The group, which operates the Galaxy Macau integrated resort, saw its Q1 revenues fall 32% year-on-year to HK$13.7 billion (US$1.8bn), while EBITDA (earnings before tax and other items) slumped 40% to HK$2.3bn.
Revenue from Galaxy’s casinos was down in Q1, with VIP and mass gaming turnover at Galaxy Macau falling 38% and 18% respectively. The story was similar at the company’s StarWorld casino, where VIP gaming revenues plunged 51% and mass gaming fell 21%.
Despite these declines, which the group attributed to “macro challenges… impacting customer spending behaviour”, GEG said it is optimistic about the future.
“The current headwinds are not a surprise to the market or to GEG,” said Dr Lui Che Woo, chairman of GEG. “As always, we are actively managing our properties to leverage and mitigate market conditions, maximise revenues and manage costs, in order to drive returns.
“We remain optimistic in the longer term outlook for Macau despite the current challenges and we are now absolutely focused on executing the openings of Galaxy Macau phase two and Broadway at Galaxy Macau.”