Operator News
China – SJM falls further in first quarter
By Phil - 8 May 2017
Gaming revenue at Macau operator SJM Holdings fell by 5.3 per cent in the first quarter of 2017 to HK$10,389m.
Profit however increased by 3.3 per cent over Q1 2016 to HK$580m. The increase was mainly due to increase in mass market gaming revenue. The Group’s gaming revenue accounted for 16.9 per cent of Macau’s casino gaming revenue during Q1 2017, as compared with 20.2 per cent in Q1 2016.
The Group maintained a strong and liquid financial position, with HK$12,662m of cash, bank balances and pledged bank deposits and HK$503m of debt as at 31 March 2017.
The Grand Lisboa Palace, the Group’s integrated resort on Cotai continued to make progress on construction in Q1 2017.
During the first quarter, the Group’s VIP gaming revenue was HK$4,936m, a decrease of 12 per cent from HK$5,607m in Q1 2016. Mass market gaming revenue was HK$5,196m, an increase of 1.9 per cent from HK$5,099m and slot machine (and Tombola) revenue was HK$257 million, a decrease of 3.7 per cent from HK$267m.
During Q1 2017, the Group operated an average of 315 VIP gaming tables, 1,375 mass market gaming tables and 2,549 slot machines.
Dr. Ambrose So, Chief Executive Officer of SJM Holdings Limited, commented: “SJM’s first quarter results saw a resumption of growth in mass market gaming revenue, quarter-to-quarter and year-on-year, which resulted in an increase in Adjusted EBITDA and an improvement in Adjusted EBITDA Margin for the period (exclusive of 4Q 2016 one-off items). Our Grand Lisboa Palace project on Cotai continues to make great progress and remains on budget.”
