SJM Holdings Q3 profit drops 16.4 percent, market share slips

SJM Holdings said its Q3 profit declined 16.4 percent and its share of the Macau market slipped as VIP revenues fell, while its mass market performance lagged rivals.
The company reported profit attributable to owners of the company of $1.53 billion ($197.3 million). Gaming revenue fell 14.1 percent to $18.1 billion.
The company said VIP gaming revenue dropped 23.6 percent to $10.37 billion, while mass market revenue edged up 3.1 percent to $7.35 billion. Slot machine revenue gained 5.4 percent.
The company said its share of the Macau gaming market continued to decline in the quarter accounting for 22.5 percent of the total in Q3, compared with 24.3 percent in Q3 2013 and 23.2 percent for the nine months ended 30 September 2014, as compared with 25.0 percent for the first nine months of 2013.
At the company’s flagship Casino Grand Lisboa, revenue dropped 11 percent.
The results were by far the weakest of the casino majors to have reported Q3 results so far. The companies have been hit by a sharp decline in gambling revenue in Macau as a crackdown on corruption in mainland China has caused VIP revenue to dry up. A slowing economy and travel restrictions have also hit casino revenue.