Genting Singapore - UOB Kay Hian 2024-02-23: Ending 2023 With A Slight Bump

• Tracing Marina Bay Sands, Genting Singapore’s 4Q23 results reflect operational normalisation from 3Q23’s high base due to an absence of mega entertainment events and lower visitations.
• That said, we observed higher regional tourist arrivals and consumption moving into 2024, especially during the CNY period.
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4Q23 results well within our expectations, but below consensus’.

• Genting Singapore (SGX:G13) reported 4Q23 revenue (-6% q-o-q, +19% y-o-y) and EBITDA (-34% q-o-q; -11% y-o-y). 2023 net profit represented 101% and 92% of our and consensus full-year forecasts respectively.

Qoq earnings weakness attributed to absence of crowd-pulling events.

• - Read this at SGinvestors.io -
• The absence of mega entertainment events such as the F1 events in 3Q23 resulted in normalisation of gaming volume on fewer VIP high rollers, besides lower hotel and F&B contributions.
• To note, Singapore’s 4Q23 total visitor arrivals of 3.47m declined about 10% q-o-q and merely represented around 73% of 2019’s.

Sustaining final dividend of S$0.02, full-year payout ratio of about 70%.

• Read more at SGinvestors.io.

Jack Goh UOB Kay Hian Research | https://research.uobkayhian.com/ 2024-02-23 SGinvestors.io

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