Revenue growth has decelerated significantly from the 55.3% surge in 2024Q1 to 8.6% in 2025Q4, while gross margins remain trapped in a narrow 34-38% range due to structural regulatory costs.
| Metric | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 |
|---|
| Sales/Revenue | 5.16B | 4.64B | 3.78B | 1.35B | 2.01B | 1.73B | 5.74B | 5.16B | 5.28B | 4.52B | 3.97B | 4.8B | 5.09B | 4.1B | 3.83B | 2.64B | 1.33B | 1.42B | 358.61M | 36.1M | 17.33M | 6.07M |
| Revenue Growth % | 11.32% | 22.86% | 179.65% | -32.92% | 16.46% | -69.88% | 11.21% | -2.39% | 16.94% | 13.7% | -17.23% | -5.6% | 24.21% | 6.91% | 45% | 98.22% | -5.88% | 294.89% | 893.36% | 108.34% | 185.42% | - |
| Cost of Goods Sold | 3.27B | 2.98B | 2.59B | 1.06B | 1.52B | 1.54B | 3.64B | 3.32B | 3.55B | 3.11B | 2.8B | 3.34B | 3.56B | 2.94B | 2.81B | 2.02B | 1.16B | 1.16B | 292.04M | 28.67M | 596K | 250K |
| COGS % of Revenue | 63.27% | 64.14% | 68.63% | 78.78% | 75.65% | 89.03% | 63.41% | 64.29% | 67.23% | 68.9% | 70.42% | 69.65% | 69.95% | 71.78% | 73.35% | 76.38% | 86.84% | 82.07% | 81.44% | 79.41% | 3.44% | 4.12% |
| Gross Profit | 1.9B | 1.66B | 1.18B | 286.52M | 490.01M | 189.52M | 2.1B | 1.84B | 1.73B | 1.41B | 1.18B | 1.46B | 1.53B | 1.16B | 1.02B | 624.15M | 175.36M | 253.91M | 66.57M | 7.43M | 16.73M | 5.82M |
| Gross Margin % | 36.73% | 35.86% | 31.37% | 21.22% | 24.35% | 10.97% | 36.59% | 35.71% | 32.77% | 31.1% | 29.58% | 30.35% | 30.05% | 28.22% | 26.65% | 23.62% | 13.16% | 17.93% | 18.56% | 20.59% | 96.56% | 95.88% |
| Gross Profit Growth % | 14.05% | 40.45% | 313.28% | -41.53% | 158.55% | -90.97% | 13.95% | 6.34% | 23.21% | 19.55% | -19.33% | -4.64% | 32.25% | 13.2% | 63.59% | 255.93% | -30.94% | 281.4% | 795.41% | -55.56% | 187.44% | - |
| Operating Expenses | 1.3B | 1.18B | 1.12B | 1.03B | 1.07B | 1.13B | 1.35B | 1.22B | 1.12B | 1.04B | 1.08B | 794.36M | 688.78M | 585.84M | 575.91M | 531.63M | 447.4M | 252.74M | 262.39M | 65.09M | 20.45M | 6.75M |
| OpEx % of Revenue | 25.11% | 25.41% | 29.64% | 76.27% | 53.05% | 65.4% | 23.55% | 23.55% | 21.28% | 23.07% | 27.11% | 16.54% | 13.54% | 14.3% | 15.03% | 20.12% | 33.57% | 17.85% | 73.17% | 180.29% | 118.04% | 111.2% |
| Selling, General & Admin | 752.72M | 568.7M | 488.13M | 423.23M | 426.41M | 485.93M | 642.57M | 500.62M | 467.12M | 446.59M | 383.87M | 311.7M | 255.78M | 239.53M | 223.94M | 218.57M | 222.87M | 104.03M | 148.46M | 30.78M | 16.92M | 6.62M |
| SG&A % of Revenue | 14.58% | 12.26% | 12.93% | 31.35% | 21.19% | 28.12% | 11.2% | 9.7% | 8.84% | 9.88% | 9.66% | 6.49% | 5.03% | 5.85% | 5.85% | 8.27% | 16.72% | 7.35% | 41.4% | 85.26% | 97.64% | 109.06% |
| Research & Development | 0 | 5.43M | 1.2M | 0 | 30.68M | 25.62M | 57.43M | 23.03M | 31.11M | 95K | 110K | 10.73M | 26.3M | 11.1M | 1.11M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | 0.12% | 0.03% | - | 1.52% | 1.48% | 1% | 0.45% | 0.59% | 0% | 0% | 0.22% | 0.52% | 0.27% | 0.03% | - | - | - | - | - | - | - |
| Other Operating Expenses | 543.56M | 604.33M | 629.84M | 606.4M | 610.38M | 618.53M | 651.21M | 3.68M | 5.28M | 3.57M | 2.32M | 2.31M | 1.66M | 115K | 350.86M | 313.06M | 224.54M | 126.89M | 113.93M | 34.31M | 3.54M | 130K |
