The acceleration of the Macau gaming industry appears to be compensating for the lows experienced during the pandemic. However, the last gambling property shutdown is still affecting SJM Holdings, as the company reported a loss of about $52.5 million in the third quarter of 2023, even as total gaming revenue remained flat for another quarter at $730 million.
Q3 SALES LEVEL OF $188 MILLION
As Inside Asian Gaming reported, the loss was primarily attributable to the parent company, as the company’s revenue increased more than fivefold compared to Q3 2022 levels. Grand Lisboa Palace, a Cotai-based SJM resort, pushed the group’s recovery, bringing in about $188 million in total gaming revenue for the quarter. Peninsula Integrated Resort Grand Lisboa reportedly contributed to this figure with $100 million in the third quarter of 2023, accounting for nearly half of revenue generated from the group’s Kotai properties.
Sources say Grand Lisboa Palace ended the quarter with a $3.5 million adjusted property EBITDA loss, more than eight times lower than the $29 million loss experienced in the third quarter of 2022. The figure also represents 44% of the $7.9 million loss incurred in the prior quarter of 2023.
Sales increased nearly fivefold: 슬롯머신
In the same period, IR Grand Lisboa posted adjusted property EBITDA of $47.8 million on EBITDA loss of $28.6 million in Q3 2022. Also, according to Inside Asian Gaming, the resort’s EBITDA is about 16% higher than the $40.1 million level it reached in Q2 2023. The group’s Adjusted EBITDA also reportedly improved 195% compared to the same period in 2022, to $72.5 million. SJM’s total net profit reportedly rebounded 471% Y/Y to settle at the $752 million level.
These figures attest to the full recovery of Macau’s SJM business. While 2022 losses are still reflected in overall group figures, revenue from all SJM Macao properties increases several times repeatedly from previous year’s levels. For this reason, we can expect that the upcoming period of booming operations will fully offset all pandemic-induced losses.
Commenting on the group’s financial results for Q3 2023, SJM Chairman Daisy Ho reportedly said, “SJM Holdings’ Q3 2023 results show continued growth in Adjusted EBITDA and continued growth in Grand Lisboa Palace. We also continued our active support for economic diversification in Macau through investment and sponsorship in cultural, educational, gourmet and sports activities during the quarter.”