MACAU, May 05, 2022 (GLOBE NEWSWIRE) — Studio City International Holdings Limited (NYSE: MSC) (“Studio City” or the “Company”), a world-class built-in resort situated in Cotai, Macau, in the present day reported its unaudited monetary outcomes for the primary quarter of 2022.
Total working revenues for the primary quarter of 2022 had been US$12.0 million, in comparison with whole working revenues of US$28.6 million within the first quarter of 2021. The change was primarily attributable to heightened border restrictions in Macau associated to COVID-19 which led to a lower in revenues from the availability of gaming associated companies and decrease non-gaming revenues.
Revenues from the availability of gaming associated companies are derived from the availability of amenities for the operations of the Studio City Casino by Melco Resorts (Macau) Limited (the “Gaming Operator”), a subsidiary of Melco Resorts & Entertainment Limited (“Melco”) and holder of a gaming subconcession, and companies associated thereto.
Studio City Casino generated gross gaming revenues of US$75.0 million and US$98.5 million for the primary quarters of 2022 and 2021, respectively.
Studio City’s rolling chip quantity was US$439.3 million within the first quarter of 2022 versus US$505.0 million within the first quarter of 2021. The rolling chip win charge was 1.66% within the first quarter of 2022 versus 0.29% within the first quarter of 2021. The anticipated rolling chip win charge vary is 2.85% – 3.15%.
Mass market desk video games drop decreased to US$191.8 million within the first quarter of 2022, in contrast with US$309.3 million within the first quarter of 2021. The mass market desk video games maintain share was 31.6% within the first quarter of 2022, in comparison with 29.1% within the first quarter of 2021.
Gaming machine deal with for the primary quarter of 2022 was US$233.0 million, in contrast with US$278.3 million within the first quarter of 2021. The gaming machine win charge was 3.1% within the first quarter of 2022, in comparison with 2.5% within the first quarter of 2021.
Total gaming taxes and the prices incurred in reference to the on-going operation of Studio City Casino deducted from gross gaming revenues had been US$83.6 million and US$97.3 million within the first quarters of 2022 and 2021, respectively.
Revenues from the availability of gaming associated companies had been damaging US$8.6 million for the primary quarter of 2022, in contrast with revenues from the availability of gaming associated companies of US$1.2 million for the primary quarter of 2021. Revenues from the availability of gaming associated companies are internet of gaming taxes and the prices incurred in reference to the on-going operation of Studio City Casino deducted by the Gaming Operator pursuant to the Services and Right to Use Arrangements.
Total non-gaming revenues at Studio City for the primary quarter of 2022 had been US$20.6 million, in contrast with US$27.3 million for the primary quarter of 2021.
Operating loss for the primary quarter of 2022 was US$61.9 million, in contrast with working lack of US$45.1 million within the first quarter of 2021.
Studio City generated damaging Adjusted EBITDA(1) of US$26.7 million within the first quarter of 2022, in comparison with damaging Adjusted EBITDA of US$13.4 million within the first quarter of 2021. The change was primarily attributable to the lower in revenues from the availability of gaming associated companies and decrease non-gaming revenues.
Net loss attributable to Studio City International Holdings Limited for the primary quarter of 2022 was US$70.2 million, in contrast with internet loss attributable to Studio City International Holdings Limited of US$75.8 million within the first quarter of 2021. The internet loss attributable to participation curiosity was US$10.7 million and US$14.8 million within the first quarters of 2022 and 2021, respectively.
Other Factors Affecting Earnings
Total internet non-operating bills for the primary quarter of 2022 had been US$18.5 million, which primarily included curiosity bills of US$22.8 million, internet of quantities capitalized, partially offset by internet overseas alternate good points of US$4.1 million.
Depreciation and amortization prices of US$31.8 million had been recorded within the first quarter of 2022, of which US$0.8 million was associated to the amortization expense for the land use proper.
