SJM interim results show increase in mass market revenue

SJM Holdings has released its 2014 interim results, which show that the group’s mass market table gaming revenue has increased 29.1 percent in the first half of this year compared with the same period last year. However, VIP gaming revenue has dropped by 5.1 percent. The slot machine operations revenue also showed an 8 percent year-on-year decrease.
The group’s net profit has increased by 1.9 percent to HKD3.9 billion. SJM’s gaming revenue and adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) also rose by 4.7 and 4.1 percent respectively, while the adjusted EBITDA margin decreased by 0.1 percentage points to 10 percent.
Moreover, the market share of Sociedade de Jogos de Macau S.A. (“SJM”) is 23.5 percent, including 24.6 percent of mass market table gaming revenue and 23.9 percent of VIP gaming revenue.
Furthermore, the average occupancy rate of the Grand Lisboa Hotel was 95.3 percent in the first six months of 2014, with an average daily room rate of HKD2,344; this is 5.1 percent higher than the same period last year.
The group has also announced an interim dividend of HKD22 cents per ordinary share.
SJM announced its new “Lisboa Palace” Cotai project in February, with 90 percent of the 70,000 square meters allocated to non-gaming facilities, such as the six-star hotel by Italian fashion house Versace.