO Special: Flutter International CEO Dan Taylor returning to roots

Flutter International CEO Dan Taylor meets Louis Thompsett t...

CEO Special: Light & Wonder Gaming CEO Siobhan Lane - optimising superpowers

Siobhan Lane, Light & Wonder Gaming CEO, speaks to Gambling...

CEO Special: Hoiana Resorts' Steve Wolstenholme – the travel man

Hoiana President & CEO Steve Wolstenholme talks to Gambling...

Read Magazine