Understanding the Market | MGM CHINA plummeted over 8% after earnings, with mid-term profit attributable to owners decreasing by 11.3% year-on-year, and a dividend of HKD 0.313 per share
MGM China plummeted 12% after its earnings report, and as of the time of writing, it fell 7.22% to HKD 16.07, with a trading volume of HKD 61.2665 million. In terms of news, MGM China announced its interim results, with operating revenue of approximately HKD 16.661 billion, a year-on-year increase of 2.73%; the profit attributable to the company's owners for the period was HKD 2.383 billion, a year-on-year decrease of 11.25%; basic earnings per share were HKD 0.628, and the interim dividend was HKD 0.313 per share. The decrease in net profit was due to rising operating costs and expenses, as well as an increase in net foreign exchange losses from dollar-denominated preferred notes. Dongxing Securities International previously pointed out that the parent company's gaming enterprises have new properties gradually coming into operation (such as Galaxy Entertainment's Andaz and Sands China's Londoner Phase II), leading to intensified industry competition, with many gaming companies increasing their rebate ratios. We estimate that Sands China's rebate ratio for Q2 2025 increased by 0.4 percentage points to 21.5%, while MGM China's rebate ratio for Q2 2025 increased by 1.8 percentage points to 22.4%
According to Zhitong Finance APP, MGM China (02282) plummeted 12% after its earnings report, and as of the time of writing, it has dropped 7.22% to HKD 16.07, with a transaction volume of HKD 61.2665 million.
In terms of news, MGM China announced its interim results, with operating revenue of approximately HKD 16.661 billion, a year-on-year increase of 2.73%; the profit attributable to shareholders for the period was HKD 2.383 billion, a year-on-year decrease of 11.25%; basic earnings per share were HKD 0.628, and the interim dividend was HKD 0.313 per share. The decrease in net profit was due to rising operating costs and expenses, as well as an increase in net foreign exchange losses from dollar-denominated senior notes.
Dongxing Securities International previously pointed out that the parent company's gaming enterprises have new properties gradually coming into operation (such as Galaxy Entertainment's Andaz and Sands China's Londoner Phase II), leading to intensified industry competition, with many gaming companies increasing their rebate ratios. We estimate that Sands China's rebate ratio for Q2 2025 increased by 0.4 percentage points to 21.5%, while MGM China's rebate ratio for Q2 2025 increased by 1.8 percentage points to 22.4%
