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Maybank cuts Genting Berhad earnings estimates by 4–14% following 2Q25 miss

Viviana Chan
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Maybank cuts Genting Berhad earnings estimates by 4–14% following 2Q25 miss

Investment bank Maybank has reduced its earnings forecasts for Malaysian gaming conglomerate Genting Malaysia Berhad by 4 to 14 percent after the company’s second quarter 2025 results fell short of expectations, marking the first time the group failed to declare an interim dividend.

Maybank analyst Samuel Yin Shao Yang maintained a ‘buy’ rating for Genting but lowered the target price, citing underperformance at key subsidiaries Resorts World Sentosa (RWS) in Singapore and Resorts World Las Vegas (RWLV). The analyst described the 2Q25 results as ‘a smaller miss this time’ compared with the first quarter shortfall.

Genting’s second quarter core net profit of MYR322.5 million ($68 million) brought the six-month total to MYR448.5 million ($95 million), representing just 47 percent of Maybank’s full-year estimate. The company’s six-month EBITDA of MYR4 billion ($841 million) also missed projections at 45 percent of the annual forecast.

The earnings shortfall was primarily attributed to construction disruptions at RWS related to the property’s major transformation project, known as RWS 2.0, which affected mass-market gaming revenue and non-gaming income. Additionally, RWLV’s six-month EBITDA of $28 million fell significantly short of expectations, representing only 20 percent of Maybank’s full-year estimate.

Genting Singapore

Outlook for RWS and RWLV diverges

‘RWS ought to recover but not so sure about RWLV,’ Yin said in the research note, expressing concern about the Las Vegas property’s recovery pace despite expectations for improvement after paying a $10.5 million fine to Nevada gaming regulators in March 2025.

Revenue trends and currency headwinds

Genting reported group revenue of MYR6.8 billion ($1.43 billion) for the second quarter, representing a marginal 1 percent decline from the same period last year. The company’s adjusted EBITDA fell to MYR2.1 billion ($441 million) in 2Q25 from MYR2.2 billion ($463 million) in 2Q24, with currency headwinds from a strengthening ringgit against major currencies contributing to the decline.

Net profit more than doubled quarter-on-quarter, rising from MYR277.6 million ($58 million) in 1Q25 to MYR680.8 million ($143 million) in 2Q25, though this improvement was insufficient to offset the first quarter weakness.

Resorts World Las Vegas, Genting Bhd

Broad weakness carrying into 2Q25

For the first half of 2025, group revenue declined 7 percent to MYR13.3 billion ($2.8 billion) while EBITDA dropped 15 percent to MYR4.1 billion ($862 million) compared with the same period in 2024. The weaker performance was primarily driven by the leisure and hospitality division, which encompasses the company’s casino and resort operations.

RWS experienced a challenging period with mass-market gaming revenue falling 11 percent year-on-year to approximately SG$F365 million ($270 million) in the second quarter due to ongoing construction works. However, the property saw some positive developments with increased visitation to Universal Studios Singapore following the launch of Minion Land in February 2025.

RWLV continued to face headwinds with hotel occupancy declining to 80.2 percent in 2Q25 from 89.4 percent in the prior-year period, while average daily rates increased to $265 from $257. Gaming industry sources cited higher prices, immigration enforcement, and economic uncertainty as factors contributing to reduced Las Vegas visitation.

Dividend policy shift as focus turns to debt reduction

Maybank revised its annual RWLV EBITDA estimate downward to $100 million from $150 million and reduced RWS mass-market gaming revenue and non-gaming revenue forecasts for 2025. Despite the earnings cuts, the analyst maintained unchanged dividend estimates of 11 sen per share annually, expecting the full amount to be declared in the fourth quarter.

The company’s decision to skip the interim dividend marks a departure from historical practice as management focuses on debt reduction and capital allocation for growth initiatives across its global portfolio of gaming and hospitality assets.

