Excellent leisure hotel business in the first quarter, Genting Shuangxiong's performance rebounded

The leisure and hospitality business performed well. Genting and Genting Malaysia both recorded impressive results in the first quarter of the 2024 fiscal year.

As of the first quarter ending March 1, Genting's net profit soared 500% year over year to RM588,86,000.

Genting reported to the Malaysian Stock Exchange that the quarter's revenue recorded RM7.433.37,000, up 27.63% from the previous year.

In the leisure and hospitality business, Resorts World Sentosa (RWS) achieved strong revenue due to increased travel and play spending during the Lunar New Year and the visa-free policy that came into effect between China and Singapore in February.

However, the performance of the electricity business was slightly poor, mainly due to the decline in power generation due to the first major regular maintenance since the Banten (Banten) power plant in Indonesia was put into operation in 2017.

On the other hand, Genting Malaysia's overall business contribution in Malaysia, the UK, Egypt, and the US and Bahamas increased. It successfully turned a profit in the first quarter and recorded a net profit of RM57.783,000, compared with a net loss of RM27.379,000 in the same period last year.

Genting Malaysia's first-quarter revenue increased 21.3% year over year to RM2,769.94 billion.

In terms of the Malaysian business, revenue from the leisure and hospitality business increased by 25%, mainly driven by increased revenue from Genting World (RWG)'s casino and non-gaming businesses.

As for that, the US and Bahamas business also recorded significant growth, due to continued improvements in operations at Resorts World Casino (RWNYC) and RW Bimini (RW Bimini) resorts in New York.

Looking ahead, Genting believes that the global economy will remain resilient and economic growth expectations are moderate, but adverse geopolitical and macroeconomic factors still pose downside risks.

Within the region, the operating environment of the gaming market is expected to continue to improve, mainly due to the optimistic outlook for international travel and the restoration of global capacity and air connectivity.

Domestically, Genting Malaysia will continue to take advantage of current travel-related measures, such as China's visa-free policy for Chinese and Indian citizens, to have a positive impact on the local tourism industry.

Despite optimism about the long-term prospects of the leisure and hospitality industry, Genting Malaysia remains cautious in the short term.

In addition, Genting Malaysia is also closely monitoring the progress of the New York State Gaming Commission's call for proposals and responding accordingly.