| Operating Income | 600.43M | 484.63M | 64.96M | -743.11M | -577.45M | -940.56M | 747.68M | 626.84M | 607.61M | 363.12M | 98.42M | 685.36M | 839.82M | 570M | 445.11M | 92.51M | -272.05M | 1.17M | -195.82M | -57.65M | -3.72M | -930K |
| Operating Margin % | 11.63% | 10.45% | 1.72% | -55.05% | -28.7% | -54.43% | 13.03% | 12.15% | 11.5% | 8.03% | 2.48% | 14.27% | 16.51% | 13.92% | 11.62% | 3.5% | -20.41% | 0.08% | -54.6% | -159.7% | -21.48% | -15.32% |
| Operating Income Growth % | 23.89% | 646.05% | 108.74% | -28.69% | 38.61% | -225.8% | 19.28% | 3.16% | 67.33% | 268.96% | -85.64% | -18.39% | 47.34% | 28.06% | 381.14% | 134.01% | -23272.66% | 100.6% | -239.65% | -1448.98% | -300.22% | - |
| EBITDA | 1.14B | 1.03B | 608.36M | -221.17M | 2.4M | -322.03M | 1.38B | 1.17B | 1.13B | 892.57M | 569.05M | 1.05B | 1.22B | 904.54M | 738.74M | 405.58M | -54.55M | 128.06M | -80.88M | -21.14M | 4.78M | 942K |
| EBITDA Margin % | 22.12% | 22.12% | 16.11% | -16.38% | 0.12% | -18.64% | 23.99% | 22.72% | 21.29% | 19.75% | 14.32% | 21.94% | 24.03% | 22.09% | 19.28% | 15.35% | -4.09% | 9.04% | -22.55% | -58.56% | 27.59% | 15.52% |
| EBITDA Growth % | 11.28% | 68.68% | 375.07% | -9330.63% | 100.74% | -123.4% | 17.42% | 4.15% | 26.08% | 56.85% | -46% | -13.81% | 35.17% | 22.44% | 82.14% | 843.48% | -142.6% | 258.33% | -282.57% | -542.19% | 407.54% | - |
| D&A (Non-Cash Add-back) | 541.54M | 541.54M | 543.4M | 521.94M | 579.85M | 618.53M | 628.55M | 545.25M | 517.76M | 529.46M | 470.63M | 368.39M | 382.81M | 334.54M | 293.63M | 313.06M | 217.5M | 126.89M | 114.94M | 36.51M | 8.5M | 1.87M |
| EBIT | 621.14M | 480.37M | 272.57M | -739.51M | -603.03M | -918.56M | 715.41M | 608.64M | 577.13M | 354.46M | 58.55M | 654.51M | 841.42M | 505.34M | 401.01M | 83.75M | -276.77M | -3.93M | -195.82M | -57.65M | -3.72M | -930K |
| Net Interest Income | -464.35M | -470.95M | -473.46M | -356.66M | -354.96M | -343.66M | -303.53M | -264.04M | -258.26M | -273.41M | -150.27M | -151.1M | -145M | -111.92M | -125.29M | -106.75M | -31.33M | 8.21M | 0 | 0 | 0 | 0 |
| Interest Income | 8.5M | 15.77M | 23.3M | 26.46M | 6.62M | 5.13M | 9.31M | 5.47M | 3.58M | 5.95M | 13.9M | 20.02M | 7.66M | 10.96M | 4.13M | 404K | 498K | 8.21M | 0 | 0 | 0 | 0 |
| Interest Expense | 472.85M | 486.72M | 496.76M | 383.12M | 361.58M | 348.79M | 312.84M | 269.51M | 261.84M | 279.36M | 164.17M | 171.12M | 152.66M | 122.88M | 113.81M | 92.95M | 31.82M | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | -452.14M | -490.98M | -466.87M | -348.83M | -376.13M | -516.97M | -345.11M | -274.31M | -292.33M | -288.02M | -158.19M | -154.94M | -259.37M | -111.36M | -157.9M | -102.12M | -36.55M | -5.11M | 23.04M | -22.73M | 64K | -131K |
| Pretax Income | 148.28M | -6.35M | -401.91M | -1.09B | -953.58M | -1.46B | 402.57M | 353.41M | 315.28M | 75.1M | -59.78M | 530.42M | 580.45M | 481.46M | 287.21M | -9.61M | -308.59M | -3.93M | -179.6M | -80.38M | -3.66M | -1.06M |
| Pretax Margin % | 2.87% | -0.14% | -10.65% | -80.89% | -47.39% | -84.35% | 7.02% | 6.85% | 5.97% | 1.66% | -1.5% | 11.05% | 11.41% | 11.76% | 7.5% | -0.36% | -23.15% | -0.28% | -50.08% | -222.65% | -21.11% | -17.48% |
