2Q25 results below expectations due to higher labour costs, partially offset by lower provisions and better gaming volumes. Genting Singapore reported adj. EBITDA of S$188mil, down 7% y-o-y and 20% q-o-q.
- Read this at SGinvestors.io -
Solid gaming performance contrary to earlier expectations.
We were initially cautious on the back of the soft regional macroeconomic environment and tighter credit control potentially curbing VIP volumes. However, these concerns proved unfounded, with Genting Singapore delivering strong VIP rolling volume growth of an estimated 15% y-o-y and 5% q-o-q. This was partially offset by weakness in slot revenue, which declined by an estimated 17% y-o-y and 10% q-o-q.
- Read this at SGinvestors.io -
Adj. EBITDA margin at a new low of 31.9% due to steep increase in labour costs on modest revenue growth.
Overall revenues rose 3% y-o-y in 2Q25, supported by gaming revenue growth of 5% y-o-y despite macroeconomic headwinds. However, non-gaming revenue fell 5% y-o-y, impacted by the closure of the SEA Aquarium in May and June ahead of its relaunch as the Oceanarium in July, as well as lower room occupancy and room rates.
Despite stronger gaming performance, overall margins saw a sharp decline, largely due to elevated staff costs in preparation for the Oceanarium’s opening. Comparing 1H24 to 1H25, staff costs shot up by 17% y-o-y.
Declared 1H25 interim dividend of 2.0 cents.
Read more at SGinvestors.io.
Above is an excerpt from a report by DBS Group Research. Clients of DBS may access the full PDF report @ https://www.dbs.com/insightsdirect/.