Thailand gaming legalization suffers major blow as Paetongtarn ousted, Anutin eyes premiership

Viviana Chan
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Thailand gaming legalization suffers major blow as Paetongtarn ousted, Anutin eyes premiership

Thailand’s casino legalization plans have suffered a severe setback following the Constitutional Court’s dismissal of Prime Minister Paetongtarn Shinawatra on August 29th, with casino opponent Anutin Charnvirakul now positioned to take power and potentially kill the controversial casino bill.

Shinawatra, a key advocate for legalizing casinos within entertainment complexes to boost tourism and economic growth, was removed from office by a six-to-three court ruling over ethics violations stemming from a leaked phone call with Cambodia’s former leader Hun Sen. The decision marks the end of the Shinawatra family’s latest push for pro-business gaming reforms, which had faced strong resistance from conservative factions.

Anutin Charnvirakul, Thailand
Anutin Charnvirakul, Bhumjaithai Party leader

Within hours of the ruling, Bhumjaithai Party leader Anutin Charnvirakul declared he had secured enough parliamentary backing to form a new coalition government, positioning himself as Thailand’s next prime minister. The development represents a dramatic political shift that threatens to halt the casino legislation entirely, as Anutin has consistently opposed gaming legalization throughout his career.

“As Bhumjaithai’s leader and prime ministerial candidate, I have been ready since 2019,” Anutin told reporters at a press conference, stressing his party’s commitment to addressing national challenges and restoring stability. His bid is supported by the People Party, which controls 143 seats in the House of Representatives, the largest bloc in parliament.

The casino bill, which had gained momentum under Paetongtarn’s administration despite cultural and legal prohibitions against gambling, now faces an uncertain future. The Shinawatra family, including former Prime Minister Thaksin Shinawatra, had publicly championed the legislation as vital to attracting foreign investment and creating jobs in Thailand’s tourism-driven economy.

Before her removal, the casino bill scheduled for a vote in July was withdrawn by the Cabinet amid Paetongtarn’s suspension and strong public concerns.

Bangkok Thailand

Phone call controversy triggers downfall

Paetongtarn’s removal stemmed from a June 15th phone call with Hun Sen, in which she addressed him as “uncle” and appeared to criticize Thai military officials while discussing border tensions. The conversation—released by Hun Sen himself—occurred weeks before a deadly five-day border clash that left dozens dead and displaced more than 260,000 people.

The Constitutional Court ruled that Paetongtarn’s conduct compromised national interests, concluding that her “personal relationship appeared to align with Cambodia” and violated ethical standards expected of the prime minister’s office. While she defended her approach as a negotiating tactic to avoid violence, the court determined her actions had cast public doubt on her loyalty to Thailand.

Coalition realignment under Anutin

The ruling has already fractured the ruling coalition, with Bhumjaithai withdrawing support during the Hun Sen controversy, leaving Pheu Thai with only a slim majority.

Under an agreement with the People Party, Anutin has pledged to dissolve parliament within four months of delivering his policy statement and call fresh elections. This timeline suggests any casino legislation will face significant delays—even if revived—as the country heads toward another electoral cycle.

The setback is the latest blow to the Shinawatra dynasty, which has shaped Thai politics for more than two decades. Paetongtarn becomes the third family member to see her premiership cut short, following her father Thaksin’s ouster in the 2006 coup and her aunt Yingluck’s dismissal by the Constitutional Court in 2014.

SJM’s weaker 2Q25 results due to Grand Lisboa Palace struggling to ramp up: Seaport

Nelson Moura
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SJM’s weaker 2Q25 results due to Grand Lisboa Palace struggling to ramp up: Seaport

The weaker second-quarter results reported by Macau casino operator SJM Holdings were mainly due to the sluggish ramp-up at its flagship Grand Lisboa Palace and a loss of market share across all property segments, according to brokerage Seaport.

