Genting Malaysia Berhad’s revenue declined by 68% to MYR623.3m ($150.5m) for the first quarter of 2021, compared to MYRB1.9bn for the same period in Q1 2020.
The figure is also a 40% quarter-on-quarter drop against MYRB1bn for Q4 2020. Loss before tax for the period was MYR559.7m and net loss was reported to be MYR501.3m. The group’s adjusted loss before interest, taxation, depreciation and amortization (LBITDA) was MYR110.4m.
The leisure and hospitality business in Malaysia recorded a 76% decline in revenue to MYR299m. Revenue from operations in the UK and Egypt decreased by 89% to MYR40.2m. The leisure and hospitality business in the US and Bahamas was MYR256.3m, a 20% decline.
The decreases in revenue figures were attributed to various closures and restrictions during the Covid-19 pandemic. The company report read: “The adverse impact to the group’s earnings was primarily due to the temporary closure of the group’s businesses in Malaysia and the UK, in addition to the group’s properties operating at a reduced capacity in compliance with the respective government directives amid the pervasiveness of the Covid-19 pandemic.”
In the statement, Genting Malaysia expressed concern over the unstable situation in the industry and added that it remains cautious. In Malaysia, the operator had to temporarily close a casino on 24 May, and there are additional travel restrictions in the country.
In the UK, land-based casinos opened on 17 May and the group “will focus on driving revenues and business volume at its venues, while adopting an agile approach in managing its cost structure and business model to better adapt to the new operating environment.”
Genting is also committed to growing local market exposure in the US.