NagaCorp, operator of NagaWorld in Phnom Penh, Cambodia, fell to a US$147 million loss in 2021, impacted by the lengthy closure of its integrated resort which limited casino operations to less than six months of the year.
The loss, down from a profit of US$102.3 million in 2020, followed a 74.3% decline in gross gaming revenue for the period. The group did, however, record positive Adjusted EBITDA of US$22.4 million for the year.
In publishing its FY21 results overnight, NagaCorp said it has continued to see reasonable traffic in the mass market segment – and particularly premium mass – due primarily to a “reasonably sized expatriate community and to some extent, visitors from East Asia (mainly from China, South Korea and Taiwan) patronising NagaWorld in search of entertainment.”
As a result, premium mass GGR declined by only 38.2% year-on-year to US$48.7 million compared with a 74.3% decline in Referral VIP to US$64.4 million. Mass table GGR fell 61.9% to US$66.5 million and EGM revenue by 46.6% to US$44.0 million.
NagaCorp also noted improving results through 4Q21 and into January 2022 following the reopening of casino operations on 15 September. NagaWorld was closed from 2 March 2021.
“Despite a significant drop in the Referral VIP business due to the travel restrictions in the region, our Net Gaming Revenue was not adversely impacted as a result of the stable demand from the Premium Mass and Mass Market segments,” the company said.
Preparatory works on NagaCorp’s US$3.5 billion Naga3 development are ongoing, with main building work due to begin in early 2023 following completion of the foundation, basements and ground floor.
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