| Income Tax | 2.83M | 21.61M | 13.42M | 5.24M | 2.88M | -2.91M | 8.34M | -445K | -10K | 8.18M | 1.03M | 3.04M | 2.44M | -392K | -1.64M | 920K | -132K | -1.47M | -1.45M | -1.89M | -91K | 37K |
| Effective Tax Rate % | 1.91% | -340.37% | -3.34% | -0.48% | -0.3% | 0.2% | 2.07% | -0.13% | -0% | 10.89% | -1.72% | 0.57% | 0.42% | -0.08% | -0.57% | -9.58% | 0.04% | 37.38% | 0.81% | 2.35% | 2.49% | -3.49% |
| Net Income | 185.04M | 43.54M | -326.92M | -930.53M | -811.75M | -1.26B | 373.17M | 351.51M | 347M | 175.91M | 105.75M | 608.28M | 637.46M | 481.86M | 294.66M | -10.53M | -308.46M | -2.46M | -178.15M | -73.48M | -3.26M | -1.01M |
| Net Margin % | 3.58% | 0.94% | -8.66% | -68.93% | -40.34% | -73.12% | 6.5% | 6.81% | 6.57% | 3.89% | 2.66% | 12.67% | 12.53% | 11.77% | 7.69% | -0.4% | -23.14% | -0.17% | -49.68% | -203.54% | -18.81% | -16.59% |
| Net Income Growth % | 324.97% | 113.32% | 64.87% | -14.63% | 35.75% | -438.58% | 6.16% | 1.3% | 97.27% | 66.35% | -82.62% | -4.58% | 32.29% | 63.53% | 2899.58% | 96.59% | -12423.79% | 98.62% | -142.45% | -2154.65% | -223.63% | - |
| Net Income (Continuing) | 145.46M | -27.96M | -415.33M | -1.1B | -956.46M | -1.45B | 394.23M | 338.9M | 312.22M | 66.92M | -60.81M | 527.39M | 578.01M | 398.67M | 288.84M | -10.53M | -308.46M | -2.46M | -178.15M | -78.35M | -3.26M | -1.1M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 342.97M | 386.5M | 447.23M | 535.96M | 575.14M | 735.95M | 704.26M | 618.37M | 448.06M | 479.54M | 592.23M | 755.53M | 678.31M | 354.82M | 231.5M | 0 | 0 | 0 | 0 | 0 | 19.49M | 35K |
| EPS (Diluted) | 0.45 | 0.10 | -0.75 | -2.37 | -2.01 | -3.06 | 0.78 | 0.70 | 0.69 | 0.35 | 0.20 | 1.10 | 1.15 | 0.76 | 0.55 | -0.02 | -0.63 | -0.01 | -0.44 | -0.16 | -0.01 | -0.00 |
| EPS Growth % | 350% | 113.33% | 68.35% | -17.91% | 34.31% | -492.31% | 11.43% | 1.45% | 97.14% | 75% | -81.82% | -4.35% | 51.32% | 38.18% | 2877.78% | 96.86% | - | 98.73% | -175% | - | - | - |
| EPS (Basic) | 0.45 | 0.10 | -0.75 | -2.37 | -2.01 | -3.06 | 0.78 | 0.70 | 0.70 | 0.35 | 0.20 | 1.11 | 1.16 | 0.76 | 0.55 | -0.02 | -0.63 | -0.01 | -0.44 | -0.16 | -0.01 | -0.00 |
| Diluted Shares Outstanding | 400.63M | 433.14M | 438.2M | 463.72M | 478.03M | 477.35M | 481.15M | 505.47M | 498.69M | 508.43M | 542.37M | 553.5M | 554.73M | 552.75M | 538.95M | 531.85M | 488.66M | 440.32M | 408.29M | 448.65M | 522.95M | 625M |
| Basic Shares Outstanding | 400.53M | 432.12M | 438.2M | 463.72M | 478.03M | 477.35M | 478.86M | 502.18M | 494.79M | 505.57M | 539.09M | 549.19M | 549.89M | 548.45M | 534.74M | 531.85M | 488.66M | 440.32M | 408.29M | 448.65M | 513.3M | 625M |
| Dividend Payout Ratio | 0.04% | 0.79% | - | - | - | - | 80.66% | 77.25% | 236.69% | 219.19% | 59.43% | 56.34% | - | - | - | - | - | - | - | - | - | - |
Macau regulatory and macro sensitivity
According to recent financial disclosures, MLCO's revenue growth has decelerated from the 55.3% surge observed in 2024Q1 to a more moderate 8.6% in 2025Q4, suggesting that the initial post-pandemic rebound phase has largely concluded and the company is now entering a period of more normalized, volume-dependent expansion.
