Sands China EBITDA down nearly 37 percent in 15H1

Thursday 13th of August 2015

Sands China reported adjusted EBITDA of $1.09 billion for 15H1, a decrease of 36.9 percent compared to $1.73 billion in the same period the year before, the company announced Friday.

Total net revenues for the group were $3.51 billion, down 30.7 percent year-on-year, while profit amounted to $734.5 million, down 46.4 percent compared to $1.370 billion in the first half of 2014.

Net casino revenues for the six months ended June 30 were $2.99 billion, a drop of 34.4 percent.

The decrease was primarily attributable to a drop of $688.2 million at The Venetian Macao and $482.8 million at Sands Cotai Central, driven by a decrease in volume in all segments, the company said.

Sands is currently developing its Cotai Central project, located across the street from The Venetian Macao and The Plaza Macao. Sands Cotai Central opened in phases, beginning in April 2012. The property currently features three hotel towers.

The company said it has begun construction on the St. Regis tower, the remaining phase of the

Sands Cotai Central project, which will include a fourth hotel and mixed-use tower under the St. Regis brand that is expected to open at the end of 2015, subject to government approval.

The total cost to complete the remaining phase of the project is expected to be approximately $380 million.

The Parisian Macao, which is currently expected to open in the second half of 2016, is intended to include a gaming area, a hotel with over 3,000 rooms and suites and retail, entertainment, dining and meeting facilities.

“We expect the cost to design, develop and construct The Parisian Macao will be approximately US$2.7 billion, inclusive of payments made for the land premium. We had capitalized construction costs of US$1.18 billion for The Parisian Macao, including land, as at June 30, 2015.”