China – Galaxy’s Q1 revenues fall by 61 per centBy Phil - 14 May 2020
Macau casino giant Galaxy Entertainment saw its first quarter revenue fall by 61 per cent year-on-year and quarter-on-quarter coming in at $5.1bn due of course to the coronavirus.
Adjusted EBITDA was $283m, down 93 per cent year-on-year and down 93 per cent quarter-on-quarter. Galaxy Macau’s Adjusted EBITDA was $329m, down 89 per cent year-on-year and down 90 per cent quarter-on-quarter. StarWorld Macau’s Adjusted EBITDA was $104m, down 89 per cent year-on-year and down 87 per cent quarter-on-quarter. Broadway Macau’s Adjusted EBITDA was $45m versus $15m in Q1 2019 and $16m in Q4 2019. GEG played lucky in Q1 2020 which increased Adjusted EBITDA by approximately $84m. Normalised Q1 Adjusted EBITDA was $199 million, down 95 per cent year-on-year and down 95 per cent quarter-on-quarter
Dr. Lui Che Woo, Chairman of Galaxy, said: “Q1 2020 has been a very difficult period for the community and businesses globally due to the COVID-19 pandemic. I would like to express my heartfelt thanks to everyone globally for their efforts and restraints during this period of time. In particular, I would like to acknowledge and
thank all of the medical and emergency personnel for their efforts and sacrifice.
“The introduction of immigration and quarantine restrictions has adversely affected visitations to Macau and impacted virtually all businesses in Macau. However, I am pleased to say that the Macau Government has been doing an excellent job to implement a wide range of health and safety and financial measures, to minimise the impact of the pandemic and to unite society. Also, all the concessionaires are working closely with the Macau Government and the relevant departments to contain the spread of the virus. At this point in time it is difficult to quantify the full year financial impact of the virus, but it will have a material impact on our financial results and we cannot determine the duration of the pandemic.
“We remain well capitalised. Having said that, we are doing our best to adjust our operations to the current business environment and effectively control costs. I would like to thank everyone on the GEG team who supported the company in these difficult times by contributing to our cost control program. I am proud to report that virtually all team members made voluntary contributions including the Board of Directors (the Board) which also waived their Director’s fee, management
who participated in our non-paid leave program and the many group members who joined our Flexi Family Care Program. At GEG we have tried to spread the impact of COVID-19 fairly across all team members as we prefer not to engage in redundancies. We continue with our Cotai development of Phases 3 & 4.”