Genting Malaysia Bhd reported a 77 percent year-on-year decline in profit before taxation to MYR43.1 million ($10.9 million) for the first quarter ended March 31st, 2026, while slipping to a net loss of MYR25.2 million ($6.4 million), as higher finance costs and pre-operating expenses linked to Resorts World New York City (RWNYC) weighed on earnings despite revenue growth across all leisure and hospitality segments.
The Malaysia-listed casino operator recorded revenue of MYR2.87 billion ($724.0 million) in the quarter, up 10 percent from MYR2.60 billion ($655.4 million) a year earlier, driven by stronger contributions from its operations in Malaysia, the United Kingdom, Egypt, the United States and the Bahamas.
Adjusted EBITDA fell 13 percent year-on-year to MYR644.7 million ($162.8 million), while finance costs rose 34 percent to MYR246.7 million ($62.3 million). The company said the increase was mainly related to borrowings tied to RWNYC’s transition into a full-scale commercial casino and the consolidation of senior secured notes from Empire Resorts.
RWNYC expansion drives higher borrowing costs
Genting Malaysia said its indirect wholly owned subsidiary, Genting New York LLC (GENNY), drew down US$755 million (MYR3.06 billion) from a new senior secured credit facility during the quarter to fund commercial casino license fees and capital expenditure for RWNYC.
The company added that pre-operating expenses linked to RWNYC’s transition into a commercial casino also contributed to the weaker earnings performance. RWNYC officially launched live table games on April 28th, 2026, becoming New York City’s first full-scale commercial casino.
Revenue from Genting Malaysia’s leisure and hospitality operations in the United States and the Bahamas rose 39 percent year-on-year to MYR694.4 million ($175.4 million), supported by the consolidation of Empire Resorts. However, adjusted EBITDA for the segment declined 32 percent to MYR80.5 million ($20.3 million), partly due to higher operating and payroll-related expenses associated with the RWNYC transition.
In Malaysia, revenue increased 3 percent to MYR1.67 billion ($421.4 million), mainly driven by the gaming segment, although adjusted EBITDA edged down 1 percent to MYR512.1 million ($129.3 million) due to higher payroll and related costs. Operations in the United Kingdom and Egypt recorded revenue growth of 11 percent to MYR460.7 million ($116.3 million), helped by contributions from the newly acquired Genting Casino Stratford.
Group remains cautious on near-term outlook
Looking ahead, Genting Malaysia said it remains cautious on the near-term outlook for the leisure and hospitality industry amid geopolitical tensions in the Middle East and broader macroeconomic uncertainty.
The company said cross-border tourism demand could face pressure from weaker outbound travel trends and rising travel-related costs, creating a more challenging operating environment for regional gaming markets. However, it maintained a positive long-term outlook.
