Melco Crown Entertainment’s net profit plunged 58 per cent to US$92.9 million in the fourth quarter of last year, underscoring the rising pressure on Macau casino operators as gaming revenues slide.
Melco Crown reported late Thursday that net revenue for the quarter to December fell 20 per cent to US$1.1 billion year on year, on the back of a drop in group-wide VIP and mass-market table games. Net revenue for the whole of 2014, excluding promotion allowances, fell 5.6 per cent to US$4.8 billion, with net profit down 4.6 per cent to US$608 million.
“While 2014 was a challenging year for Macau, I am pleased with both our relative operating performance and the meaningful advancements we have made towards realising our significant growth pipeline, positioning us to succeed now and in the future,” co-chairman and chief executive Lawrence Ho said in a statement.
Sands China and Wynn Macao have also reported dwindling profits for the fourth quarter, after the Macau government reported its first decline in gaming revenues in more than a decade last month.
Melco Crown is applying to be delisted from the Hong Kong stock exchange, while retaining the listing of its American Depositary Receipts (ADRs) on Nasdaq.