Strong domestic performance drives GENM 18Q1 results

Genting Malaysia Berhad, operator of Resorts World Genting (RWG) in Malaysia reported a 16 percent improvement in net profit for the first quarter of 2018, according to a filing to Bursa Malaysia.

Net profit reached RM342.1 million (US$85.9 million), while total revenue for the group rose 8 percent to RM2.4 billion in 18Q1. Adjusted EBITDA improved by 8 percent to RM607.7 million.

Genting said its Malaysian operations recorded a 19 percent gain in revenue in the quarter, primarily due to overall higher business volumes as a result of the opening of new facilities and attractions under the Genting Integrated Tourism Plan (GITP).

The company also noted a growth in visitors to its flagship property – reaching 6.5 million in the quarter, up 26 percent year-on-year.

Domestically, Genting said it is now focused on rolling out of the Skytropolis indoor theme park and the highly anticipated Twentieth Century Fox World Theme Park which it expects will boost visitations further to the resort.

Overseas, Genting said it recorded overall lower revenue and adjusted EBITDA in United Kingdom and Egypt, mainly due to overall lower volume of business and hold percentage from its premium gaming segment.

It’s US and Bahamas operations also reported lower revenues due mainly to the strengthening of the Malaysian Ringgit to U.S. dollars.

Looking ahead, genting said it is optimistic on the opportunities and growth potential of international tourism.

“The Group will place emphasis on strategic marketing efforts and leverage on the introduction of new world-class facilities and attractions at RWG to expand into regional markets,” it said.