Studio City International Holdings Limited Announces Unaudited First Quarter 2026 Earnings
Rhea-AI Summary
Studio City (NYSE: MSC) reported unaudited Q1 2026 results: total operating revenues of US$176.7 million and Adjusted EBITDA of US$80.0 million. Operating income was US$28.0 million and net income attributable to Studio City was US$2.9 million (US$0.02 per ADS).
Casino contract revenue was US$87.0 million; Studio City Casino GGR was US$373.5 million. Cash and bank balances were US$87.0 million and total debt, net was US$2.01 billion as of March 31, 2026.
AI-generated analysis. Not financial advice.
Positive
- Adjusted EBITDA US$80.0M for Q1 2026 (vs US$69.9M)
- Net income US$2.9M in Q1 2026 (vs loss US$16.0M)
- Operating income US$28.0M in Q1 2026
- Casino contract revenue US$87.0M in Q1 2026
Negative
- Cash and bank balances down to US$87.0M as of Mar 31, 2026
- Total debt, net remains US$2.01B as of Mar 31, 2026
- Interest expense of US$30.0M recorded in Q1 2026
- Adjusted EBITDA differs by US$31.7M from Melco Resorts' presentation
News Market Reaction – MSC
On the day this news was published, MSC declined 2.89%, reflecting a moderate negative market reaction. This price movement removed approximately $12M from the company's valuation, bringing the market cap to $404.44M at that time. Trading volume was very high at 4.6x the daily average, suggesting heavy selling pressure.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
MSC was down 3.97% while key peers showed mixed moves: GDEN -0.17%, BALY -0.92%, MLCO -1.26%, PENN -0.94%, and MCRI up 1.42%. Momentum scanner only flagged HGV up 4.03%, reinforcing a stock-specific reaction rather than a broad Resorts & Casinos move.
Previous Earnings Reports
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Feb 12 | Q4 2025 earnings | Positive | +0.6% | Improved Q4 and full-year 2025 revenues and Adjusted EBITDA despite net loss. |
| Nov 06 | Q3 2025 earnings | Positive | -9.3% | Higher revenues and Adjusted EBITDA with narrower net loss but sharp price drop. |
| Jul 31 | Q2 2025 earnings | Positive | +0.2% | Strong YoY revenue and EBITDA growth plus improved operating income and net loss. |
| May 08 | Q1 2025 earnings | Positive | +12.3% | Higher revenues and EBITDA with strategic shift to mass and premium mass. |
| Mar 21 | 2024 annual report | Neutral | -4.3% | Annual 20-F filing and report availability without new operating surprises. |
Earnings and related filings have produced mixed reactions: modest gains on some improving quarters but sharp selloffs on others, including a notable decline after strong Q3 2025 results.
Over the past year, Studio City has steadily improved operating performance across quarters. Q2 and Q3 2025 delivered higher operating revenues, rising Adjusted EBITDA and narrowing net losses, while Q4 2025 showed full-year revenue of US$694.6M and Adjusted EBITDA of US$284.5M, though still loss-making. Earlier Q1 2025 earnings lifted the stock 12.33%. Today’s Q1 2026 update extends this trajectory with higher revenues, stronger Adjusted EBITDA and a swing to net income, against a backdrop of substantial but slightly reduced debt.
Historical Comparison
In the past year, MSC’s earnings-related headlines produced small average moves of about -0.08%, with reactions ranging from a 12.33% jump to a 9.25% drop, underscoring volatile but often muted net responses.
Earnings releases from Q1–Q4 2025 showed rising revenues, strengthening Adjusted EBITDA and narrowing net losses. Q1 2026 continues this trend, with higher contract and non-gaming revenues and a shift from a US$16.0M net loss in Q1 2025 to US$2.9M net income.
Market Pulse Summary
This announcement reports continued operational improvement at Studio City. Q1 2026 total operating revenues rose to US$176.7M, Studio City Casino gross gaming revenues reached US$373.5M, and Adjusted EBITDA increased to US$80.0M, supporting a shift to US$2.9M in net income. At the same time, cash balances declined to US$87.0M while net debt remained high at US$2.01B. Investors may watch future quarters for sustained profitability, debt reduction and trends in mass-market gaming performance.
