Studio City Reports Strong 2025 Financial Recovery, Reduces Net Loss
Summary
Studio City reported a strong financial rebound in 2025 with increased revenues and reduced net losses, driven by improved mass market gaming and non-gaming operations, despite the rejection of a key tax exemption.
Key Events
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Strong Revenue Growth
Total operating revenues increased by 8.7% to $694.6 million in 2025, up from $639.1 million in 2024, primarily due to improved mass market operations and higher non-gaming revenues.
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Reduced Net Loss
Net loss attributable to Studio City International Holdings Limited decreased significantly to $58.8 million in 2025, compared to $96.7 million in 2024, indicating a positive trend in financial performance.
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Improved Operating Income and EBITDA
Operating income rose to $70.0 million in 2025 from $38.1 million in 2024, and Adjusted EBITDA increased by 16% to $284.5 million, reflecting enhanced operational efficiency and business activity.
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Macau Tax Exemption Rejected
The application for a Macau Complementary Tax exemption for 2023-2032 was rejected in September 2024, which will result in increased tax expenses and impact future profitability.
Analysis
Studio City International Holdings Ltd. reported a significant financial recovery for the fiscal year ended December 31, 2025, with total operating revenues increasing by 8.7% to $694.6 million and net loss attributable to the company decreasing from $96.7 million in 2024 to $58.8 million in 2025. This improvement was primarily driven by better performance in mass market gaming operations and higher non-gaming revenues. Operating income also saw a substantial rise to $70.0 million from $38.1 million in the prior year, and Adjusted EBITDA grew by 16% to $284.5 million. However, the company's application for a Macau Complementary Tax exemption for 2023-2032 was rejected in September 2024, which will negatively impact future profitability. The company also changed its auditor to Deloitte & Touche LLP in Singapore on June 7, 2024, a move aimed at addressing Holding Foreign Companies Accountable Act (HFCAA) concerns.
At the time of this filing, MSC was trading at $3.00 on NYSE in the Real Estate & Construction sector, with a market capitalization of approximately $632.1M. The 52-week trading range was $2.30 to $6.63. This filing was assessed with positive market sentiment and an importance score of 7 out of 10.