Gaming operator Galaxy Entertainment Group (GEG) recorded a net revenue of HKD10.6 billion, marking a 50% year-on-year increase and a 2% quarter-on-quarter rise.
In a financial result announcement yesterday, the group reported a Q1 Group Adjusted EBITDA of HKD2.8 billion, up 49% year-on-year and 1% quarter-on-quarter
Group chairman Lui Che Woo disclosed in the statement that GEG “made substantial adjustments” to Galaxy Macau’s gaming floor, which in the shorter term “was disruptive for the month of January and the early part of February.”
“The renovation was completed just prior to Chinese New Year. With the completion of this renovation, we have seen a significant improvement in the flow of customer traffic across the entire floor,” said Lui.
Additional lucky play contributed approximately HKD63 million to Adjusted EBITDA, resulting in a normalized Adjusted EBITDA of HKD2.8 billion, up 50% year-on-year and down 5% quarter-on-quarter.
The latest twelve months Adjusted EBITDA reached HKD10.9 billion, marking an increase of 1,297% year-on-year and 9% quarter-on-quarter rise.
The chairman also remarked that the group is in the process of implementing smart tables, which they expect drive further efficiency across the gaming floor.
A recent report from Citigroup has noted that the use of smart gaming tables fitted with radio frequency identification (RFID) technology has the potential to significantly boost casino revenue in Macau.
Smart table usage could lead to a 5.9% increase in gross gaming revenue without the need to attract additional customers, according to estimates from analysts. This provides confidence in the long-term growth prospects of the Macau gaming industry.
Galaxy is also updating its slot machine products and are reportedly working on a range of upgrades to StarWorld Macau.
Lui also noted that the group is “particularly encouraged with our casino performance over the May Golden Week and post the reconfiguration of Galaxy Macau’s gaming floor.”
Citibank data shows that the Golden Week holiday period saw a significant increase in gambling activity compared to the same period in 2023. Total wagers were 144% higher, while the player count increased by 119%, and wager per player rose by 11% year-on-year.
For the first time ever, the top player in Macau’s premium mass gaming rooms during the Golden Week holiday period was not Chinese. The biggest spender was a South Korean high roller, Macau’s first-ever “player of the month” to be a non-Chinese customer.
The South Korean player was among three “whales” – individuals betting HKD100,000 or more per hand – spotted in Galaxy Macau’s Horizon Room. All three individuals wagered between HKD250,000 and HKD399,000 during their play.
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