Inside Asian Gaming

IAG NOV 2020年11月亞博匯 52 2020 POWER 50 FRANCIS LUI VICE CHAIRMAN Galaxy Entertainment Group 副主席 銀河娛樂集團 CLAIMS TO FAME 名成事跡 1 POWER SCORE 權能指數: 5,914 POSITION LAST YEAR 去年排名: 1 Built Galaxy into Macau’s de facto local gaming champion Developing largest single land plot in Cotai, Phases 3 and 4 due by 2022 Holds strategic stakes in Monte Carlo casino operator SBM and Wynn Resorts • • • • • • 把銀河塑造成澳門實際上的本地博彩業界王者 發展在路氹最大的單一地皮，當中第三及第四期預計於2022年完成 在蒙地卡羅娛樂場營運商SBM及永利渡假村戰略持股 呂耀東 LIKE EVERY OTHER OPERATOR in Macau, Galaxy Entertainment Group’s earnings have suffered significantly as a result of COVID-19. But unlike its peers in the global gaming hub, the company has not found reason to bolster debt in riding out the pandemic. Led by the calm, measured strategy of Vice Chairman Francis Lui, Galaxy’s conservative approach to fiscal management is reaping rewards in 2020, even accounting for a 93% fall in 1Q20 EBITDA to HK$283 million (US$36.5 million) and an EBITDA loss of HK$1.37 billion (US$177 million) in 2Q20. In announcing the company’s second quarter results in August, Lui pointed to cash and liquid investments totaling HK$49.8 billion (US$6.4 billion) and net cash of HK$43.6 billion (US$5.6 billion) as of 30 June 2020, adding that there was no need to consider raising any more liquidity via debt. Bernstein analysts observed in an early April note that Galaxy was not only the sole Macau operator in a net cash position but also had enough cash reserves to last for a full 40 months in a zero revenue scenario. There could be other benefits to this strategy too, with Japanese authorities having made it clear in recent times that the financial strength of companies bidding to develop an integrated resort would be one of the key factors in determining who ultimately prevails. Certainly Galaxy’s stocks have soared in the Japan IR race this year, with two of its key rivals in Yokohama – Las Vegas Sands and Wynn Macau – having pulled out of the race and another, Genting, under serious