Galaxy Macau Phase 4 Eyes Premium Push

Galaxy Entertainment Group is advancing plans for Phase 4 of Galaxy Macau in Cotai, with analysts suggesting the expansion could be accompanied by a request for additional gaming tables from the Macau government. The update followed the company’s fourth-quarter and full-year 2025 results, outlining a development scheduled for completion in 2027 and focused on strengthening its premium market position.

Premium-Focused Expansion

Phase 4 is set to cover approximately 600,000 square metres (around 6.46 million square feet). The blueprint includes a 5,000-seat theatre, a water resort deck and a range of non-gaming amenities alongside expanded casino facilities. Management has indicated that the project is designed to appeal to high-end customers and further reinforce Galaxy Macau’s standing in Cotai’s competitive landscape.

Under its current concession, which began on January 1, 2023, Galaxy is permitted to operate up to 1,000 gaming tables and 1,700 slot machines. Any increase in table allocation remains subject to government approval and market observers note that additional tables could be key to maximising the new phase’s potential.

Table Allocation and Operational Adjustments

Brokerage Jefferies reported that Galaxy has approached authorities regarding a possible increase in table quotas tied to its new investment. Analysts Anne Ling and Jingjue Pei said the company is awaiting an official response.

In the meantime, Galaxy is prepared to optimise its existing table inventory. Should no new allocation be granted, the group may reassign tables to areas delivering stronger yields. Jefferies compared this approach to the strategy already implemented at Horizon Plus, the premium gaming area within the tower housing the Capella hotel at Galaxy Macau, where table placement is concentrated in higher-margin segments.

Fewer Rooms, Larger Spaces

Feedback from customers has influenced adjustments to the project’s design. According to Jefferies, demand for more upscale accommodation has led Galaxy to increase average room sizes in Phase 4, reducing the total key count from an earlier estimate of 1,500 to approximately 1,350.

The expansion comes with a significant rise in capital expenditure. Galaxy is expected to invest between HKD10 billion and HKD11 billion in 2026, compared with HKD3.5 billion in 2025. The funds will support both Phase 4 development and upgrades across its existing portfolio.

EBITDA Emphasis and Market Position

From a financial perspective, the company is placing greater emphasis on EBITDA market share rather than overall gaming revenue share. JPMorgan Chase analysts DS Kim, Selina Li and Lindsey Qian estimate Galaxy’s adjusted EBITDA share in Macau improved from 22% in 2024 to 24% in 2025, with expectations that this level will hold steady through 2026. That would keep the operator in second place behind Sands China Ltd.

JPMorgan also highlighted disciplined cost management as a contributor to margin gains. Chairman Francis Lui Yiu Tung participated in the earnings call, noting alignment between major shareholders and minority investors under the company’s structure. Analysts observed that dividend payouts have trended upward, reflecting a balance between reinvestment in expansion and shareholder returns in Macau’s evolving gaming market.