CLAIMS TO FAME
- One of only two operators with multiple properties on Macau’s Cotai Strip
- Opened Europe’s first true integrated resort in Cyprus in 2023 and Sri Lanka’s first in 2025
Never one to sit idly and let time slip by, Melco Resorts & Entertainment Chairman and CEO Lawrence Ho continues on his epic quest to globalize his casino empire.
In August, Melco launched its latest international foray, City of Dreams Sri Lanka – part of the impressive Cinnamon Life resort built by local developer John Keells Holdings in Colombo.
City of Dreams Sri Lanka represents a modest US$125 million investment by Melco, which will operate the casino under a 20-year license agreement plus the 113-room luxury NÜWA hotel brand. The jury is out on whether the property can lure the wealthy Indian customers it is targeting, but at least it’s not a make-or-break deal.
Melco, which in recent years has made a big play for Japan and briefly poked its nose into Australian waters, has also been active in Thailand. Having previously announced a strategic collaboration with Thailand’s National Soft Power Strategy Committee (THACCA) aimed at positioning the Southeast Asian nation as a global hub of soft power excellence, the company opened a Bangkok office in January and was one of three global operators to take part in the Thailand Entertainment Complex Roundtable in June.
Like in Japan, political uncertainty appears to have put Melco’s Thailand dreams on hold for the foreseeable future.
Closer to home the company is looking to offload its 50% stake in City of Dreams Manila, likely seeing better growth opportunities elsewhere and an opportunity to pay down some of the substantial debt it accrued during the pandemic.
Macau, however, remains Melco’s home base, and here it is enjoying a strong resurgence at both its long-time flagship City of Dreams and the long under-performing but rapidly improving Studio City. A repositioning of Studio City as a solely mass and premium mass property, with all VIP now housed at City of Dreams, appears to be working for both IRs.
In a clear nod to the company’s recent progress, ratings agency Moody’s outlined in September its expectation that Melco will reduce its operating leverage from around 6.7x as of 30 June 2025 to around 5.4x in 2026 thanks to a continued increase in its revenues and profits. Studio City, of which Melco owns a little over 50%, is also seen reducing its leverage ratio from 8.1x to 6.2x with revenues forecast to continue rising over the next 12 months.
Melco comfortably beat forecasts in the June 2025 quarter, reporting a 14.5% year-on-year increase in total operating revenues to US$1.33 billion and a 16.2% rise in gaming revenues to US$1.10 billion.
In Macau’s increasingly competitive gaming environment, it’s certainly enough to keep the big boys in Sands China and Galaxy Entertainment Group on their toes.
For the full list of 2025 Asian Gaming Power 50 winners, click here.
