• Subscribe
  • Magazines
  • About
  • Contact
  • Advertise
Friday 29 August 2025
  • zh-hant 中文
  • ja 日本語
  • en English
IAG
Advertisement
  • Newsfeed
  • Mag Articles
  • Video
  • Opinion
  • Tags
  • Regional
    • Africa
    • Australia
    • Cambodia
    • China
    • CNMI
    • Europe
    • Hong Kong
    • India
    • Japan
    • Laos
    • Latin America
    • Malaysia
    • Macau
    • Nepal
    • New Zealand
    • North America
    • North Korea
    • Philippines
    • Russia
    • Singapore
    • South Korea
    • Sri Lanka
    • Thailand
    • UAE
    • Vietnam
  • Events
  • Contributors
  • SUBSCRIBE FREE
No Result
View All Result
IAG
  • Newsfeed
  • Mag Articles
  • Video
  • Opinion
  • Tags
  • Regional
    • Africa
    • Australia
    • Cambodia
    • China
    • CNMI
    • Europe
    • Hong Kong
    • India
    • Japan
    • Laos
    • Latin America
    • Malaysia
    • Macau
    • Nepal
    • New Zealand
    • North America
    • North Korea
    • Philippines
    • Russia
    • Singapore
    • South Korea
    • Sri Lanka
    • Thailand
    • UAE
    • Vietnam
  • Events
  • Contributors
  • SUBSCRIBE FREE
No Result
View All Result
IAG
No Result
View All Result

SJM still carrying 2,150 excess staff following satellite casino closures, costing US$22 million per quarter in “redundant payroll”

Ben Blaschke by Ben Blaschke
Tue 22 Aug 2023 at 06:02
Road To Recovery

Grand Lisboa Palace

56
SHARES
1.4k
VIEWS
Print Friendly, PDF & Email

Macau’s SJM Holdings is still carrying 2,150 excess staff following the closure last year of five satellite casinos previously operating under its license, costing the company around HK$169 million (US$21.6 million) in “redundant payroll” as of the June 2023 quarter.

Details of the staffing situation were revealed during SJM’s 2Q23 earnings call on Monday after the concessionaire reported an Adjusted EBITDA loss of HK$103 million  (US$13 million) from its remaining satellite casinos, largely flat with the HK$105 million loss reported in Q1. Those remaining satellites are Casa Real, Landmark, Emperor Palace, Fortuna, Grandview, Kam Pek Paradise, L’Arc, Legend Palace and Ponte 16, with the company having seen Babylon, Diamond, Golden Dragon, Million Dragon and Royal Dragon all close in 2022 amid changes to how satellite casinos are administered under Macau’s new gaming law.

Macau’s Secretary for Economy and Finance Lei Wai Nong made it clear last year that concessionaires must employ former casino dealers “unconditionally” should satellite casinos operating under their license close.

In a note following SJM’s earnings call, JP Morgan analyst DS Kim explained that “the pace of rationalization of excess [SJM] staff was much slower than expected [in Q2].” He also revealed the company wants to “fully rationalize its workforce by the end of 2025, so there still appears to be a long way to go.”

Some of those excess staff will be gobbled up by the gradual ramp of SJM’s Cotai integrated resort, Grand Lisboa Palace, with the company revealing in its results announcement that it expects to have completed the training of staff members by the end of this year to bring GLP’s full complement of hotel rooms up to 1,892.

Nevertheless, Kim noted that SJM is the only operator in Macau with higher OPEX (operating expense) than pre-COVID levels at HK$18.6 million per day in Q2 versus HK$14 million per day in 2019.

“This is primarily due to the opening of GLP and the aforementioned excess staff,” he said, “but the numbers are the numbers and SJM would need to ramp up GLP much faster to enjoy a similar level of profit recovery as its peers.”

In a separate note, Credit Suisse analysts Kenneth Fong and Sardonna Fong revealed that SJM management expects GLP’s market share to increase over time from its current 2% to between 3% and 3.5% – and possibly up to 6% in the long-term – once some lagging issues are addressed. These, they explained, include the government cleaning up the area surrounding GLP, building a footbridge to provide better connectivity to the Cotai Strip, providing more F&B offerings and increasing hotel occupancy from 69% to around 90% by late 2024.

SJM is, meanwhile, planning a substantial renovation of its peninsula property Grand Lisboa, which would “focus on rooms, and introducing more casual restaurants for mass and retail areas by taking out the junket rooms,” Credit Suisse said. “The project should start in 2024 and complete by 2026.”

