Genting group sees strong improvement in Q3 on business resumption
PETALING JAYA: Genting Bhd saw its revenue improve to RM3.3bil for the third quarter ended Sept 30,2020 (Q3), compared with RM1.11bil in the second quarter of the year.
Consequently, the gaming conglomerate’s adjusted earnings before interest, tax, depreciation and amortisation (Ebitda) rose to RM1.1bil for Q3, compared with an adjusted loss before interest, tax, depreciation and amortisation (LBITDA) of RM578.7mil in Q2.
In a statement, Genting said the significant improvement was mainly attributable to the leisure and hospitality division of the group, following the resumption of business with reduced capacity of most of the resort properties in Q3. These resort properties were temporarily closed in Q2 as a result of the Covid-19 outbreak.
In comparison with the previous year’s corresponding quarter, Genting’s revenue fell 38% from RM5.3bil, with the decline coming mainly from the leisure and hospitality division.
Separately, Genting Malaysia Bhd (GenM) posted a revenue of RM1.42bil, and an adjusted Ebitda of RM310.7mil on the resumption of several of the group’s resort operations with reduced capacity since mid-June 2020.
This compared with a pre-tax loss and net loss of RM361.3mil and RM726.3mil, respectively, for the quarter in review.
In the nine months to September 2020, GenM’s revenue dropped 56% year-on-year (y-o-y) to RM3.49bil, primarily due to the unprecedented disruptions to the group’s leisure and hospitality operations worldwide amid the outbreak of the Covid-19 pandemic.
Despite the challenging conditions, GenM registered an adjusted Ebitda of RM179.9mil. Including depreciation and amortisation, impairment losses and finance costs, the group reported a net loss of RM2.1bil.
While business volumes continue to be impacted by the pandemic, GenM said the group was confident that its recalibrated operating structure will anchor recovery and position the group for greater long-term sustainable growth.
As for Genting, its revenue for the nine months to September 2020 fell 48% y-o-y to RM8.52bil.
https://www.thestar.com.my/business/business-news/2020/11/27/genting-group-sees-strong-improvement-in-q3-on-business-resumption