The damaging Adjusted EBITDA for Studio City for the three months ended March 31, 2022 referred to in Melco’s earnings launch dated May 5, 2022 (“Melco’s earnings release”) is US$9.4 million lower than the damaging Adjusted EBITDA of Studio City contained on this press launch. The Adjusted EBITDA of Studio City contained on this press launch consists of sure intercompany costs that aren’t included within the Adjusted EBITDA for Studio City contained in Melco’s earnings launch. Such intercompany costs embrace, amongst different objects, charges and shared service costs billed between the Company and its subsidiaries and sure subsidiaries of Melco. Additionally, Adjusted EBITDA of Studio City included in Melco’s earnings launch doesn’t replicate sure intercompany prices associated to the desk video games operations at Studio City Casino.
Financial Position and Capital Expenditures
Total money and financial institution balances as of March 31, 2022 aggregated to US$926.1 million (December 31, 2021: US$499.4 million), together with US$0.1 million of restricted money (December 31, 2021: US$0.1 million). Total debt, internet of unamortized deferred financing prices and unique difficulty premiums, on the finish of the primary quarter of 2022 was US$2.43 billion (December 31, 2021: US$2.09 billion).
Capital expenditures for the primary quarter of 2022 had been US$108.8 million.
Recent Developments
Uncertainty round COVID-19 outbreaks and associated restrictions proceed to have a fabric impact on our operations, monetary place, and future prospects into the second quarter of 2022.
Our operations stay impacted by journey restrictions and quarantine necessities. A stream of COVID-19 outbreaks in China in mid-January 2022 led to a tightening of border controls for entry from Guangdong province and a discount within the validity interval of a damaging COVID check from 7 days to 48 hours. Shortly thereafter, the validity interval was additional diminished to 24 hours till the tip of January. The validity interval elevated to 48 hours till mid-March when it was diminished again to 24 hours in response to growing COVID-19 instances in China. This restriction remained till April 20, 2022, when the Macau authorities elevated the damaging COVID check validity interval for entry from Guangdong province again as much as 48 hours, after which to 72 hours on April 25, 2022.
Uncertainty round COVID-19 outbreaks will proceed into 2022 with journey bans or restrictions, visa restrictions and quarantine necessities being key elements impacting 2022 efficiency. We stay assured within the pent-up demand for Macau as a global tourism vacation spot and consider in a powerful restoration as soon as journey restrictions are relaxed.
The development of Studio City Phase 2 continues to progress, and we proceed our efforts to finish development by the deadline set within the land concession of December 27, 2022. This undertaking will complement our present providing of ‘next-generation’ world-class leisure and additional improve the Studio City model. Designed by famend worldwide structure agency Zaha Hadid Architects, Studio City Phase 2 will supply roughly 900 further luxurious resort rooms and suites, a further indoor/out of doors water park which is anticipated to be one of many largest on this planet, a Cineplex, a number of fine-dining eating places, and a complete of roughly 1,100 sq. meters of state-of-the-art MICE area. Furthermore, the growth may even function a resort tower below the W Hotel model in partnership with Marriott International.
Safe Harbor Statement
This press launch accommodates forward-looking statements. These statements are made below the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. Studio City International Holdings Limited (the “Company”) can also make forward-looking statements in its periodic studies to the U.S. Securities and Exchange Commission (the “SEC”), in its annual report back to shareholders, in press releases and different written supplies and in oral statements made by its officers, administrators or workers to 3rd events. Statements that aren’t historic information, together with statements in regards to the Company’s beliefs and expectations, are forward-looking statements. Forward-looking statements contain inherent dangers and uncertainties, and quite a lot of elements may trigger precise outcomes to vary materially from these contained in any forward-looking assertion. These elements embrace, however usually are not restricted to, (i) the worldwide COVID-19 outbreak, attributable to a novel pressure of the coronavirus, and the continued affect of its penalties on our business, our trade and the worldwide economy, (ii) progress of the gaming market and visitations in Macau, (iii) capital and credit score market volatility, (iv) native and international financial situations, (v) our anticipated progress methods, (vi) gaming authority and different governmental approvals and rules, (vii) proposed amendments to the gaming legislation in Macau, the extension of present gaming concessions and subconcessions and tender for brand new gaming concessions, and (viii) our future business improvement, outcomes of operations and monetary situation. In some instances, forward-looking statements might be recognized by phrases or phrases corresponding to “may”, “will”, “expect”, “anticipate”, “target”, “aim”, “estimate”, “intend”, “plan”, “believe”, “potential”, “continue”, “is/are likely to” or different comparable expressions. Further data relating to these and different dangers, uncertainties or elements is included within the Company’s filings with the SEC. All data supplied on this press launch is as of the date of this press launch, and the Company undertakes no obligation to replace such data, besides as required below relevant legislation.