SJM’s adjusted EBITDA fell 21 percent year-on-year to HK$688 million ($88 million), about 25 percent below consensus.

Revenue rose 5.7 percent from a year earlier to HK$7.27 billion ($933 million), but the company swung to a net loss of HK$213 million ($27.3 million) from a profit in the prior quarter — its third straight quarterly decline in both profit and EBITDA.

Seaport Senior Analyst Vitaly Umansky highlighted the Grand Lisboa Palace as the main source of weakness. The Cotai resort, a multi-billion-dollar investment seen as critical to SJM’s long-term growth, captured only 2.3 percent of the market in the quarter, down from 2.8 percent in the first three months of the year.

The brokerage said the property’s ramp-up has been ‘anemic’, weighed down by low VIP hold and limited traction in the higher-growth premium mass segment, with returns on investment likely to remain sub-optimal.

Overall market share slipped to 12.3 percent, down from 13.5 percent in the first quarter and 13.9 percent a year ago. Seaport noted that SJM lost share across every property category and is unlikely to regain momentum in the near term, with its positioning in the premium segment seen as weaker than rivals.

To counter the decline, SJM said it will expand its iconic Casino Lisboa on the Macau peninsula.

The company has agreed to purchase additional space in the adjoining Lisboa Hotel for HK$582 million ($74.66 million), with plans to enlarge the self-operated casino floor.

The move comes as all of Macau’s satellite casinos — venues operated under the licenses of the city’s six concessionaires but run by third parties — are set to close by the end of the year.

Satellites accounted for nearly 11 percent of SJM’s EBITDA in the quarter, up from 8.2 percent in the first three months of 2025. The segment represented almost 40 percent of the company’s total gross gaming revenue in the period.

While SJM intends to absorb some of this business by expanding Lisboa and acquiring two satellite properties, Seaport cautioned that the operator is unlikely to retain all of the market share from the closures, forecasting its consolidated share could fall toward the low-11 percent range in 2026–27.

Leverage also remains a concern, with net debt standing at 6.6 times EBITDA. While Seaport expects this ratio to improve steadily as earnings grow and debt is repaid, the firm said dividend payments are unlikely to resume for at least the next two years as SJM prioritizes deleveraging.

‘Grand Lisboa Palace’s slow ramp-up continues to limit any potential positive view on the stock’, Seaport said, adding that despite efforts to strengthen its premium mass and VIP offerings, the property may be hitting a ceiling at a market share of about 3 percent unless there is a ‘material change in strategy and execution.’

Daily Asia Gaming eBrief: SJM loss widens in 1H25

AGBrief Editorial
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Daily Asia Gaming eBrief: SJM loss widens in 1H25

Good Morning. Results continue to pour in. In Macau, SJM posted a significant increase in its loss for the first half year, despite seeing improved revenue. The operator continues to struggle to ramp up its Grand Lisboa Palace operation, even as its satellite casinos performed rather well. But those are set to shutter by year end anyway, taking away one of the operator’s revenue streams. But SJM continues to double down on Macau, now purchasing its legacy operation at Hotel Lisboa, for some $68 million, aiming to improve synergy.

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AGB Intelligence

MACAU

SJM

SJM loss widens despite revenue growth

SJM reported a widened loss of $23.3 million in the first half of 2025, a 12.3 percent increase from $20.8 million in the same period last year. The Macau gaming operator’s adjusted EBITDA declined 5.1 percent to $210.8 million, with an adjusted EBITDA margin of 11.2 percent. The satellite casino segment contributed $723.3 million in gross gaming revenue, a 6.8 percent increase. This comes even despite the imminent closure of the group’s satellite operations by year end.

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Zitro strengthens its commitment to quality with a new corporate policy

AGBrief Editorial
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Zitro strengthens its commitment to quality with a new corporate policy

Zitro has implemented a comprehensive corporate policy to establish a cross-cutting management model, ensuring operational excellence, sustainability, and a positive user experience across all business areas and markets.

