Sands China posts net loss of US$422m for Q2
Sands China has reported a 144 per cent rise in net losses.
Macau.- Sands China has reported US$422m in net losses for Q2, an increase of 144 per cent over last year. Losses in the previous quarter had increased to US$336m.
The company reported an adjusted property EBITDA loss of US$110m. Total revenue plunged by 56 per cent year-on-year to US$368m. The group incurred US$162m in interest expenses, while borrowings of US$951m under a credit facility raised the weighted average debt balance.
Robert Goldstein, Las Vegas Sands CEO, said: “We remain confident in the recovery of travel and tourism spending across our markets. Demand for our offerings from customers who have been able to visit remains robust, while pandemic-related travel restrictions continue to limit visitation and hinder our current financial performance.”
As previously reported by Focus Gaming News, Sands China has entered into a loan agreement with Las Vegas Sands Corp (LVS) for MOP8bn (US$1bn) repayable on July 11, 2028.
After approximately two weeks of closure for casinos and virtually no visitors to the city, analysts have projected worse third-quarter results for Macau following the recent Covid-19 outbreak. Analysts at JP Morgan Securities have estimated that Macau casino operators will end the year with approximately US$800m in EBITDA losses.
The brokerage company believes Sands China currently has a minimum nine-month liquidity runway through March 2023.