Non-GAAP Financial Measures
(1) “Adjusted EBITDA” is outlined as internet revenue/loss earlier than curiosity, taxes, depreciation, amortization, pre-opening prices, property costs and different and different non-operating revenue and bills. We consider that Adjusted EBITDA offers helpful data to traders and others in understanding and evaluating our working outcomes. This non-GAAP monetary measure eliminates the affect of things that we don’t contemplate indicative of the efficiency of our business. While we consider that this non-GAAP monetary measure is helpful in evaluating our business, this data needs to be thought-about as supplemental in nature and isn’t meant as an alternative choice to the associated monetary data ready in accordance with U.S. GAAP. It shouldn’t be thought-about in isolation or construed as an alternative choice to internet revenue/loss, money circulate or another measure of economic efficiency or as an indicator of our working efficiency, liquidity, profitability or money flows generated by working, investing or financing actions. The use of Adjusted EBITDA has materials limitations as an analytical device, as Adjusted EBITDA doesn’t embrace all objects that affect our internet revenue/loss. In addition, the Company’s calculation of Adjusted EBITDA could also be totally different from the calculation strategies utilized by different firms and, due to this fact, comparability could also be restricted. Investors are inspired to overview the reconciliation of the historic non-GAAP monetary measure to its most immediately comparable GAAP monetary measure. Reconciliations of Adjusted EBITDA with probably the most comparable monetary measures calculated and introduced in accordance with U.S. GAAP are supplied herein instantly following the monetary statements included on this press launch.
(2) “Adjusted net income/loss” is internet revenue/loss earlier than pre-opening prices, property costs and different and loss on extinguishment of debt, internet of participation curiosity. Adjusted internet revenue/loss is introduced as supplemental disclosure as a result of administration believes it offers helpful data to traders and others in understanding and evaluating our efficiency, along with revenue/loss computed in accordance with U.S. GAAP. Adjusted internet revenue/loss could also be totally different from the calculation strategies utilized by different firms and, due to this fact, comparability could also be restricted. Reconciliations of adjusted internet revenue/loss attributable to Studio City International Holdings Limited with probably the most comparable monetary measures calculated and introduced in accordance with U.S. GAAP are supplied herein instantly following the monetary statements included on this press launch.
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 built-in resort situated in Cotai, Macau. For extra details about the Company, please go to www.studiocity-macau.com.
The Company is strongly supported by its single largest shareholder, Melco Resorts & Entertainment Limited, an organization with its American depositary shares listed on the Nasdaq Global Select Market (Nasdaq: MLCO).