Based on international standards, including ISO 9001, ISO 27001, as well as environmental indicators like ISO 14064-1 and ISO 14067, this policy establishes a common framework that unifies criteria, procedures, and best practices across all areas of the organization. It reinforces the company’s commitment to quality, information security, environmental sustainability, business ethics, and continuous improvement.

Among the fundamental pillars of the system are:

  • Constant innovation in product design to ensure an accessible, secure, and intuitive experience.
  • Strengthening digital security and data protection to the highest standards.
  • Adopting sustainable practices at all stages of the product life cycle.
  • Actively promoting a safe, diverse, ethical work environment committed to professional development.
  • Ensuring regulatory compliance, conducting regular audits, and adopting agile methodologies to foster innovation and continuous improvement.

With this policy, Zitro strengthens its management model and consolidates its commitment to quality, innovation, and sustainability.

Pragmatic Play gives a modern twist to the retro-inspired Jackpot Blaze

AGBrief Editorial
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Pragmatic Play gives a modern twist to the retro-inspired Jackpot Blaze

Pragmatic Play, a leading content supplier to the iGaming industry, has launched Jackpot Blaze, offering players the chance to win from five different jackpot prizes.

Classic slot symbols, including fruits, bars, and 7s, line the 6×5 grid, where matching 8-30 symbols anywhere on the screen awards up to 50x, with tumbling reels offering more chances to win.

Mini, Minor, Major, Grand, and Super Grand jackpot symbols are collected in their corresponding meters when they land on a winning spin or tumble, awarding 5x, 20x, 100x, 500x, or 1,000x respectively when the meter is full.

Landing 4-6 diamond scatters awards 15-25 free spins, where jackpot meters do not reset between spins and 3-6 scatters retrigger the feature with 15-30 free spins.

In select markets, players can buy entry to the standard bonus game or super free spins version, where half the number of jackpot symbols are required to fill each meter and award the prize pot.

Jackpot Blaze is the most recent addition to Pragmatic Play’s award-winning slots portfolio, following the release of Zombie School Megaways™ and Big Bass Reel Repeat.

Irina Cornides, Chief Operating Officer at Pragmatic Play, said: “Jackpot Blaze delivers a fresh twist on a vintage fruit machine aesthetic, offering pays-anywhere wins and five fixed jackpot prizes.”

Bangkok police arrest 200 in massive gambling den raid

Viviana Chan
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Bangkok police arrest 200 in massive gambling den raid

Thai authorities have arrested 200 individuals following a major raid on an illegal gambling operation in Bangkok that generated over THB500 million ($14.6 million) per month, Interior Minister Phumtham Wechayachai announced.

The large-scale gambling den operated nearly around the clock, running from 10am to 6am the following day with only a four-hour break, according to Bangkok Post. Police had been monitoring the site for approximately one month to verify information before executing the operation.

The raid was prompted by complaints from local residents who reported that the illegal gambling hub had caused insecurity and addiction among family members, including teenagers, Phumtham said in his capacity as acting prime minister.

Authorities discovered the venue housed five gambling rooms, including VIP facilities and a large central hall. Each room reportedly generated three to four million baht within just a few hours of daily operation. During the bust, police seized 17 bank passbooks containing records documenting the massive monthly cash flow.

The gambling den was identified as part of a broader criminal network that had previously been raided multiple times but continued operating illegally despite law enforcement efforts. The scale of the operation highlights the persistent challenge Thai authorities face in combating organized illegal gambling activities.

The arrests represent one of the largest gambling busts in recent Bangkok history, demonstrating the government’s commitment to addressing illegal gambling operations that exploit vulnerable community members and generate substantial illicit revenue streams.

The investigation into the network’s broader connections and financial operations continues as authorities work to dismantle what appears to be a sophisticated illegal gambling enterprise operating in the Thai capital.

