Genting Singapore, operator of Resorts World Sentosa (RWS), said Friday it is continuing to monitor the conflict in the Middle East and the potential impact this could have on its business but expressed confidence in the group’s long-term resilience.
The commentary was in response to questions from shareholders filed with the Singapore Exchange ahead of Genting Singapore’s Annual General Meeting next week.
Asked if the geopolitical situation in the Middle East is expected to have a significant impact on RWS, the company replied, “The Group continues to actively monitor geopolitical developments in the Middle East and assess potential implications for its business and operating environment. Given the evolving nature of the situation, Management remains focused on evaluating a range of potential direct and indirect effects, including possible impacts on international travel flows, cost conditions and broader macroeconomic sentiment.
“As conditions remain uncertain and subject to change, it is premature to draw definitive conclusions on the potential effects on the Group. The Group will continue to monitor developments closely and respond as appropriate should conditions materially evolve.
“Over the longer term, the Group’s diversified integrated resort offerings, strong financial position and Singapore’s status as a safe, well-regulated and well-connected destination support its ability to manage external uncertainties while maintaining operational resilience.”
Management was also asked about the renewal of its casino license in November 2024 for two years rather than the usual three, which Singapore’s Gambling Regulatory Authority stated at the time was due to unsatisfactory tourism performance. Specifically, the regulator said RWS must “meet the requirement to develop, maintain and promote its IR as a compelling tourist destination.”
In response to the shareholder question, Genting Singapore explained in Friday’s filing that the shortened renewal period reflected assessment years that were affected by the COVID-19 pandemic and the gradual recovery of global tourism during that period.
“Since then, the Group has progressed its RWS 2.0 transformation in alignment with Singapore’s tourism strategy and maintained close engagement with the relevant authorities,” it said. “The Board continues to oversee Management’s execution of improvement initiatives and believes the Group is well positioned for the next assessment cycle.”
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