Genting Malaysia has opened a new mass gaming floor at its flagship Malaysian integrated resort, Resorts World Genting, as it continues upgrade work on the shuttered Circus Palace and Hollywood casinos, according to a note from Maybank Investment bank.
Analyst Samuel Yin Shao Yang said the new gaming floor, Genting Casino, was operational during a recent visit on 30 December and comprised two different areas with distinct themes. One, he said, is similar to the property’s existing Sky Casino while the other is traditional Chinese, with 36 conventional gaming tables plus “a lot of lower yielding slot machines and electronic tables … but we understand that margins are higher as fewer staff are required.”
The new mass floor is said to cover for the absence of the Circus Palace and Hollywood mass gaming floors, which closed suddenly early last year and have not reopened since.
According to Yin, renovations on those floors are underway while Genting Malaysia management had confirmed that they will reopen “eventually”, albeit without a firm date set at this stage.
He also noted that the existing Sky Casino now offers a smoking lounge for players although the newly opened Genting Casino mass floor does not.
“We are positive that Genting Malaysia has opened another mass gaming floor [although] it is nowhere near the size of the Circus Palace and Hollywood mass gaming floors which remain closed for renovations,” the analyst wrote.
“Thus, we refrain from raising our earnings estimates and [target price]. Nonetheless, we continue to believe that Genting Malaysia’s valuations are attractive.”