The transition from triple-digit growth to single-digit expansion indicates that the low-hanging fruit of Macau's reopening has been harvested. Investors should monitor whether the current revenue trajectory can sustain itself against a backdrop of cooling discretionary spending in Mainland China, which remains the primary engine for the company's premium mass segment.
As reported in quarterly filings, MLCO's gross margin has fluctuated within a tight 34-38% range over the last two years, reflecting the rigid impact of Macau's 40% gaming tax and the high fixed-cost nature of operating large-scale integrated resorts in a competitive, high-tax regulatory environment.
The inability to consistently push gross margins above the 40% threshold suggests that the company lacks significant pricing power to offset its heavy tax burden. Future margin improvement appears contingent on a successful shift toward non-gaming revenue streams, which may carry different cost profiles but currently remain a secondary contributor to overall profitability.
Based on the provided income statement data, MLCO's operating margin has shown significant volatility, swinging from a negative 8.6% in 2023Q4 to a peak of 14.1% in 2025Q3, which highlights the company's sensitivity to fluctuations in gaming volume and the difficulty of scaling overhead costs efficiently.
The erratic nature of operating income suggests that the company's cost structure is not yet optimized for the current revenue environment. The reliance on high-fixed-cost assets means that even minor revenue misses can lead to disproportionate pressure on operating margins, warranting caution regarding the company's ability to maintain profitability during cyclical downturns.
Analysis of recent income statements reveals that MLCO's net income remains inconsistent, with net margins hovering in the low single digits and frequent quarterly losses, as evidenced by the -$20.3M net income reported in 2024Q4 despite significant top-line revenue generation during the same period.
The disparity between revenue and net income suggests that non-operating items, including interest expenses on a substantial debt load and depreciation from recent capital projects, are significantly diluting shareholder value. Investors should be wary of the persistent gap between top-line performance and bottom-line profitability, which may indicate structural inefficiencies in capital allocation.
While the company has shown signs of operational recovery, the persistent debt-heavy balance sheet remains a critical concern, as interest expenses continue to exert downward pressure on net margins, potentially limiting the company's ability to reinvest in its properties during periods of economic softening in China.
Short-term operational gains may be overshadowed by the long-term requirement to service debt in a higher-for-longer interest rate environment. The market may be underestimating the risk that debt-servicing costs could permanently impair the company's ability to achieve the scale necessary to compete effectively with better-capitalized peers in the Macau market.
Quick answers to the most common questions about buying MLCO stock.
For fiscal year 2025, Melco Resorts & Entertainment Limited (MLCO) reported total revenue of $5.16B. This represents a 84948.6% increase compared to $6.1M in 2004.
Melco Resorts & Entertainment Limited (MLCO) is profitable, generating $185.0M in net income for the fiscal year ending 2025 with a net profit margin of 3.6%.
Melco Resorts & Entertainment Limited (MLCO) reported an operating income of $600.4M, resulting in an operating profit margin of 11.6%. This margin reflects the operational efficiency of the business before interest and taxes.
Melco Resorts & Entertainment Limited (MLCO) generated $1.90B in gross profit for the year, representing a gross profit margin of 36.7%. This demonstrates the company's core pricing power and production efficiency.