SJM loss widens 12.3% to $23.3M in 1H25 despite revenue growth

Viviana Chan
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SJM loss widens 12.3% to $23.3M in 1H25 despite revenue growth

SJM Holdings reported a widened loss attributable to company owners of HK$182 million ($23.3 million) in the first half of 2025, a 12.3 percent increase from HK$162 million ($20.8 million) in the same period last year.

The Macau gaming operator’s adjusted EBITDA declined 5.1 percent to HK$1.65 billion ($210.8 million), with an adjusted EBITDA margin of 11.2 percent.

According to financial results released on Thursday, August 28th, 2025, the company’s net gaming revenue rose 5.7 percent to HK$13.63 billion ($1.7 billion) year-on-year in 1H25. Total net revenue increased 6.1 percent to HK$14.64 billion ($1.87 billion) from HK$13.8 billion ($1.77 billion). Despite this revenue growth, SJM maintained its dividend policy of not declaring an interim dividend for the reporting period.

SJM held a 12.9 percent share of Macau’s gross gaming revenue in the first half of 2025, including 16.1 percent of mass market table gross gaming revenue and 3.7 percent of VIP gross gaming revenue. The group’s gross gaming revenue (GGR) reached HK$14.8 billion ($1.9 billion), up 7.5 percent from the previous year. However, commissions and incentives surged 33.4 percent to HK$1.19 billion ($152.8 million), impacting profitability.

Grand Lisboa Palace, Macau, SJM

Higher operating costs drag GLP’s performance

SJM’s flagship property, Grand Lisboa Palace Resort in Cotai, showed robust revenue growth, with gross revenue climbing 22.7 percent to HK$3.63 billion ($464.4 million). This was driven by gross gaming revenue of HK$2.94 billion ($376.1 million) and non-gaming revenue of HK$690 million ($88.5 million), up from HK$2.33 billion and HK$631 million, respectively, in 1H24. However, higher operating costs led to a 57.3 percent drop in adjusted property EBITDA to HK$82 million ($10.5 million) from HK$192 million ($24.6 million).

Gaming performance improved significantly, with rolling chip volume surging 36.7 percent to HK$25.33 billion ($3.2 billion) and non-rolling volume rising 24.4 percent to HK$9.821 billion ($1.3 billion). Hotel operations also strengthened, with occupancy rates reaching 98.1 percent, up 3.3 percentage points from 1H24, and the average daily room rate increasing 5.7 percent to HK$1,221 ($156).

SJM

Satellite casino

The satellite casino segment contributed HK$5.647 billion ($723.3 million) in gross gaming revenue, a 6.8 percent increase from HK$5.29 billion ($677.4 million) in the first half of 2024. Adjusted property EBITDA for satellite casinos improved to HK$153 million ($19.6 million) from a loss of HK$29 million ($3.7 million) in the prior year.

As of June 30th, 2025, SJM operated nine satellite casinos. However, the company plans to cease operations at seven satellite casinos by the end of 2025 as part of a strategic restructuring under Macau’s revised gaming law. Casino Grandview already ceased operations at the end of July 2025, ahead of schedule.

The group maintained HK$3.34 billion ($427.3 million) in cash, bank balances, short-term bank deposits, and pledged bank deposits as of June 30th, 2025. Total debt stood at HK$27.26 billion ($3.49 billion). Syndicated banking facilities included a HK$9 billion term loan and a HK$10 billion revolving credit facility, with HK$3.1 billion remaining undrawn.

SJM to expand Hotel Lisboa with acquisition of former gaming space

Viviana Chan
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SJM to expand Hotel Lisboa with acquisition of former gaming space

SJM Holdings has announced plans to expand its flagship Hotel Lisboa property in Macau by acquiring approximately 7,504 square metres of former gaming space from its controlling shareholder, Sociedade de Turismo e Diversões de Macau, S.A. (STDM), for HK$529 million ($67.8 million).

