SJM sees Lisboa Palace completion in H1

Thursday 28th of February 2019

SJM Holdings posted a 45.2 percent gain in 2018 profit attributable to owners of the company and said it expects to complete construction of its Cotai IR, the Grand Lisboa Palace in the first half of this year.

Attributable profit came in at HK$2.85 billion ($363 million), while adjusted EBITDA gained 21.1 percent to $3.7 billion. Net gaming revenue rose 8.3 percent to $33.6 billion. The company, which held the monopoly on gaming rights in Macau for four decades before the market was opened to competition, said its share of the overall market was 14.9 percent, down from 16.1 percent the prior year. Its share of mass gaming revenue was at 19.5 percent and VIP revenue of 12.2 percent.

“Macau’s casino gaming market continued its growth momentum in 2018 and SJM achieved material gains in revenue, adjusted EBITDA and net profit,” CEO and Vice-Chairman Ambrose So said in the earnings statement. “Our Grand Lisboa Palace also made progress in 2018 and we look forward to completion of construction in the coming months. We are pleased to propose an increase in final dividend for the year.”

The company said it will pay a final dividend of $0.21.

For the year, VIP gaming revenue dipped 1.1 percent to $19.6 billion, while mass market table revenue increased 12 percent to $23.0 billion. Mass market revenue made up 52 percent of the group’s total.

SJM said it will remain focused principally on Macau, but will selectively consider opportunities for future expansion in the Asian region.