- Genting Singapore's 3Q24 earnings missed our expectations on a combination of lower-than-expected VIP volume and mass market gross gaming revenue coupled with higher-than-expected bad debts.
Results came in below our expectations
- - Read this at SGinvestors.io -
- On closer inspection, the shortfall was largely due to 9M24 VIP volume of S$26b (+8% y-o-y) coming it at 66% of our full year estimate and higher-than-expected bad debts, we suspect.
VIP and mass markets a tad weaker-than-expected
- - Read this at SGinvestors.io -
- That said, we note that the higher EBITDA margin yielding 3Q24 mass market gross gaming revenue (~60%) eased 6% q-o-q despite visitor arrivals peaking in the 3Q. Genting Singapore attributed this to fewer premium mass gamblers due to the full closure of the 364 room Hard Rock Hotel, which will reopen in 1Q25.
Cut core net profit estimates by 16-17%
- Read more at SGinvestors.io.
