SJM back in the black on gaming revenue

Staff reporter

SJM (0880) said it swung to a net profit of HK$3.2 million in 2024 from a net loss of more than HK$2 billion the previous year amid growing gaming revenue.

No dividend was declared.

The hotel and casino operator recorded a 33 percent rise in total net revenue to HK$28.77 billion last year, and the net revenue from gaming amounted to HK$26.84 billion, a 33.8 percent increase from 12 months ago.

Adjusted earnings before interest, taxes, depreciation, and amortization surged 1.18 times to HK$3.76 billion.

The Grand Lisboa Palace's total revenue rose more than 79 percent to HK$6.58 billion for the period, while gross gaming revenue surged nearly 95 percent year-on-year to HK$5.24 billion.

Its adjusted property EBITDA swung to HK$499 million from a negative HK$317 million in the same period of last year, while the average daily rate of its rooms dipped 9.9 percent year-on-year to HK$1,191.

The Grand Lisboa, meanwhile, saw total revenue rise 36.4 percent to more than HK$7.84 billion. Its adjusted property EBITDA rose 58 percent to HK$2.1 billion, gross gaming revenue amounted to HK$7.5 billion, and the average daily rate of its rooms stood at HK$1,226.

The company said it will focus on Macau business while considering expansion opportunities in Asia.

It also intends to expand its footprint in the Greater Bay Area and acquire selected office properties at Hengqin's Xin De Kou An Shang Wu Zhong Xin, and repurpose them into a three-star hotel.