For the funding neighborhood, please contact:
Jeanny Kim
Senior Vice President, Group Treasurer
Tel: +852 2598 3698
Email: [email protected]
For media enquiries, please contact:
Chimmy Leung
Executive Director, Corporate Communications
Tel: +852 3151 3765
Email: [email protected]
| Studio City International Holdings Limited and Subsidiaries | ||||||||
| Condensed Consolidated Statements of Operations (Unaudited) | ||||||||
| (In 1000’s of U.S. {dollars}, besides share and per share information) | ||||||||
| Three Months Ended | ||||||||
| March 31, | ||||||||
| 2022 | 2021 | |||||||
| Operating revenues: | ||||||||
| Provision of gaming associated companies | $ | (8,639 | ) | $ | 1,233 | |||
| Rooms | 6,275 | 9,606 | ||||||
| Food and beverage | 5,484 | 6,884 | ||||||
| Entertainment | 99 | 294 | ||||||
| Services payment | 5,719 | 6,799 | ||||||
| Mall | 2,703 | 3,330 | ||||||
| Retail and different | 351 | 418 | ||||||
| Total working revenues | 11,992 | 28,564 | ||||||
| Operating prices and bills: | ||||||||
| Provision of gaming associated companies | (6,024 | ) | (5,699 | ) | ||||
| Rooms | (2,949 | ) | (2,910 | ) | ||||
| Food and beverage | (7,174 | ) | (7,148 | ) | ||||
| Entertainment | (557 | ) | (569 | ) | ||||
| Mall | (956 | ) | (983 | ) | ||||
| Retail and different | (375 | ) | (361 | ) | ||||
| General and administrative | (20,630 | ) | (24,299 | ) | ||||
| Pre-opening prices | (342 | ) | (243 | ) | ||||
| Amortization of land use proper | (827 | ) | (833 | ) | ||||
| Depreciation and amortization | (30,989 | ) | (30,756 | ) | ||||
| Property costs and different | (3,063 | ) | 142 | |||||
| Total working prices and bills | (73,886 | ) | (73,659 | ) | ||||
| Operating loss | (61,894 | ) | (45,095 | ) | ||||
| Non-operating revenue (bills): | ||||||||
| Interest revenue | 304 | 940 | ||||||
| Interest bills, internet of quantities capitalized | (22,806 | ) | (23,168 | ) | ||||
| Other financing prices | (103 | ) | (104 | ) | ||||
| Foreign alternate good points, internet | 4,139 | 5,726 | ||||||
| Loss on extinguishment of debt | – | (28,817 | ) | |||||
| Total non-operating bills, internet | (18,466 | ) | (45,423 | ) | ||||
| Loss earlier than revenue tax | (80,360 | ) | (90,518 | ) | ||||
| Income tax expense | (613 | ) | (83 | ) | ||||
| Net loss | (80,973 | ) | (90,601 | ) | ||||
| Net loss attributable to participation curiosity | 10,740 | 14,834 | ||||||
| Net loss attributable to Studio City International Holdings Limited | $ | (70,233 | ) | $ | (75,767 | ) | ||
| Net loss attributable to Studio City International Holdings Limited | ||||||||
| per Class A strange share: | ||||||||
| Basic | $ | (0.133 | ) | $ | (0.205 | ) | ||
| Diluted | $ | (0.135 | ) | $ | (0.205 | ) | ||
| Net loss attributable to Studio City International Holdings Limited per ADS: | ||||||||
| Basic | $ | (0.532 | ) | $ | (0.818 | ) | ||
| Diluted | $ | (0.539 | ) | $ | (0.818 | ) | ||
| Weighted common Class A strange shares excellent utilized in internet loss | ||||||||
| attributable to Studio City International Holdings Limited per Class A | ||||||||
| strange share calculation: | ||||||||
| Basic | 527,953,145 | 370,352,700 | ||||||
| Diluted | 600,464,905 | 370,352,700 | ||||||
| Studio City International Holdings Limited and Subsidiaries | |||||||
| Condensed Consolidated Balance Sheets | |||||||
| (In 1000’s of U.S. {dollars}, besides share and per share information) | |||||||
| March 31, | December 31, | ||||||
| 2022 | 2021 | ||||||
| (Unaudited) | |||||||
| ASSETS | |||||||
| Current property: | |||||||
| Cash and money equivalents | $ | 925,974 | $ | 499,289 | |||
| Accounts receivable, internet | 61 | 247 | |||||
| Amounts due from affiliated firms | 1,191 | 15,697 | |||||
