Operators reports a 148 per cent year-on-year drop in net profits due in part to the ongoing Coronavirus crisis.
Macau.- Gaming operator SJM Holdings Limited has reported a 148 per cent year-on-year drop in net profits to a loss of HK$409 million (US$52.7million) for the first quarter of the year.
According to its latest financial report, total net revenue plunged 60 per cent year-on-year to HK$3.47billion (US$447million).
Adjusted EBITDA decreased 118.6 per cent year-on-year to a HK$200million (US$ 5million) loss, with gross gaming revenues generated by SJM casinos falling 60 per cent to HK$3.40billion (US$438million).
SJM’s VIP gross gaming revenue was 70 per cent year-on-year to HK$1.19billion (US$153million) and mass-market gross gaming revenues dropped 58 per cent to HK$2.60billion (US$335million).
“First quarter results of the Group were severely impacted by the Covid-19 outbreak, which led to the closure of Macau casinos for 15 days in February, as well as ongoing restrictions on entry from the Mainland, Hong Kong and other locations, curtailment of transportation channels and quarantine requirements,” SJM’s Executive Director, Daisy Ho, said.
“The Covid-19 outbreak will continue to have a material effect on the Group’s operating results in 2020 and possibly beyond, the extent of which depends on future conditions and developments, including the progress of the outbreak, the lifting or extension of protective measures and the overall condition of the regional economy.”
By the end of the first quarter of this year, SJM operated an average of 218 VIP gaming tables, 933 mass-market gaming tables and 1,595 slot machines.