Asian casino operator Galaxy Entertainment Group Limited has reportedly released its financial results for the final three months of 2019 showing an 8.4% drop year-on-year in company-wide net revenues to approximately $1.66 billion.
According to a report from Inside Asian Gaming, the Hong Kong-listed firm used an official filing to declare that its fourth-quarter financials had been adversely impacted by a range of macro-economic factors such as ‘a slowing world economy’ alongside more local elements encompassing ‘introduction of the VIP smoking ban, currency fluctuations, continuing competition from regional markets and disruption in Hong Kong’.
Galaxy Entertainment Group Limited is responsible for the giant Galaxy Macau, StarWorld Macau and Broadway Macau venues and its release reportedly also detailed an 11.5% year-on-year decline in fourth-quarter net gaming revenues to almost $1.38 billion alongside a 4.2% rise in non-gaming takings to around $183.49 million. All of this purportedly pushed group-wide adjusted earnings before interest, tax, depreciation and amortization for the three-month period down by 6.5% year-on-year and 1.5% quarter-on-quarter to about $526.08 million to leave it with a full-year profit that was 3% lower at approximately $122.41 million.
Inside Asian Gaming reported that the casino operator’s trio of properties had experienced a 35.1% decrease year-on-year in fourth-quarter aggregated rolling chip volumes to about $21.68 billion as combined win topped $828.95 million. It moreover explained that this had been joined by a comparably slight deterioration in mass-table drop to $3.92 billion although an improved win rate of 24% had pushed associated revenues up to $940.59 million.
Galaxy furthermore detailed that fourth-quarter volumes from its electronic gaming machines estate had fallen faintly year-on-year to nearly $2.31 billion as connected win hit $84.55 million. All of this had purportedly left the Hong Kong-headquartered firm with full-year net revenues that were 5.2% lower at $4.78 billion alongside adjusted earnings before interest, tax, depreciation and amortization that was 1.8% down to slightly in excess of $1.61 billion.
Regarding ongoing anxieties over the recent outbreak of the coronavirus strain in China and Lui Che Woo, Chairman for Galaxy Entertainment Group Limited, reportedly used the filing to proclaim that the recent 15-day shutdown in Macau ‘may bring challenges to the industry’ and the local economy but that it is now ‘critical for society to unite’ in fully backing the government’s decision.
Reportedly read a statement from Lui…
“I wish to express my heartfelt sympathy to all those affected and to their family and friends. Galaxy Entertainment Group Limited has taken a wide range of protective measures against the coronavirus and we are working together to contain the spread of the virus.”