Analysts cited a stable outlook and projected strong earnings.<\/p>\n\n\n\n\n\n\n\n
Macau.-\u00a0Moody’s Investors Services<\/strong>\u00a0has assigned a Ba3 rating to the forthcoming senior unsecured US dollar notes issuance by\u00a0Melco Resorts Finance<\/strong>. They expect the casino operator’s 2024 earnings to benefit from a “strong recovery” in the Macau market.\u00a0<\/p>\n\n\n\n Analysts expect a continued gaming market recovery in Macau to drive an increase in Melco Resorts’ adjusted earnings before interest, taxation, depreciation, and amortisation (EBITDA) “to around US$1.3bn in 2024, from US$0.9bn in 2023”. Increased free cash flow will also help the company further reduce its debt and leverage.<\/p>\n\n\n\n Melco Resorts Finance, a unit of Melco Resorts & Entertainment, is to issue US$750m in aggregate principal amount notes<\/strong> due in 2032.\u00a0The notes will be priced at 7.625 per cent and net proceeds will be used to make a partial repayment of the principal amount outstanding under a revolving credit facility, together with accrued interest and associated costs.\u00a0<\/p>\n\n\n\n See also: <\/strong>Melco extends maturity date on US$1.92bn revolving credit facility<\/a><\/p>\n\n\n\n In March,\u00a0Melco reported operating revenue of US$1.09bn for Q4<\/a>, up 224 per cent in year-on-year terms. The increase was attributed to the improved performance in all gaming segments and non-gaming operations following the relaxation of Covid-19 countermeasures in Macau in January 2023 and\u00a0the opening of Studio City Phase II<\/a>.<\/p>\n\n\n\n The company reported an operating loss of US$94.4m, compared with an operating loss of US$199.5m in the fourth quarter of 2022. The group\u2019s adjusted property earnings before interest, taxation, depreciation and amortisation (EBITDA) was US$303.4m compared with negative US$6.8m.<\/p>\n","protected":false},"excerpt":{"rendered":" Analysts cited a stable outlook and projected strong earnings.<\/p>\n","protected":false},"author":176,"featured_media":777013109,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"is_press_release":false,"is_interview":false,"is_opinion":false,"focusai_summary":"Moody's Investors Services has assigned a Ba3 rating to Melco Resorts Finance's forthcoming US$750m senior unsecured notes, citing a strong recovery in the Macau gaming market. Analysts project Melco Resorts' adjusted EBITDA to reach US$1.3bn in 2024, driven by increased gaming and non-gaming operations following the relaxation of Covid-19 measures and the opening of Studio City Phase II. The proceeds will facilitate partial debt repayment, enhancing the company's financial leverage.","focusai_entities":"Moody\u2019s Investors Services, Melco Resorts Finance, Melco Resorts & Entertainment","focusai_location":"Macau","focusai_target_profile":"ceo_executive (0.9), regulator (0.7), compliance_legal (0.7), operator_casino (0.9), investor_analyst (1.0), supplier_vendor (0.8), journalist_researcher (0.9)","focusai_suggestions":[{"label":"Melco Debt Strategy","query":"How will the US$750m note issuance and subsequent debt reduction impact Melco Resorts' overall capital structure and its capacity for future strategic investments or M&A activities in the Macau gaming vertical?"},{"label":"Macau Recovery Outlook","query":"What specific market indicators and regulatory stability factors underpin Moody's \"strong recovery\" projection for Macau, and how sustainable is the projected US$1.3bn EBITDA for Melco Resorts in 2024 given potential macroeconomic headwinds?"}],"footnotes":""},"categories":[157,16338],"tags":[23970],"class_list":["post-777014604","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-news","category-east-asia-news","tag-melco-resorts-entertainment"],"_links":{"self":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777014604","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/users\/176"}],"replies":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/comments?post=777014604"}],"version-history":[{"count":2,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777014604\/revisions"}],"predecessor-version":[{"id":777014628,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777014604\/revisions\/777014628"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media\/777013109"}],"wp:attachment":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media?parent=777014604"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/categories?post=777014604"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/tags?post=777014604"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}