Local operator Sociedade de Jogos de Macau saw an across-the-board decrease in the results of its operations during the first half of the year, according to the group’s filing with the Hong Kong Stock Exchange.
Total revenue fell 1.9 per cent, to HK$20.64 billion, while gaming revenue decreased 2 per cent, to HK$20.37 billion, profit falling 12.9 per cent, to HK$955 million and adjusted EBITDA (earnings before interest, taxation, depreciation and amortization) fell 7.7 per cent to HK1.5 billion.
Mass market revenue fell 0.5 per cent during the period, year-on-year, while VIP decreased 3.4 per cent. Slot machine operations also fell 3.2 per cent year-on-year.
The group’s three self-promoted casinos – Casino Lisboa, Casino Oceanus at Jai Alai and Casino Taipa – saw a 22 per cent drop in profit during the period, to HK$165 million, with revenue falling 1.5 per cent to HK$3.04 billion. This came on the back of a 14.2 per cent year-on-year reduction in VIP revenue from the casinos, to HK$999 million, despite a 5.4 per cent increase in their mass revenue, at MOP1.92 billion.
For the group’s 15 satellite casinos -13 of which are on the Peninsula, and two in Taipa – the group saw an 8.2 per cent drop in revenue, to HK$10.02 billion, with a 15.6 per cent drop in profit, to HK$283 million.
The group’s 51 per cent interest in the Sofitel at Ponte 16 non-gaming operation saw a HK92 million contribution to the group during the period, as the hotel maintained 88.8 per cent occupancy.
Currently, SJM is ‘working with the local authorities to achieve recommencement of work’ on the Grand Lisboa Palace in Cotai, and ‘continues to anticipate opening’ the property ‘in the second half of 2018’.