Content Writer: Janice Chew • Tuesday, 26/09/2026 - 14:43:25 - PM
Macau Legend Development has returned to positive adjusted EBITDA in the first half of 2026, but the company says it still does not have enough financial resources to meet its loan obligations if lenders demand immediate repayment.
The Macau Fisherman’s Wharf operator reported a HK$136.8 million (US$17.5 million) loss for 1H26, a significant improvement from the HK$1.42 billion loss recorded during the same period last year. Revenue from continuing operations increased 2.7% to approximately HK$172.7 million, while adjusted EBITDA improved to a positive HK$8.8 million.
Operations Improve After Casino Closure
The results represent Macau Legend’s first full six-month period without gaming revenue following the closure of the Legend Palace satellite casino in November 2025.
The company continues to operate Legend Palace as a non-gaming resort within the Macau Fisherman’s Wharf precinct.
Cost reductions also helped improve operating performance. As reported that staff costs fell by around HK$5.6 million while inventory costs declined by approximately HK$4.3 million during the period.
While the return to positive EBITDA is encouraging, Macau Legend’s biggest challenge remains its balance sheet.
HK$2.39 Billion in Borrowings
As of 30 June 2026, Macau Legend held only around HK$37.9 million in cash and bank balances, compared with approximately HK$2.39 billion in total bank and other borrowings due within the next 12 months.
The company has also breached certain banking covenants. As reported that about HK$2.05 billion of bank borrowings could become immediately repayable if lenders demand payment, although no such demand had been made when the results were announced.
Macau Legend said it has continued negotiations with its banks and that a debt restructuring arrangement was agreed in principle in August 2026, covering revised repayment schedules and other loan terms.
However, the formal agreement has yet to be signed.
Going-Concern Concerns Remain
The company acknowledged that it currently does not have sufficient financial resources to repay its outstanding borrowings if lenders exercise their rights to demand immediate payment.
Its auditor also declined to provide a conclusion on the interim financial statements because of uncertainties surrounding Macau Legend’s ability to continue operating as a going concern.
Insights
Macau Legend’s latest results show an important difference between operational recovery and financial recovery.
Turning EBITDA positive demonstrates that the remaining non-gaming business can generate a small operating profit, particularly after cost reductions. But HK$8.8 million of adjusted EBITDA is still very small compared with billions of Hong Kong dollars in outstanding borrowings.
The next major milestone is therefore not simply revenue growth. It is whether Macau Legend can successfully complete its debt restructuring and secure a sustainable repayment arrangement with its lenders.
For Macau’s wider integrated resort and hospitality sector, the situation is also an interesting test of whether former gaming-linked properties can successfully reposition themselves around hotels, tourism, entertainment, dining and other non-gaming businesses.
Macau Legend has taken an encouraging first step operationally. The financial restructuring will determine whether that improvement can become sustainable.