| Inventories | 5,569 | 5,828 | |||||
| Prepaid bills and different present property | 40,588 | 42,633 | |||||
| Total present property | 973,383 | 563,694 | |||||
| Property and gear, internet | 2,627,059 | 2,556,040 | |||||
| Intangible property, internet | 2,417 | 2,777 | |||||
| Long-term prepayments, deposits and different property | 65,917 | 69,624 | |||||
| Restricted money | 129 | 130 | |||||
| Operating lease right-of-use property | 14,511 | 14,588 | |||||
| Land use proper, internet | 110,873 | 112,114 | |||||
| Total property | $ | 3,794,289 | $ | 3,318,967 | |||
| LIABILITIES, SHAREHOLDERS’ EQUITY AND | |||||||
| PARTICIPATION INTEREST | |||||||
| Current liabilities: | |||||||
| Accounts payable | $ | 43 | $ | 211 | |||
| Accrued bills and different present liabilities | 122,303 | 201,405 | |||||
| Income tax payable | 21 | 21 | |||||
| Amounts resulting from affiliated firms | 57,760 | 53,093 | |||||
| Total present liabilities | 180,127 | 254,730 | |||||
| Long-term debt, internet | 2,431,348 | 2,087,486 | |||||
| Other long-term liabilities | 19,514 | 17,771 | |||||
| Deferred tax liabilities, internet | 613 | – | |||||
| Operating lease liabilities, non-current | 14,976 | 14,797 | |||||
| Total liabilities | 2,646,578 | 2,374,784 | |||||
| Shareholders’ fairness and participation curiosity: | |||||||
| Class A strange shares, par worth $0.0001; 1,927,488,240 shares | |||||||
| approved; 770,352,700 and 370,352,700 shares issued | |||||||
| and excellent, respectively | 77 | 37 | |||||
| Class B strange shares, par worth $0.0001; 72,511,760 shares | |||||||
| approved; 72,511,760 shares issued and excellent | 7 | 7 | |||||
| Additional paid-in capital | 2,477,359 | 2,134,227 | |||||
| Accumulated different complete loss | (19,684 | ) | (6,136 | ) | |||
| Accumulated losses | (1,408,948 | ) | (1,338,715 | ) | |||
| Total shareholders’ fairness | 1,048,811 | 789,420 | |||||
| Participation curiosity | 98,900 | 154,763 | |||||
| Total shareholders’ fairness and participation curiosity | 1,147,711 | 944,183 | |||||
| Total liabilities, shareholders’ fairness and participation curiosity | $ | 3,794,289 | $ | 3,318,967 | |||
| Studio City International Holdings Limited and Subsidiaries | ||||||||
| Reconciliation of Net Loss Attributable to Studio City International Holdings Limited to | ||||||||
| Adjusted Net Loss Attributable to Studio City International Holdings Limited (Unaudited) | ||||||||
| (In 1000’s of U.S. {dollars}, besides share and per share information) | ||||||||
| Three Months Ended | ||||||||
| March 31, | ||||||||
| 2022 | 2021 | |||||||
| Net loss attributable to Studio City International Holdings Limited | $ | (70,233 | ) | $ | (75,767 | ) | ||
| Pre-opening prices | 342 | 243 | ||||||
| Property costs and different | 3,063 | (142 | ) | |||||
| Loss on extinguishment of debt | – | 28,817 | ||||||
| Participation curiosity affect on changes | (530 | ) | (4,735 | ) | ||||
| Adjusted internet loss attributable to | ||||||||
| Studio City International Holdings Limited | $ | (67,358 | ) | $ | (51,584 | ) | ||
| Adjusted internet loss attributable to Studio City International Holdings Limited | ||||||||
| per Class A strange share: | ||||||||
| Basic | $ | (0.128 | ) | $ | (0.139 | ) | ||
| Diluted | $ | (0.129 | ) | $ | (0.139 | ) | ||
| Adjusted internet loss attributable to Studio City International Holdings Limited | ||||||||
| per ADS: | ||||||||
| Basic | $ | (0.510 | ) | $ | (0.557 | ) | ||
| Diluted | $ | (0.517 | ) | $ | (0.557 | ) | ||
| Weighted common Class A strange shares excellent utilized in adjusted | ||||||||
| internet loss attributable to Studio City International Holdings Limited | ||||||||
