- Genting Singapore (SGX:G13)'s 2QFY23 results modestly missed our projections, even with a favourable luck factor. It posted 2QFY23 adjusted EBITDA of S$252.6m (up 36.0% q-o-q, 81.2% y-o-y), taking 1HFY23 EBITDA to S$452.5m, which formed 43% of our full year forecast.
- - Read this at SGinvestors.io -
- Notably, without the quarter's unusually high VIP win rate, the group’s adjusted EBITDA would have deviated more significantly from our estimate, settling around an estimated S$214m when normalised for hold.
Broad-based rebound in revenue was largely in line with expectations.
- - Read this at SGinvestors.io -
- On a hold-normalised basis, gross gaming revenue inched up by 3.0% q-o-q to S$547.9m during the quarter, closely mirroring the level in 2QFY19.
- Growth in Genting Singapore’s non-gaming segment was even more impressive, rising by 30.7% q-o-q and 76.9% y-o-y to S$188.7m, fueled by an increase in attendance with more tourists visiting Singapore. Daily attendance across all attractions rose to 12,000 visitors in 2QFY23 from 8,500 in the previous quarter.
- Adjusted EBITDA margin improved sequentially to 43.8% in 2QFY23, up from 1QFY23 (39.6%), but fell short of its pre-pandemic range of 45-50% due to the abovementioned cost pressures and Genting Singapore still operating below optimal scale.
Interim dividend of 1.5 cents per share declared
- Read more at SGinvestors.io.