Key Terms
adjusted ebitda financial
gross gaming revenues financial
mass market table games financial
gaming machine handle financial
hold percentage financial
senior secured credit facility financial
AI-generated analysis. Not financial advice.
MACAU, April 30, 2026 (GLOBE NEWSWIRE) -- Studio City International Holdings Limited (NYSE: MSC) (“Studio City” or the “Company”), a world-class integrated resort located in Cotai, Macau, today reported its unaudited financial results for the first quarter of 2026.
Total operating revenues for the first quarter of 2026 were US
Studio City Casino generated gross gaming revenues of US
Mass market table games drop was US
Gaming machine handle for the first quarter of 2026 was US
Revenue from casino contract was US
Total gaming taxes and the costs incurred in connection with the on-going operation of the Studio City Casino deducted from gross gaming revenues were US
Total non-gaming revenues at Studio City for the first quarter of 2026 were US
Operating income for the first quarter of 2026 was US
Studio City’s Adjusted EBITDA(1) was US
Net income attributable to Studio City International Holdings Limited for the first quarter of 2026 was US
Other Factors Affecting Earnings
Total net non-operating expenses for the first quarter of 2026 were US
Depreciation and amortization costs of US
Adjusted EBITDA for Studio City for the three months ended March 31, 2026 referred to in the earnings release of Melco Resorts & Entertainment Limited (“Melco Resorts”) dated April 30, 2026 (“Melco Resorts’ Earnings Release”) was US
Financial Position and Capital Expenditures
Total cash and bank balances as of March 31, 2026 aggregated to US
Capital expenditures for the first quarter of 2026 were US
Safe Harbor Statement
This press release contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. Studio City International Holdings Limited (the “Company”) may also make forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the “SEC”), in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about the Company’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties, and a number of factors could cause actual results to differ materially from those contained in any forward-looking statement. These factors include, but are not limited to, (i) changes in the gaming market and visitations in Macau, (ii) local and global economic conditions, (iii) capital and credit market volatility, (iv) our anticipated growth strategies, (v) risks associated with the implementation of the amended Macau gaming law by the Macau government, (vi) gaming authority and other governmental approvals and regulations, and (vii) our future business development, results of operations and financial condition. In some cases, forward-looking statements can be identified by words or phrases such as “may,” “will,” “expect,” “anticipate,” “target,” “aim,” “estimate,” “intend,” “plan,” “believe,” “potential,” “continue,” “is/are likely to” or other similar expressions. Further information regarding these and other risks, uncertainties or factors is included in the Company’s filings with the SEC. All information provided in this press release is as of the date of this press release, and the Company undertakes no duty to update such information, except as required under applicable law.
Non-GAAP Financial Measures
- "Adjusted EBITDA" is defined as net income/loss before interest, taxes, depreciation, amortization, pre-opening costs, property charges and other and other non-operating income and expenses. Adjusted EBITDA, which is a non-GAAP financial measure, is presented as supplemental disclosure because management believes it is widely used to measure the performance, and as a basis for valuation, of gaming companies. Management uses Adjusted EBITDA to measure our operating performance and to compare our operating performance with those of our competitors.
The Company also presents Adjusted EBITDA because it is used by some investors as a way to measure a company’s ability to incur and service debt, make capital expenditures, and meet working capital requirements. Gaming companies have historically reported similar measures as supplements to financial measures in accordance with generally accepted accounting principles, in particular, U.S. GAAP or International Financial Reporting Standards. However, Adjusted EBITDA should not be considered as an alternative to operating income/loss as an indicator of the Company’s performance, as an alternative to cash flows from operating activities as a measure of liquidity, or as an alternative to any other measure determined in accordance with U.S. GAAP. Unlike net income/loss, Adjusted EBITDA does not include depreciation and amortization or interest expense and, therefore, do not reflect current or future capital expenditures or the cost of capital. The Company recognizes these limitations and uses Adjusted EBITDA as only one of several comparative tools, together with U.S. GAAP measurements, to assist in the evaluation of operating performance.