| per Class A strange share calculation: | ||||||||
| Basic | 527,953,145 | 370,352,700 | ||||||
| Diluted | 600,464,905 | 370,352,700 | ||||||
| Studio City International Holdings Limited and Subsidiaries | |||||||
| Reconciliation of Operating Loss to Adjusted EBITDA (Unaudited) | |||||||
| (In 1000’s of U.S. {dollars}) | |||||||
| Three Months Ended | |||||||
| March 31, | |||||||
| 2022 | 2021 | ||||||
| Operating loss | $ | (61,894 | ) | $ | (45,095 | ) | |
| Pre-opening prices | 342 | 243 | |||||
| Depreciation and amortization | 31,816 | 31,589 | |||||
| Property costs and different | 3,063 | (142 | ) | ||||
| Adjusted EBITDA | $ | (26,673 | ) | $ | (13,405 | ) | |
| Studio City International Holdings Limited and Subsidiaries | |||||||
| Reconciliation of Net Loss Attributable to Studio City International Holdings Limited | |||||||
| to Adjusted EBITDA (Unaudited) | |||||||
| (In 1000’s of U.S. {dollars}) | |||||||
| Three Months Ended | |||||||
| March 31, | |||||||
| 2022 | 2021 | ||||||
| Net loss attributable to Studio City International Holdings Limited | $ | (70,233 | ) | $ | (75,767 | ) | |
| Net loss attributable to participation curiosity | (10,740 | ) | (14,834 | ) | |||
| Net loss | (80,973 | ) | (90,601 | ) | |||
| Income tax expense | 613 | 83 | |||||
| Interest and different non-operating bills, internet | 18,466 | 45,423 | |||||
| Property costs and different | 3,063 | (142 | ) | ||||
| Depreciation and amortization | 31,816 | 31,589 | |||||
| Pre-opening prices | 342 | 243 | |||||
| Adjusted EBITDA | $ | (26,673 | ) | $ | (13,405 | ) | |
| Studio City International Holdings Limited and Subsidiaries | |||||||||
| Supplemental Data Schedule | |||||||||
| Three Months Ended | |||||||||
| March 31, | |||||||||
| 2022 | 2021 | ||||||||
| Room Statistics(3): | |||||||||
| Average every day charge (4) | $ | 127 | $ | 121 | |||||
| Occupancy per accessible room | 33 | % | 50 | % | |||||
| Revenue per accessible room (5) | $ | 41 | $ | 60 | |||||
| Other Information(6): | |||||||||
| Average variety of desk video games | 277 | 292 | |||||||
| Average variety of gaming machines | 712 | 604 | |||||||
| Table video games win per unit per day (7) | $ | 2,725 | $ | 3,476 | |||||
| Gaming machines win per unit per day (8) | $ | 111 | $ | 130 | |||||
| (3) | Room statistics exclude rooms that had been quickly closed or supplied to employees members as a result of COVID-19 outbreak | ||||||||
| (4) | Average every day charge is calculated by dividing whole room revenues together with complimentary rooms (much less service costs, if any) by whole occupied rooms together with complimentary rooms | ||||||||
| (5) | Revenue per accessible room is calculated by dividing whole room revenues together with complimentary rooms (much less service costs, if any) by whole rooms accessible | ||||||||
| (6) | Table video games and gaming machines that weren’t in operation resulting from government-mandated closures or social distancing measures in relation to the COVID-19 outbreak have been excluded | ||||||||
| (7) | Table video games win per unit per day is proven earlier than reductions, commissions, non-discretionary incentives (together with the point-loyalty packages) as administered by the Gaming Operator and allocating on line casino revenues associated to items and companies supplied to gaming patrons on a complimentary foundation | ||||||||
| (8) | Gaming machines win per unit per day is proven earlier than non-discretionary incentives (together with the point-loyalty packages) as administered by the Gaming Operator and allocating on line casino revenues associated to items and companies supplied to gaming patrons on a complimentary foundation | ||||||||
