Genting Singapore’s first-half profit more than triples on improved visitor arrivals
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The better performance came even as limited air capacity from certain regional countries and higher airfares impacted leisure travel.
PHOTO: RESORTS WORLD SENTOSA
Yong Jun Yuan
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SINGAPORE - Genting Singapore posted a net profit of $276.7 million for the six months ended June 30, more than three times the $84.4 million in earnings in the same period a year ago.
This came on the back of a 62.9 per cent increase in revenue to $1.1 billion over the same period, from $663.1 million a year ago.
In a bourse filing on Thursday, the company attributed the better performance to a higher number of foreign visitor arrivals to Singapore, even as limited air capacity from certain regional countries and higher airfares impacted leisure travel.
At the property level, Genting Singapore noted that Resorts World Sentosa (RWS) delivered 37 per cent higher adjusted earnings before interest, tax, depreciation and amortisation of $268.4 million quarter on quarter in the second quarter of 2023.
“The better performance was a result of the rebound in non-gaming business, a higher-than-theoretical VIP win rate and recovery in regional gaming business,” the company said.
It also said that on a hold-normalised basis, gross gaming revenue rose 3 per cent quarter on quarter to $547.9 million, near pre-pandemic levels in 2019.
“Non-gaming revenue improved 31 per cent quarter on quarter to $188.7 million due to improved attractions’ attendance and spend per customer, driven by intensified marketing and promotional efforts,” the company added.
An interim dividend of 1.5 cents per share was declared for the half year, up from the one cent per share dividend declared for the same period a year ago. It will be paid out on Sept 22.
As for its outlook, the company said it is aiming to begin construction on projects such as the new Waterfront building, the Equarius Hotel extension and the new Health and Wellness Centre in 2024, following government approvals.
Meanwhile, in a separate bourse filing, RWS announced the appointment of Ms Lee Shi Ruh as its president from Sept 1.
Ms Lee will report to RWS chairman and chief executive Tan Hee Teck and assist him in overseeing operations, managing the group’s financial affairs, and shaping and developing its people and culture strategy.
She has close to 30 years of experience in the leisure and gaming industry, and has served as Genting Singapore’s chief financial officer as well as RWS’ chief people officer.
Genting Singapore shares closed 3.8% higher at 95½ cents on Friday. THE BUSINESS TIMES
