Studio City Reports Strong Q1 2026 Results, Returns to Profitability with Increased Revenue and EBITDA
Summary
Studio City International Holdings Ltd announced strong first quarter 2026 results, achieving a net income of $2.9 million compared to a net loss of $16.0 million in the prior year, driven by increased revenues and Adjusted EBITDA.
Key Events
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Return to Profitability
The company reported a net income attributable to Studio City International Holdings Limited of US$2.9 million (US$0.02 per ADS) for Q1 2026, a significant improvement from a net loss of US$16.0 million (US$0.08 per ADS) in Q1 2025.
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Revenue Growth
Total operating revenues increased by 9.2% to US$176.7 million in Q1 2026, up from US$161.7 million in Q1 2025, primarily due to better mass market operations and higher non-gaming revenues.
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Strong Operational Performance
Adjusted EBITDA rose by 14.4% to US$80.0 million in Q1 2026, compared to US$69.9 million in Q1 2025, reflecting improved operational efficiency and revenue generation.
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Debt Reduction
Total debt, net of unamortized deferred financing costs, decreased slightly to US$2.01 billion as of March 31, 2026, from US$2.02 billion at December 31, 2025.
Analysis
Studio City International Holdings Ltd reported a significant turnaround in its first quarter 2026 financial performance, moving from a net loss to a net profit. This positive shift was driven by robust growth in total operating revenues, which increased by 9.2% year-over-year, and a substantial improvement in operating income and Adjusted EBITDA. The company attributed the enhanced performance primarily to better mass market operations and higher non-gaming revenues. This strong operational execution and return to profitability are key indicators for investors, demonstrating the company's recovery and growth trajectory in the Macau market. The slight reduction in total net debt also signals prudent financial management.
At the time of this filing, MSC was trading at $2.30 on NYSE in the Real Estate & Construction sector, with a market capitalization of approximately $484.7M. The 52-week trading range was $2.10 to $6.63. This filing was assessed with positive market sentiment and an importance score of 8 out of 10.