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Studio City reports significant Q3 2023 revenue growth following easing of restrictions

EditorPollock Mondal
Published 11/07/2023, 08:59 AM
© Reuters.
MSC
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Studio City International Holdings Limited (NYSE:MSC) recently reported a remarkable increase in its Q3 2023 unaudited financial results, with total operating revenues reaching $137.6 million, a significant leap from a negative $2.8 million reported in Q3 2022. This impressive turnaround is credited to the easing of COVID-19 restrictions in Macau and the commencement of Studio City Phase 2, which led to increased revenues from both casino contracts and non-gaming activities.

Studio City Casino reported gross gaming revenues of $256.3 million for Q3 2023, a substantial surge from the $20.6 million reported in Q3 2022. The casino's rolling chip volume also showed notable growth, standing at $713.6 million in Q3 2023, compared to $42.1 million in Q3 2022. However, the rolling chip win rate saw a decrease to 1.78% in Q3 2023 from 4.18% in Q3 2022.

The company reported a surge in mass market table games drop to $809.1 million in Q3 2023 from $61.9 million in Q3 2022. The gaming machine handle also saw significant growth, reaching $673.9 million in Q3 2023 from $98.2 million in Q3 2022.

Revenue from casino contracts, net of gaming taxes and operational costs deducted by Melco Resorts (Macau) Limited, the operator of Studio City Casino, was reported at $48.6 million for Q3 2023, a significant improvement from negative $18.2 million for Q3 2022.

Non-gaming revenues at Studio City for Q3 2023 amounted to $89.0 million, up from $15.4 million for Q3 2022. Operating income for the same period was reported at $3.2 million, a significant improvement from an operating loss of $72.5 million in Q3 2022.

Studio City's Adjusted EBITDA stood at $56.3 million in Q3 2023, compared with negative Adjusted EBITDA of $39.5 million in Q3 2022. The net loss attributable to Studio City International Holdings Limited for Q3 2023 was reported at $28.4 million, showing an improvement from a net loss of $85.2 million in Q3 2022.

As of September 30, 2023, the company's total cash and bank balances aggregated to $293.1 million, and the total debt at the end of Q3 2023 stood at $2.43 billion. The capital expenditures for the third quarter were reported at $14.8 million.

Total net non-operating expenses for Q3 2023 were reported at $34.3 million, including interest expenses of $36.4 million offset by interest income of $2.8 million. Depreciation and amortization costs for Q3 2023 were reported at $45.4 million, which included a $0.8 million expense for the land use right.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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