FACED WITH EVER INCREASING COMPETITION GALAXY ENTERTAINMENT GROUP LIMITED ANNOUNCED YESTERDAY ITS FIRST QUARTER REVENUE DROPPED ALMOST 6 PERCENT COMPARED WITH THE SAME PERIOD LAST YEAR.
During the first three months of they year revenue fell to HKD2.72 billion compared with HKD2.89 for the first quarter of 2007.
Earnings before interest, tax, depreciation and amortisation dropped by 21 percent to HKD210 million.
밒 AM PLEASED TO ANNOUNCE ANOTHER SOLID PERFORMANCE AS COMPARED TO THE SAME PERIOD LAST YEAR, DESPITE THE INCREASINGLY COMPETITIVE ENVIRONMENT, SAID CHAIRMAN LUI CHE WOO.
밯e remain positive about the outlook for the full year and beyond, as we leverage our local knowledge to attract customers from across the region and particularly Mainland China, and we continue to develop and evolve our brand and offering with new concepts and partners.”
Gaming revenue at the company's casino, StarWorld, increased by 26 percent to HKD1.75 billion compared with the last three months of 2007. VIP gaming revenue increased almost 50 percent to HKD1.4 billion
밢ccupancy rates were well above the market average and core VIP gaming revenues rose 50 percent over the same period last year, said Mr Lui.
밫HIS WAS IN-LINE WITH EXPECTATIONS, AND VIP NOW REPRESENTS 70 PERCENT PLUS OF STARWORLD뭩 GAMING REVENUES.”
Galaxy's CityClubs which operate casinos under the company's license and 밼ocus on the VIP gaming market were hit by the increasing competition in that sector.
THE CLUB'S CONTRIBUTION TO QUARTERLY EARNINGS BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION SPIRALLED FROM HKD76 MILLION IN THE FIRST QUARTER OF 2007 TO HKD3 MILLION.
Last month Galaxy announced it would be entering into a 뱂umbo deal with a junket operator for use of 100 VIP tables at StarWorld.
ALTHOUGH NO FURTHER DETAILS HAVE BEEN ANNOUNCED THE COMPANY YESTERDAY SAID THE DEAL HAS BEEN DONE.
[In response] to the competitive market and increased Junket commissions, we reached an agreement with a leading operator to promote up to 100 new VIP tables in StarWorld, a press release said.
밯E BELIEVE THAT THE STARWORLD EXPANSION AND VIP PROMOTER AGREEMENT THAT WE HAVE REACHED WILL SIGNIFICANTLY INCREASE GALAXY뭩 EBITDA AND RETURN ON INVESTMENT, SAID MR LUI.
밫he scale of the agreement gives Galaxy and our partner the capacity to expand StarWorld뭩 VIP offering in-line with market demand”
THE COMPANY'S COTAI RESORT IS ON SCHEDULE TO OPEN MIDWAY THROUGH NEXT YEAR.
밯ITH THE SIGNING OF TWO EXCITING AGREEMENTS WITH LUXURY HOTEL OPERATORS BANYAN TREE AND OKURA, OUR PLANS FOR THE ENTIRE FIRST AREA OF THE GALAXY MEGA RESORT ARE NOW IN PLACE, SAID MR LUI.
Flooding and mudslides left at least two people dead in northern Italy after heavy rains that also hit Belgium, Britain, France and Germany, reports said, with dangerous weather likely to continue.
A mudslide in Villar Pelice near the northern Italian city of Turin swept away a house, killing an old man inside it, civil protection authorities said. A second person was found dead in a car also caught up in the mudslide.
A mother and her child who lived in the building were reported missing. Elsewhere in the area, fifty patients were evacuated from a hospital in Turin.
The RAI television channel showed pictures of nearby bridges and roads blocked.
"It is just the beginning of the disturbances which may continue tomorrow," the head of the civil protection service Guido Bertolaso said on Thursday.
In France the SNCF train operator closed lines overnight between Turin and Lyon, southeastern France, to avoid accidents after heavy rains in the region.
Road tunnels linking France and Italy were closed to trucks for several hours after parts were affected by a mudslide. Several highways were blocked or closed for safety in the districts of Savoie and Isere, local authorities said.
In Corsica two hotels were evacuated overnight due to flooding, firefighters said.
Mudslides and flooding also cut hit villages and cut secondary roads in eastern France overnight, while other routes were blocked by fallen trees, authorities said.
Further north meanwhile, streets were turned to rivers of mud in the eastern Belgian city of Liege after a violent storm, media reports said, but no casualties were reported.
Belgian television pictures showed flooded houses and cars swept along in the mud.
In southwestern Germany media reports said heavy rain and hail had caused extensive damage, while at Moenchengladbach a woman suffered a severe electric shock when she went into her flooded cellar in bare feet to cut the power.
Dozens of motorists had to abandon their cars, while in Baden-Wurtemberg lightning set fire to a farm.
A clean-up operation was under way in southwest England Friday after torrential rain caused flash flooding the previous evening.
The worst-hit area was the southern part of the county of Somerset. Cars were abandoned on water-logged roads, fire crews had to rescue a number of motorists and hundreds of homes and businesses were flooded out.
There were no reports of anyone injured, emergency services said.
Southern and central England were hit by some of the most devastating floods in years 12 months ago, but Devon and Somerset Fire Service described Thursday's weather as "a typical flash flood".