SJM Holdings Ltd SJM fell after the company reported first-quarter earnings today that missed analysts\' expectations in Hong Kong trading. SJM Holdings fell 2.39% to close at 20.40 Hong Kong dollars ($2.63), its lowest since Sept. 18. 무료슬롯사이트
On Monday, the casino operator founded by Stanley Ho Hong Sun said total gaming revenue rose 4.9% to HK$22.8 billion in the three months ended March 31. Adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) rose 3% to HK$2.2 billion, SJM Holdings said in a statement on the Hong Kong Stock Exchange.
The company said VIP gaming revenue fell 4% year-over-year to HK$14.5 billion in the first quarter, while public market revenue rose 27.8% to HK$7.9 billion.
Union Gaming Research Macao Ltd said in a note today that Q1 EBITDA fell short of analyst estimates but "gaming volumes generally appeared to be solid."
"However, with significantly lower year-over-year VIP wins, we believe revenue and EBITDA would have demonstrated growth in the younger teens," the research house added.
Macau\'s gambling revenue rose 20% in the first quarter to 102.2 billion patacas ($12.8 billion).
Second-half business performance should help move to dedicate more tables to premium gamblers who bet the stakes higher than junk.
"As we have recently succeeded in maximizing table yields through reallocation of premium mass tables, SJM will add another premium mass area to Grand Lisboa with 14-16 tables in the 14th quarter," Telsey Advisory Group said in a report.
SJM Holdings broke ground on its first resort in Cotai Strip in February. The Hong Kong-dollar Lisboa Palace will open in 2017.
"During the development of the Kotai project, we are committed to improving the operational efficiency of our existing properties, as well as further growth in gaming revenue, especially in bulk gaming," SJM Holdings CEO Ambrose SOSUPI said in a statement.
However, the operator said the Jai Alai renovation was temporarily suspended as the company awaited final regulatory approval. Despite the setback, the new Jai Alai is expected to reopen in time in early 2015, Telsey Advisory Group said.
SJM Holdings has also dismissed concerns about the impact of a crackdown on unregistered China UnionPay mobile devices on gaming volumes. UnionPay has stepped up control measures to combat the use of counterfeit transactions to avoid strict currencies export controls in mainland China.
The company also said it has not weakened in VIP or public markets and does not expect issues such as enhanced transit visas to have any real impact on its business. "We will agree and all indications continue to suggest Macau fundamentals are still pretty strong," Union Gaming said.