Supplier News
China – Record breaking SJM unveils Lisboa Palace
By Phil - 27 February 2014
As it broke ground on its latest project in Cotai, Macau’s biggest casino operator; SJM Holdings, has reported growth of 14 per cent in net profit for 2013, beating analysts’ predictions and surpassing its previous results.
Net profit in 2013 came in at HK$7.7bn ($992m) up from HK$6.7bn in 2012, beating forecasts of HK$7.6bn from 23 analysts.
Having lost its 40-year-old monopoly position in 2002 in, SJM has seen its market share shrink to 24.8 per cent down from a third of the market two years ago. It is still the market leader in terms of numbers of venues and Gross gaming Revenues generated.
Casino Grand Lisboa continued to perform strongly in 2013, contributing gaming revenue of HK$32,248m for the year, an increase of 10.3 per cent over the previous year, and Adjusted
Grand Lisboa Hotel’s occupancy rate also increased by 1.4 per cent to 96.4 per cent for the full year. The Group maintained its strong balance sheet, with cash and bank balances totalling HK$26,733m.
Dr. Ambrose So, Chief Executive Officer of SJM Holdings Limited, said: “We are very pleased that SJM’s Net Profit, Adjusted EBITDA and Revenues rose to record levels in 2013. These results, combined with our financial strength, enable our Board to propose an increase in dividend payments for the year of 11.1 per cent. The year’s accomplishments also included obtaining the land, completing design work and getting started on construction of the Lisboa Palace, our integrated resort on Cotai that is scheduled to open in 2017.”
On May 15 2013 SJM agreed to lease 70,468 square metres of land on Cotai from the Macau Government for an initial term of 25 years, on which the Group intends to build and operate the Lisboa Palace casino gaming resort containing approximately 700 gaming tables and 1,000 slot machines as well as approximately 2,000 hotel rooms.
The task of developing the resort has been given to global resort destination design firm WATG, who recently broke ground on the project.
The complex will comprise three hotels: the five-star Lisboa Palace with over1450 rooms, the Palazzo Versace Macau with up to 270 rooms, and a fashion-branded luxury hotel with the same number of rooms. The built area of the complex, totaling over half a million square meters and covering nearly seven hectares, will include approximately 27,000 sq. m. of gaming facilities, 34,000 sq. m. of retail shops, and 36,000 sq. m. of restaurants and entertainment.
But the impressive scale of the Lisboa Palace is by no means its most intriguing feature. The directors of SJM Holdings had a vision for the Cotai project: a masterpiece inspired by 17th and 18th century European royal residences fused with auspicious and positive traditional Chinese motifs. The result is an exuberant celebration of art and architecture stemming from the two-way cultural exchange between China and the West over the past 500 years, with Macau as the gateway.
This was a monumental undertaking and would not have been possible without the depth of experience and knowledge of WATG’s leadership team – Perry Brown, Senior Vice President; Tom Fo, Vice President; Ron Van Pelt, Senior Vice President; and Sharmila Tankha, Associate Vice President. Under their guidance, architects, landscape designers, and interior designers worked together to create a seamless and integrated experience. The interior design of the Lisboa Palace was created by Wimberly Interiors, led by Margaret McMahon, Vice President and Managing Director.
“We are delighted to showcase Lisboa Palace of which the concept and design embodies the rich history of Sino-Western cultural exchange in
Macau,” Dr. So explained.
Lead architect Sharmila Tankha agreed: “The design of the Lisboa Palace is a great example of WATG’s creativity and imagination coming alive in response to SJM’s aspirations and the project’s rich cultural and historical context in Macau.”
