Genting Malaysia may see Q2 rebound in profits, analysts say
Analysts at Maybank Investment Bank (IB) Research said the casino operator will have benefited from the return of gaming traffic in recent months.
Malaysia.- Maybank Investment Bank (IB) Research has predicted that Genting Malaysia company may see a better second-quarter 2022 in terms of earnings. The forecast comes a month after analysts at Hong Leong Investment Bank said the casino operator would be one of the “prime beneficiaries” of the reopening of Malaysia’s borders.
Analysts stated: “Resorts World Genting (RWG) is buzzing once again post-Covid-19. We are also encouraged that Indonesia has agreed to lift its ban on sending its citizens to Malaysia to work from Aug 1, 2022, which we hope will ease the labour shortage.”
Maybank IB Research noted that the Genting Integrated Tourism Plan is helping to expand RWG, which contributes about 80 per cent of group earnings. However, analysts stressed that since April 1, the Genting SkyWorlds theme park only attracted 3,000 to 4,000 visitors per day – about half of the research unit’s expectations.
Maybank IB Research said Genting Malaysia would share its financial results for the second quarter of the year later this month.
For the first quarter of the year, Genting Malaysia’s revenue was up 176.2 per cent year-on-year to MYR1.72bn (US$391.3m). It also reported a net loss of MYR147.9m, narrowing by 70.5 per cent. Revenue from leisure and hospitality operations more than tripled year-on-year, to MYR920m.
