Genting Singapore has announced a 15% year-on-year increase in revenue to SG$675.1 million and a 3% rise in profit to SG$217.2 million in the three months to 31 December 2018.
The positive results came on the back of a major upsurge in VIP where rolling chip volume increased by 36% year-on-year and 25% sequentially to SG$9.4 billion, helping Resorts World Sentosa increase its market share versus Marina Bay Sands by four percentage points to 41%.
Gaming revenue as a whole grew 17%, smashing consensus, with Adjusted EBITDA up 27% to SG$358.9 million.
“The ongoing strategy to focus on affluent regional business proved to be effective as the mass and premium mass business continued to deliver encouraging results,” Genting Singapore said in its 1Q18 earnings release.
“The Lunar New Year period saw bustling VIP rolling volume, notwithstanding a calibrated credit risk model. At the same time, non-gaming business recorded a 10% jump in revenue with daily average visitation exceeding 18,000 across the attractions. Hotel occupancy still achieved a high occupancy rate of 94%.
“Excluding the once-off gain of SG$96.3 million on disposal of the Group’s investment in Korea (Genting Singapore sold its full stake in Jeju Shinhwa World to Landing International) from the same quarter last year, the year-on-year growth in net profit after taxation would have been a jump of 91%.”
Genting Singapore also reiterated its Japan ambitions, stating that it is “actively preparing” to begin the bidding process.
“We are pleased that the IR Implementation Bill has been submitted to the Japan Diet for debate on 27 April and debate on this bill will commence within the appropriate time frame this year,” the company said.
“The progress for the establishment of IRs in Japan has been very encouraging. We are excited at this opportunity to be a partner for the development of the tourism industry in Japan. In this regard, we are actively preparing for the ensuing bidding exercise by the respective government authorities.”