RelatedPosts

Sands China celebrates 1.1 billion cumulative visitors to its Macau resorts

Sands China celebrates 1.1 billion cumulative visitors to its Macau resorts

Thu 28 Aug 2025 at 19:09
IAG names Grand Lisboa Palace Resort Macau as venue and SJM Resorts S.A. as Venue Sponsor for 2025 Power 50 Black Tie Gala Dinner

SJM reports widened 1H25 loss despite GGR growing almost 12% to US$1.90 billion

Thu 28 Aug 2025 at 18:54
Capital Punishment

SJM to relocate satellite casino gaming tables, slot machines to Macau’s famous Hotel Lisboa as part of US$68 million deal with parent company STDM

Thu 28 Aug 2025 at 17:35
Asia market roundup

Asia market roundup

Thu 28 Aug 2025 at 12:26
Load More
Tags: Grand Lisboa PalaceMacauPayrollSJM HoldingsStaff
Share22Share4
Ben Blaschke

Ben Blaschke

A former sports journalist in Sydney, Australia, Ben has been Managing Editor of Inside Asian Gaming since early 2016. He played a leading role in developing and launching IAG Breakfast Briefing in April 2017 and oversees as well as being a key contributor to all of IAG’s editorial pursuits.

Current Issue

Editorial – Flipping the script

Editorial – Flipping the script

by Ben Blaschke
Thu 28 Aug 2025 at 12:30

This month represents an important milestone for Inside Asian Gaming as we launch IAG EXPO – an expansion of the...

Asia market roundup

Asia market roundup

by Ben Blaschke
Thu 28 Aug 2025 at 12:26

Inside Asian Gaming takes a deep dive into the state of Asia-Pacific’s key gaming markets: who’s hot, who’s not and...

Rewriting the rules

Rewriting the rules

by Newsdesk
Thu 28 Aug 2025 at 11:43

IAG EXPO, taking place at Newport World Resorts from 8 to 10 September, is not your usual trade show. IAG...

Test of character

Test of character

by Newsdesk
Thu 28 Aug 2025 at 11:28

Since its establishment in 1989, Gaming Laboratories International (GLI) has developed into the world’s most trusted name when it comes...

Evolution Asia
Your browser does not support HTML5 video.
Aristocrat
GLI
Nustar
SABA
Mindslot
Solaire
Hann
Tecnet
HKUST
NWR

Related Posts

Sands China celebrates 1.1 billion cumulative visitors to its Macau resorts

Sands China celebrates 1.1 billion cumulative visitors to its Macau resorts

by Pierce Chan
Thu 28 Aug 2025 at 19:09

Sands China has now welcomed more than 1.1 billion guests across its Macau integrated resorts, representing a significant milestone in its more than 20-year history operating in Macau, the company stated Thursday. In an announcement that also coincided with the...

IAG names Grand Lisboa Palace Resort Macau as venue and SJM Resorts S.A. as Venue Sponsor for 2025 Power 50 Black Tie Gala Dinner

SJM reports widened 1H25 loss despite GGR growing almost 12% to US$1.90 billion

by Ben Blaschke
Thu 28 Aug 2025 at 18:54

Macau’s SJM Holdings reported a 7.5% year-on-year improvement in gross gaming revenue to HK$14.8 billion (US$1.90 billion) and an 11.8% increase in non-gaming revenue to HK$1.01 billion (US$130 million) in the first six months of 2025, although it wasn’t enough...

Capital Punishment

SJM to relocate satellite casino gaming tables, slot machines to Macau’s famous Hotel Lisboa as part of US$68 million deal with parent company STDM

by Ben Blaschke
Thu 28 Aug 2025 at 17:35

Macau concessionaire SJM Resorts will pay HK$529 million (US$68 million) to its parent company Sociedade de Turismo e Diversões de Macau, S.A. (STDM) to acquire 7,504 square meters of floor space at Hotel Lisboa for the relocation of gaming tables...

Tecnet Asia aids Asian debut of APEX Gaming’s Clover Link at Solaire Resort Entertainment City

Tecnet Asia aids Asian debut of APEX Gaming’s Clover Link at Solaire Resort Entertainment City

by Newsdesk
Thu 28 Aug 2025 at 13:15

APEX Gaming’s Clover Link series has made its Asian debut following installation of Clover Link Extreme at Manila’s Solaire Resort Entertainment City. Tecnet Asia, the official distributor of APEX Gaming in the region, said Clover Link Extreme – renowned for...

Your browser does not support the video tag.


IAG

© 2005-2025
Inside Asian Gaming.
All rights reserved.

  • SUBSCRIBE FREE
  • NEWSFEED
  • MAG ARTICLES
  • VIDEO
  • OPINION
  • TAGS
  • REGIONAL
  • EVENTS
  • CONSULTING
  • CONTRIBUTORS
  • MAGAZINES
  • ABOUT
  • CONTACT
  • ADVERTISE

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

No Result
View All Result
  • Subscribe
  • Newsfeed
  • Mag Articles
  • Video
  • Opinion
  • Tags
  • Regional
  • Events
  • Contributors
  • Magazines
  • Advertise
  • Contact
  • About
  • Home for G2E Asia

© 2005-2025
Inside Asian Gaming.
All rights reserved.

  • English