Genting Singapore’s profits jumped by almost 1,600% in the first three months of 2017 on the back of improved margins and the sale of its stake in Korea’s Resorts World Jeju.
In its Q1 earning release, Genting Singapore reported net profit of S$181.1 million (US$128.7 million), up from S$10.8 million in the same period in 2016.
Adjusted EBITDA also surged by 47% year-on-year to S$283.2 million, up from S$192.5 12 months earlier and representing a 21% increase in 4Q16.
Revenue for the Group grew 5% sequentially to S$586.6 million with gaming revenue growth up 8% to S$434.4 million, underpinned by strong performances from VIP gaming and premium mass.
Genting Singapore reported 1.5 million visitors over the period with hotel occupancy at 92%.
Key to the results was the disposal of the Group’s 50% share in Resorts World Jeju in November, which it said, reaped a gain on disposal for the Group of S$96.3 million, leading to a more than five-fold year-on-year jump in net profit after tax from S$40.2 million to S$210.2 million.
Central to its Korean exit is Japan, with Genting Singapore reaffirming its intention to pursue a Japanese gaming license should the anticipated Integrated Resorts Implementation Bill pass the Diet in December 2017.
“We are continuing with our growth and diversification plan and are allocating resources in tandem with the progress of the Japan IR Execution Bill, which will pave the way for the formal bidding process of the Japan gaming licences,” it said.
