Genting Singapore profits dipped 5% to $205.47m in Q1

Gaming revenues fell 8% YoY to $430.18m.

Genting Singapore started off 2019 on a weak note after profits slipped 5% YoY to $205.47m in Q1 from $217.19m in 2018, an announcement revealed. Revenue also dipped 5% YoY from $675.11m to $640.36m.

The firm’s earnings before interest, tax, depreciation and amortisation (EBITDA) stood at $329.68m in Q1 2019, down 8% YoY from $358.94m in 2018.

Whilst its gaming business registered an 8% YoY drop in revenue from $467.27m to $430.18m, revenues from non-gaming business registered its eighth consecutive quarter of growth from $207.27m to $209.29m thanks to higher spend per visitor. Genting Singapore’s key attractions drew in a daily average visitation of over 19,000, according to its financial statement.

Hotel occupancy remained high at 93% in Q1. Genting Singapore’s earnings per share (EPS) slid from $0.018 in Q1 2018 to $0.017 in Q1 2019.

During the quarter, Resorts World Sentosa (RWS) embarked on a redevelopment investment of approximately $4.5b to expand and transform its integrated resort to deliver new attractions, entertainment and lifestyle offerings from 2020 onwards.

Also read: Genting Singapore and Marina Bay Sands to invest $9b in expansion works

Its mega expansion plans include the addition of two new immersive environments – Minion Park and Super Nintendo World – added to Universal Studios Singapore, whilst S.E.A. Aquarium will be expanded into the current Maritime Experiential Museum, and rebranded as the Singapore Oceanarium.

In Japan, the group has taken a step towards opening integrated resorts with some cities conducting feasibility studies and the Request-for-Concept (RFC) process to deepen the understanding of integrated resorts, and engage in dialogues with interested operators.

“The group is stepping up its efforts and deploying more resources to be seriously engaged in the anticipated competitive bid process,” Genting Singapore highlighted. The Request-for-Proposal (RFP) process is expected to be initiated by cities once the Japanese government officially publishes the National Guidelines.