Such U.S. GAAP measurements include operating income/loss, net income/loss, cash flows from operations and cash flow data. The Company has significant uses of cash flows, including capital expenditures, interest payments, debt principal repayments, taxes and other recurring and nonrecurring charges, which are not reflected in Adjusted EBITDA. Also, the Company’s calculation of Adjusted EBITDA may be different from the calculation methods used by other companies and, therefore, comparability may be limited. The use of Adjusted EBITDA has material limitations as an analytical tool, as Adjusted EBITDA does not include all items that impact our net income/loss. Investors are encouraged to review the reconciliation of the historical non-GAAP financial measure to its most directly comparable GAAP financial measure. Reconciliations of Adjusted EBITDA with the most comparable financial measures calculated and presented in accordance with U.S. GAAP are provided herein immediately following the financial statements included in this press release. - “Adjusted net income/loss” is net income/loss before pre-opening costs and property charges and other, net of participation interest and taxes. Adjusted net income/loss, which is a non-GAAP financial measure, is presented as supplemental disclosure because management believes it provides useful information to investors and others in understanding and evaluating our performance, in addition to income/loss computed in accordance with U.S. GAAP. Adjusted net income/loss may be different from the calculation methods used by other companies and, therefore, comparability may be limited. Reconciliations of adjusted net income/loss attributable to Studio City International Holdings Limited with the most comparable financial measures calculated and presented in accordance with U.S. GAAP are provided herein immediately following the financial statements included in this press release.
About Studio City International Holdings Limited
The Company, with its American depositary shares listed on the New York Stock Exchange (NYSE: MSC), is a world-class integrated resort located in Cotai, Macau. For more information about the Company, please visit www.studiocity-macau.com.
The Company is majority owned by Melco Resorts & Entertainment Limited, a company with its American depositary shares listed on the Nasdaq Global Select Market (Nasdaq: MLCO).
For the investment community, please contact:
Jeanny Kim
Senior Vice President, Group Treasurer
Tel: +852 2598 3698
Email: jeannykim@melco-resorts.com
For media enquiries, please contact:
Chimmy Leung
Executive Director, Corporate Communications
Tel: +852 3151 3765
Email: chimmyleung@melco-resorts.com
| Studio City International Holdings Limited and Subsidiaries | |||||||
| Condensed Consolidated Statements of Operations (Unaudited) | |||||||
| (In thousands, except share and per share data) | |||||||
| Three Months Ended | |||||||
| March 31, | |||||||
| 2026 | 2025 | ||||||
| Operating revenues: | |||||||
| Revenue from casino contract | $ | 86,968 | $ | 75,920 | |||
| Rooms | 43,600 | 41,236 | |||||
| Food and beverage | 21,342 | 22,751 | |||||
| Entertainment | 3,364 | 2,964 | |||||
| Services fee | 15,112 | 13,358 | |||||
| Mall | 5,029 | 4,461 | |||||
| Retail and other | 1,309 | 1,030 | |||||
| Total operating revenues | 176,724 | 161,720 | |||||
| Operating costs and expenses: | |||||||
| Costs related to casino contract | (8,452 | ) | (9,021 | ) | |||
| Rooms | (15,287 | ) | (14,772 | ) | |||
| Food and beverage | (19,750 | ) | (20,134 | ) | |||
| Entertainment | (5,120 | ) | (5,006 | ) | |||
| Mall | (2,063 | ) | (1,833 | ) | |||
| Retail and other | (559 | ) | (571 | ) | |||
| General and administrative | (45,455 | ) | (40,472 | ) | |||
| Pre-opening costs | (1 | ) | (155 | ) | |||
| Amortization of land use right | (826 | ) | (831 | ) | |||
| Depreciation and amortization | (50,972 | ) | (51,649 | ) | |||
| Property charges and other | (202 | ) | (2,006 | ) | |||
| Total operating costs and expenses | (148,687 | ) | (146,450 | ) | |||