The company stated that the newly acquired space will be integrated into the current operations of Casino Lisboa, with certain gaming tables and slot machines to be redeployed from satellite casinos scheduled to cease operations by the end of 2025. According to SJM, this move aims to ‘consolidate a leadership position on the Macau Peninsula’ and enhance synergies between its two landmark properties, Grand Lisboa and Hotel Lisboa.

The expansion comes as part of the group’s broader strategy to optimize its satellite casino portfolio. Following a comprehensive review aligned with Macau’s revised gaming law, SJM said it will cease operations at seven satellite casinos by year-end, while exploring the potential acquisition of Casino L’Arc Macau and Casino Ponte 16. One of these properties, Casino Grandview, closed ahead of schedule in July.

SJM highlighted that integrating the additional space into Casino Lisboa will allow the group to preserve the ‘geographic loyalty traditionally associated with the Macau Peninsula.’ It added that the enlarged footprint is expected to boost non-gaming spend, extend customer stays, and strengthen its positioning toward VIP and premium-mass segments.

The company emphasized that Grand Lisboa and Hotel Lisboa already form the largest integrated resort on the Peninsula. Strengthening this hub through expanded gaming and ongoing refurbishment is intended to centralize resources, broaden customer reach, and improve earnings quality through ‘enhanced asset productivity and sharper yield management.’

This latest development follows SJM’s continued investment in culinary, MICE, cultural, and sports initiatives across its portfolio. The group recently introduced new dining concepts at Grand Lisboa Palace Resort and completed major MICE facilities now awaiting licensing.

Osaka railway extension will link Yumeshima several years after MGM IR opening

Viviana Chan
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Osaka railway extension will link Yumeshima several years after MGM IR opening

Keihan Electric Railway, a major Osaka railway operator, said it will only be able to complete the extension of its Nakanoshima Line to Yumeshima Island several years after the opening of Japan’s first casino resort in 2030, according to Keihan Holdings President Yoshihiro Hirakawa.

This means the Osaka Metro Chuo Line will remain the only rail service providing direct access to Yumeshima Island for quite some time after the resort opens.

The extension project is designed to capitalize on the expected influx of visitors to the MGM Osaka integrated resort, currently under construction on the artificial island in Osaka Bay.

The expansion will extend the existing Nakanoshima Line, which currently operates between Temmabashi Station and Nakanoshima Station in Osaka, to Kujo Station on Osaka Metro’s Chuo Line.

According to local media outlet Japan Times, Hirakawa acknowledged that the extension will not be completed before the casino resort’s scheduled opening in autumn 2030. “We’d like to finish working out all details of the extension project before the IR opens and have trains running on the extended section several years after the opening,” said the exdecutive in a recent interview.

MGM-Orix, Osaka Integrated Resort, Japan

The timing is not quite aligned with the MGM Osaka integrated resort’s development schedule. The JPY1.27 trillion ($8.61 billion) project, a joint venture between MGM Resorts International and Orix Corporation, broke ground in April 2025 and remains on track for completion by summer 2030. The Japan Tourism Agency confirmed in August 2025 that the detailed design is nearly finalized and that regulatory compliance is progressing as planned.

Beyond the Yumeshima connection, Keihan Holdings has outlined broader expansion strategies to leverage increased tourism from the casino resort. Hirakawa said the company plans to use the existing Keihan network to transport integrated resort visitors to Kyoto, located north of Osaka. 

The company also intends to redevelop the street between Kyoto Station square and the Nidec Kyoto Tower into “a green belt where pedestrians can relax.”

To address labor shortages in the railway sector, Keihan is considering partial automation of train operations. “All we have to do is determine when to launch the project,” Hirakawa said, noting that no technical obstacles stand in the way of introducing the semiautomatic system.

The company’s hospitality division is also preparing for growth, with plans to expand hotel operations beyond its current locations in Kyoto, Osaka, and major eastern Japanese cities. 

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