Studio City International Holdings Ltd (NYSE: MSC) saw its stock price soar 6.67% in intraday trading on Thursday, following the release of its first-quarter 2025 financial results. The company, which operates in the entertainment resort sector, reported significant improvements in key financial metrics, signaling a potential turnaround in its business operations.

According to the earnings report, Studio City narrowed its quarterly losses to $(0.07) per share, a 2.63% improvement from the $(0.08) per share loss reported in the same period last year. The company's sales reached $161.72 million, marking a substantial 7.70% increase compared to $150.16 million in the previous year. This growth in revenue demonstrates the company's ability to attract more customers and potentially increase its market share in the competitive resort industry.

Further bolstering investor confidence, Studio City reported an operating income of $15.3 million and an impressive Adjusted EBITDA of $69.9 million for the quarter. These positive figures, coupled with the overall improvement in financial performance, appear to have fueled the significant stock price increase. While the company still reported a net loss of $16 million, the narrowing losses and growing revenue suggest that Studio City is making progress towards profitability, which has evidently resonated well with investors in today's trading session.