Galaxy chalks up $947m turnaround

Galaxy Entertainment Group (0027) turned loss to a net profit of HK$947 million in the first half of 2021, compared to a net loss of HK$2.86 billion from a year ago.

Its adjusted earnings before interest, taxes, depreciation and amortization in the period were HK$2 billion, versus the loss of HK$1.1 billion from last year.

No dividend was declared given the ongoing impact of Covid-19, the company said.

Its revenue at HK$10.67 billion was 71 percent higher than a year ago.

Total gross gaming revenue on a management basis in the first half was HK$9.7 billion, up 62 percent year-on-year.

Total mass table gross gaming revenue doubled to HK$5.9 billion, and total VIP gross gaming revenue rose 26 percent to HK$3.5 billion. The electronic gross gaming revenue increased by 27 percent to HK$333 million.

The gaming company said its cash and liquid investments were HK$43 billion and the total debt was HK$11.4 billion as of June 30.

Chairman Lui Che-woo said the company had valued dividend payout very much over the past years, and he hoped to declare dividends if the company performs well in the next half.

Under the current Covid situation, the gaming operator had to provide additional equipment to attract more tourists as the government prohibited it from laying off local workers, he added.

Raffles at Galaxy Macau in Cotai, which will feature an approximate 450 all-suite tower, is expected to open in early 2022.

The exact date is yet to be decided as the pandemic hovers, and the Cotai Phases 3 and 4 will mainly focus on non-gaming projects, including convention and exhibition center, concert hall, and theme park.

Galaxy Entertainment yesterday closed at HK$49.25, up 0.92 percent.