Genting Singapore Earnings Slip as Casino Revenue Declines

Genting Singapore reported a significant drop in earnings, with net profit for the second half of the financial year ending December 2024 plunging 34% year-on-year to SGD 221.96 million, down from SGD 334.91 million in the same period last year.

The group released its results after market close on Thursday, February 20. For the full year, Genting Singapore’s net profit fell 5% to SGD 578.87 million, missing analysts’ expectations of SGD 590.7 million. Earnings per share declined 6% to 4.79 Singapore cents from 5.07 cents the previous year.

The board recommended a final cash dividend of 2 Singapore cents per share, unchanged from the prior year.

Revenue and Profit Breakdown

• Second-half revenue fell 12% year-on-year to SGD 1.174 billion.
• Casino revenue at the Singapore integrated resort dropped 17% to SGD 745.61 million.
• Non-casino revenue dipped slightly by 2% to SGD 428.25 million.
• Adjusted EBITDA for the second half declined sharply by 32% to SGD 389.3 million.

For the full year 2024, revenue grew 5% to SGD 2.53 billion, driven by a 3% increase in casino revenue to SGD 1.703 billion and a 7% rise in non-casino revenue.

Despite revenue exceeding pre-pandemic levels, rising costs and inflationary pressures posed significant challenges, resulting in a 6% decline in full-year adjusted EBITDA to SGD 960.1 million.

Q4 Performance Highlights

• Adjusted EBITDA increased 37% quarter-on-quarter, largely supported by improved casino operations.
• Casino revenue rose 26% quarter-on-quarter, primarily due to higher hold rates.
• Non-casino revenue declined 15%, impacted by seasonal factors, appreciation of the Singapore dollar, and increased travel costs.

Strategic Developments and Future Outlook

Genting Singapore described 2024 as a pivotal year of transformation. The group has streamlined marketing efforts and enhanced productivity through automation and process optimization. Significant investments were made in technology upgrades, including the adoption of Artificial Intelligence (AI) to boost operational efficiency and deliver personalized customer experiences.

These advanced technologies are expected to drive substantial revenue growth starting in the third quarter of 2025.

The company also plans to continue advancing its Resorts World Sentosa (RWS) 2.0 development plan, which includes the opening of a luxury all-suite hotel and the Singapore Oceanarium in Q3 2025, and a waterfront precinct scheduled for completion by 2030.

Following Thailand’s cabinet approval of a bill legalizing casinos in January 2025, Genting Singapore said it may explore potential regional diversification opportunities.