MGM China (HKG:2282) shares plummeted 5.55% in Friday's trading session, despite reporting improved financial results for 2024. The casino operator's stock decline comes as a surprise given the company's announcement of higher profit and revenue figures.

According to the company's filing with the Hong Kong stock exchange, MGM China's attributable profit for 2024 rose to HK$4.60 billion, up from HK$2.64 billion in 2023. Earnings per share increased to HK$1.206 from HK$0.692 in the previous year. However, this fell slightly short of analysts' expectations, as Visible Alpha had estimated EPS at HK$1.24.

The company's operating revenue also showed significant growth, reaching HK$31.4 billion compared to HK$24.7 billion in the previous year. This figure surpassed Visible Alpha analysts' forecast of HK$30.8 billion. Despite these positive results, the market reaction suggests that investors may have been anticipating even stronger performance or are concerned about other factors affecting the company's outlook. The sharp stock decline indicates that the financial results, while improved, did not meet the high expectations set by the market.