The agency has reaffirmed the company’s B3 corporate family rating.<\/p>\n\n\n\n\n\n\n\n
Cambodia.- Moody<\/strong>\u2019s announced on Wednesday (June 5) that it has updated the outlook of NagaCorp from\u00a0negative to stable<\/strong>\u00a0while keeping the company’s corporate family rating at B3<\/a>. The agency also affirmed the B3 senior unsecured rating of the company’s US dollar bond, guaranteed by the major operating subsidiaries of NagaCorp.<\/p>\n\n\n\n Moody\u2019s analyst Yu Sheng Tay\u00a0<\/strong>said: \u201cThe change in outlook to stable reflects our view that refinancing risk has abated as NagaCorp has sufficient funds to repay its U.S. dollar bond in July. Liquidity has improved over the past 12 months, helped by the drawdown of a shareholder loan and reduction in discretionary spending.\u201d<\/p>\n\n\n\n The rating agency anticipated earnings before interest, taxes, depreciation, and amortization (EBITDA) \u201cwill rise to US$320m or US$370m in the next 18 months,\u201d from US$295m in 2023, as the tourism industry in Cambodia gradually rebounds. The agency said the B3 rating \u201creflects the fundamental changes for gaming operators in the area, as the VIP gaming business has declined significantly due to regulatory limitations on junket operations.\u201d<\/p>\n\n\n\n NagaCorp\u2019s EBITDA over the next 18 months was \u201cless than 60 per cent of the amount generated by the company in 2019, indicating a slower recovery compared to its counterparts in the region.”<\/p>\n\n\n\n NagaCorp<\/a> posted gross gaming revenue (GGR) of US$145m for the first quarter of the year, up 23.7 per cent when compared to Q1 2023.\u00a0Earnings before interest, tax, depreciation and amortisation (EBITDA) was US$80.3m, up\u00a033 per cent year-on-year.\u00a0GGR for Mass Market table games increased by 34 per cent. The key growth driver was premium mass high-limit table games, up 51 per cent in year-on-year terms.<\/p>\n\n\n\n It has drawn down US$70m<\/a> from\u00a0a US$80m loan agreement<\/a>\u00a0it received last October to refinance and discharge a portion of outstanding 2024 notes. The company said it is confident that the notes will be discharged in full upon maturity.<\/p>\n","protected":false},"excerpt":{"rendered":" The agency has reaffirmed the company’s B3 corporate family rating.<\/p>\n","protected":false},"author":176,"featured_media":25662,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"is_press_release":false,"is_interview":false,"is_opinion":false,"focusai_summary":"Moody's has updated NagaCorp's outlook from negative to stable, reaffirming its B3 corporate family rating, citing abated refinancing risk due to improved liquidity and a shareholder loan drawdown. This comes as the company demonstrates GGR growth in Q1, particularly in premium mass, despite a slower overall recovery compared to regional counterparts and ongoing challenges in VIP gaming due to regulatory shifts in Cambodia.","focusai_entities":"Moody's, NagaCorp, Yu Sheng Tay","focusai_location":"Cambodia","focusai_target_profile":"ceo_executive (0.9), regulator (0.7), operator_casino (0.9), investor_analyst (1.0), journalist_researcher (0.9)","focusai_suggestions":[{"label":"NagaCorp Refinancing Strategy","query":"What specific terms and conditions of the recently drawn US$70m shareholder loan mitigate future refinancing risks for NagaCorp's 2024 notes beyond the immediate maturity?"},{"label":"Cambodia Gaming Market","query":"How do the current regulatory limitations on VIP junket operations in Cambodia specifically impact NagaCorp's long-term GGR diversification strategy and its ability to achieve pre-2019 EBITDA levels?"}],"footnotes":""},"categories":[157,16333],"tags":[2336],"class_list":["post-777016190","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-news","category-south-east-asia-news","tag-nagacorp"],"_links":{"self":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777016190","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/users\/176"}],"replies":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/comments?post=777016190"}],"version-history":[{"count":2,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777016190\/revisions"}],"predecessor-version":[{"id":777016214,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777016190\/revisions\/777016214"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media\/25662"}],"wp:attachment":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media?parent=777016190"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/categories?post=777016190"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/tags?post=777016190"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}