Genting Singapore said on Friday that gross earnings from its casino-resort
in the second quarter fell 34 percent from the previous three months, lagging behind rival Marina Bay Sands, as it was hit by lower win percentages in its premium players segment.
Resorts World at Sentosa made S$352.5 million ($290.9million) in earnings before interest, tax, depreciation and amortisation (EBITDA) in April-June, down 33 percent from the S$524.6 million reported for the year ago period.
This was also 34 percent lower than the S$537.9 million it earned in the first quarter of this year. Its EBITDA was lower than the $405.4 million reported by Marina Bay Sands, Singapore’s only other casino owned by Las Vegas Sands , for the same period.
Resorts World’s net revenue for the second quarter was S$716 million, 22 percent lower than the preceding quarter due to unfavourable win percentages for its premium players segment, Genting said.
Singapore legalised casino gaming and allowed the building of two massive casino-resorts in 2005 as part of a plan to boost tourism. Genting’s $4.8 billion Resorts World on Sentosa island opened its doors in February last year, while the $5.5 billion Marina Bay Sands started two months later.
The Singapore casinos are the world’s second and third most expensive casino complexes after MGM’s CityCentre in Las Vegas, and their profits and profit margins are among the highest globally.
Las Vegas Sands Corp swung to a net profit of $367.6 million in the second quarter, bolstered by improved business in Macau and Singapore, the world’s two most lucrative gambling markets.
