Genting Singapore shares fall as high rollers play less, resort revamp continues
Sign up now: Get ST's newsletters delivered to your inbox
Net profit fell 42% year on year to $54.7 million for the three months ended Sept 30, while revenue fell 13% to $566.1 million.
ST PHOTO: GAVIN FOO
- Genting Singapore’s profit fell 42% to S$54.7 million and revenue dropped 13% to S$566.1 million, as high rollers played less at Resorts World Sentosa.
- Casino revenue fell 22% to S$315 million, hit by weaker premium gambling and a lower share of wagers kept in September, though Genting said this matched regional trends.
- RWS is still being upgraded through 2027, with marketing, events and new Weave openings aimed at drawing premium visitors and boosting long-term appeal.
AI generated
SINGAPORE – Shares of Genting Singapore were down by more than 6% at 57 cents at noon on Nov 13, after the company reported another quarter of shrinking profits, as high rollers played less at Resorts World Sentosa (RWS) and ongoing renovations at the resort crimped visitor footfall and spending.
Net profit fell 42% year on year to $54.7 million for the three months ended Sept 30, while revenue fell 13% to $566.1 million, Genting Singapore said in a business update on Nov 12.
Both net profit and revenue for the July to September quarter were also lower than in the previous quarter from April to June.
Casino revenue fell 22% to $315 million for the quarter under review compared with a year ago, as lower activity among premium gamblers and a lower-than-usual share of wagers retained by the casino in September further dented revenue. However, Genting said this was in line with trends in key regional markets.
The group said adjusted earnings before interest, taxes, depreciation and amortisation for the quarter, a measure of operating performance, would have been about $36 million higher than the reported $161.8 million if the casino had kept its usual share of premium wagers.
Outside the casino, non-gaming revenue rose 1% year on year to $250.9 million for the quarter, despite fewer hotel rooms being available.
This was up 29% from the previous quarter, although Genting did not elaborate on what drove the increase.
The resort operator is banking on the year-end holiday season to draw visitors, even as upgrades to its hotels, gaming areas and other guest spaces limit how much of the resort it can operate through 2027.
As part of efforts to attract premium customers, the resort is stepping up its marketing and using events and new openings at Weave, its retail and dining precinct, to give guests more reasons to visit.
At the same time, RWS is revamping its gaming areas, lounges, restaurants and other guest spaces.
It expects the upgrades to improve its hotel offerings and broaden the resort’s appeal over the longer term.