Genting Singapore H1 profit falls 33.54% to $156.5 million despite stable revenue
Earnings have been affected by higher depreciation, lower interest income and asset refresh works.
Genting Singapore reported a 33.5% drop in profit for the first half of the year, ending June 30, with a profit of $156.1 million compared to $234.7 million in the previous year. The decrease was due to higher depreciation, lower interest income, and asset refresh works, as well as a softer operating environment with lower demand during the second quarter, moderating tourism arrivals, and more measured consumer spending.
Despite the decline in profit, revenue remained stable at $1.2 billion, a 0.9% decrease year on year. This was mainly due to growth in non-gaming revenue, which reached $388.6 million, a 6% increase from the previous year. The gaming revenue, however, fell by about 4% to $804.4 million. The "other revenue" segment contributed $10.3 million.
Earnings per share for the half-year dropped to $0.0129 from $0.0194 a year earlier, while the interim dividend remained unchanged at $0.02 per share and will be paid out on September 17. The adjusted earnings before interest, taxes, depreciation, and amortisation (Ebitda) declined by 8.4% to $389.8 million from $423.7 million previously.
Although casino revenue slipped for MBS in the second quarter, it remained the largest contributor, bringing in $1 billion. MBS profit fell by 10.3% to $689 million in the quarter, but it remains a bright spot for Las Vegas Sands. Genting Singapore's Las Vegas resort, Resorts World Sentosa (RWS), reported an adjusted Ebitda of $210.8 million in the second quarter, up 18% quarter on quarter and 12% year on year.
The group attributed this growth to new offerings and operational resilience. The company mentioned that cash flow is being impacted by ongoing capital expenditure for the RWS 2.0 transformation, which is scheduled for completion in 2030. The company also mentioned that refresh and upgrading works are being planned for Hotel Michael, Crockfords Tower, dining venues, and key guest-facing areas, with new and revitalized facilities planned for progressive introductions over 2027 and 2028.
Following the announcement of the results, shares of Genting Singapore jumped by 6.4% to 66.5 cents on August 14.
Written by urgent.news from Straits Times Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
This story
This is one outlet's version. Read the fullest account.