| Operating income | 28,037 | 15,270 | |||||
| Non-operating income (expenses): | |||||||
| Interest income | 166 | 274 | |||||
| Interest expense | (30,049 | ) | (32,478 | ) | |||
| Other financing costs | (416 | ) | (573 | ) | |||
| Foreign exchange gains, net | 8,442 | 1,971 | |||||
| Total non-operating expenses, net | (21,857 | ) | (30,806 | ) | |||
| Income (loss) before income tax | 6,180 | (15,536 | ) | ||||
| Income tax expense | (3,053 | ) | (1,940 | ) | |||
| Net income (loss) | 3,127 | (17,476 | ) | ||||
| Net (income) loss attributable to participation interest | (270 | ) | 1,503 | ||||
| Net income (loss) attributable to Studio City International Holdings Limited | $ | 2,857 | $ | (15,973 | ) | ||
| Net income (loss) attributable to Studio City International Holdings Limited per Class A ordinary share: | |||||||
| Basic and diluted | $ | 0.004 | $ | (0.021 | ) | ||
| Net income (loss) attributable to Studio City International Holdings Limited per ADS: | |||||||
| Basic and diluted | $ | 0.015 | $ | (0.083 | ) | ||
| Weighted average Class A ordinary shares outstanding used in net income (loss) attributable to Studio City International Holdings Limited per Class A ordinary share calculation: | |||||||
| Basic and diluted | 770,352,700 | 770,352,700 | |||||
| Studio City International Holdings Limited and Subsidiaries | |||||||
| Condensed Consolidated Balance Sheets (Unaudited) | |||||||
| (In thousands, except share and per share data) | |||||||
| March 31, | December 31, | ||||||
| 2026 | 2025 | ||||||
| ASSETS | |||||||
| Current assets: | |||||||
| Cash and cash equivalents | $ | 86,844 | $ | 109,401 | |||
| Accounts receivable, net | 1,518 | 1,887 | |||||
| Receivables from affiliated companies | 858 | 735 | |||||
| Inventories | 8,362 | 8,727 | |||||
| Prepaid expenses and other current assets | 11,720 | 10,740 | |||||
| Total current assets | 109,302 | 131,490 | |||||
| Property and equipment, net | 2,425,238 | 2,485,029 | |||||
| Long-term prepayments, deposits and other assets | 65,763 | 69,141 | |||||
| Restricted cash | 129 | 130 | |||||
| Operating lease right-of-use assets | 11,479 | 11,571 | |||||
| Land use right, net | 97,549 | 99,073 | |||||
| Total assets | $ | 2,709,460 | $ | 2,796,434 | |||
| LIABILITIES, SHAREHOLDERS’ EQUITY AND | |||||||
| PARTICIPATION INTEREST | |||||||
| Current liabilities: | |||||||
| Accounts payable | $ | 3,623 | $ | 6,401 | |||
| Accrued expenses and other current liabilities | 56,399 | 91,438 | |||||
| Income tax payable | 18,205 | 15,257 | |||||
| Current portion of long-term debt, net | 348,735 | - | |||||
| Payables to affiliated companies | 45,568 | 66,946 | |||||
| Total current liabilities | 472,530 | 180,042 | |||||
| Long-term debt, net | 1,666,008 | 2,024,569 | |||||
| Other long-term liabilities | 8,238 | 6,290 | |||||
| Deferred tax liabilities, net | 56 | 60 | |||||
| Operating lease liabilities, non-current | 12,245 | 12,095 | |||||
| Total liabilities | 2,159,077 | 2,223,056 | |||||
| Shareholders’ equity and participation interest: | |||||||
| Class A ordinary shares, par value | 77 | 77 | |||||
| Class B ordinary shares, par value | 7 | 7 | |||||
| Additional paid-in capital | 2,477,359 | 2,477,359 | |||||
| Accumulated other comprehensive (losses) income | (23,257 | ) | 618 | ||||
| Accumulated losses | (1,951,317 | ) | (1,954,174 | ) | |||
| Total shareholders’ equity | 502,869 | 523,887 | |||||
| Participation interest | 47,514 | 49,491 | |||||
| Total shareholders’ equity and participation interest | 550,383 | 573,378 | |||||
| Total liabilities, shareholders’ equity and participation interest | $ | 2,709,460 | $ | 2,796,434 | |||
| Studio City International Holdings Limited and Subsidiaries | |||||||
| Reconciliation of Net Income (Loss) Attributable to Studio City International Holdings Limited to | |||||||
| Adjusted Net Income (Loss) Attributable to Studio City International Holdings Limited (Unaudited) | |||||||
| (In thousands, except share and per share data) | |||||||
