Genting Singapore has reported a loss of SG$163.3 million (US$119.1 million) in the three months to 30 June 2020 on the back of a 99% decline in gaming revenue at Resorts World Sentosa to just SG$6.5 million (US$4.7 million).
The results follow the closure of all gaming facilities from early April until 1 July upon order of Singapore Prime Minister Lee Hsien Loong. With non-gaming reopening from mid-June, property-wide revenue fell 94% year-on-year to SG$41.3 million as Genting Singapore reported an EBITDA loss of SG$131.8 million.
“The global Covid-19 pandemic has caused major disruptions to the global travel and tourism industry,” the company said in releasing its 2Q20 results on Thursday.
“With tourism being the main driver of the Group’s business, our operations and financial performance have been severely impacted.
“Despite the swift implementation of a series of cost containment measures including payroll rationalization as well as other productivity initiatives, the impact of suffering almost zero revenue during the temporary closure period in the second quarter 2020 was devastating.”
Genting Singapore noted that the 2Q result was “the worst quarterly performance since the opening of our Singapore integrated resorts,” adding, “The Group remains pessimistic on the overall financial performance as global travel remains highly restrictive.”
However, the company has also been forced to lay off staff as part of cost-cutting measures, with local media reports suggesting as many as 2,000 of the IR’s 7,000 employees could be let go as a result of the COVID-19 pandemic.