| Three Months Ended | |||||||
| March 31, | |||||||
| 2026 | 2025 | ||||||
| Net income (loss) attributable to Studio City International Holdings Limited | $ | 2,857 | $ | (15,973 | ) | ||
| Pre-opening costs | 1 | 155 | |||||
| Property charges and other | 202 | 2,006 | |||||
| Income tax impact on adjustments | (4 | ) | (239 | ) | |||
| Participation interest impact on adjustments | (17 | ) | (165 | ) | |||
| Adjusted net income (loss) attributable to Studio City International Holdings Limited | $ | 3,039 | $ | (14,216 | ) | ||
| Adjusted net income (loss) attributable to Studio City International Holdings Limited per Class A ordinary share: | |||||||
| Basic and diluted | $ | 0.004 | $ | (0.018 | ) | ||
| Adjusted net income (loss) attributable to Studio City International Holdings Limited per ADS: | |||||||
| Basic and diluted | $ | 0.016 | $ | (0.074 | ) | ||
| Weighted average Class A ordinary shares outstanding used in adjusted net income (loss) attributable to Studio City International Holdings Limited per Class A ordinary share calculation: | |||||||
| Basic and diluted | 770,352,700 | 770,352,700 | |||||
| Studio City International Holdings Limited and Subsidiaries | |||||
| Reconciliation of Operating Income to Adjusted EBITDA (Unaudited) | |||||
| (In thousands) | |||||
| Three Months Ended | |||||
| March 31, | |||||
| 2026 | 2025 | ||||
| Operating income | $ | 28,037 | $ | 15,270 | |
| Pre-opening costs | 1 | 155 | |||
| Depreciation and amortization | 51,798 | 52,480 | |||
| Property charges and other | 202 | 2,006 | |||
| Adjusted EBITDA | $ | 80,038 | $ | 69,911 | |
| Studio City International Holdings Limited and Subsidiaries | ||||||
| Reconciliation of Net Income (Loss) Attributable to Studio City International Holdings Limited | ||||||
| to Adjusted EBITDA (Unaudited) | ||||||
| (In thousands) | ||||||
| Three Months Ended | ||||||
| March 31, | ||||||
| 2026 | 2025 | |||||
| Net income (loss) attributable to Studio City International Holdings Limited | $ | 2,857 | $ | (15,973 | ) | |
| Net income (loss) attributable to participation interest | 270 | (1,503 | ) | |||
| Net income (loss) | 3,127 | (17,476 | ) | |||
| Income tax expense | 3,053 | 1,940 | ||||
| Interest and other non-operating expenses, net | 21,857 | 30,806 | ||||
| Depreciation and amortization | 51,798 | 52,480 | ||||
| Property charges and other | 202 | 2,006 | ||||
| Pre-opening costs | 1 | 155 | ||||
| Adjusted EBITDA | $ | 80,038 | $ | 69,911 | ||
| Studio City International Holdings Limited and Subsidiaries | ||||||||
| Supplemental Data Schedule | ||||||||
| Three Months Ended | ||||||||
| March 31, | ||||||||
| 2026 | 2025 | |||||||
| Room Statistics: | ||||||||
| Average daily rate (3) | $ | 179 | $ | 169 | ||||
| Occupancy per available room | 98 | % | 99 | % | ||||
| Revenue per available room (4) | $ | 176 | $ | 166 | ||||
| Other Information: | ||||||||
| Average number of table games | 253 | 253 | ||||||
| Average number of gaming machines | 964 | 797 | ||||||
| Table games win per unit per day (5) | $ | 14,619 | $ | 13,320 | ||||
| Gaming machines win per unit per day (6) | $ | 468 | $ | 458 | ||||
| (3) | Average daily rate is calculated by dividing total room revenues including complimentary rooms (less service charges, if any) by total occupied rooms including complimentary rooms | |||||||
| (4) | Revenue per available room is calculated by dividing total room revenues including complimentary rooms (less service charges, if any) by total rooms available | |||||||
| (5) | Table games win per unit per day is shown before discounts, commissions, other incentives as administered by the Gaming Operator and allocating casino revenues related to goods and services provided to gaming patrons on a complimentary basis | |||||||
| (6) | Gaming machines win per unit per day is shown before other incentives as administered by the Gaming Operator and allocating casino revenues related to goods and services provided to gaming patrons on a complimentary basis | |||||||
