SJM 16Q3 profit up 80 percent

Macau casino operator SJM Holdings Ltd has reported profit of HK$513 million ($66.1 million) for the third quarter of 2016, up 80.2 percent year-on-year.

The significant rise was due to one-off items, including an investment impairment loss of HK$250 million in 15Q3.

However, when looking at results for the first nine-months of 2016, the operator posted a 22.4 percent year-on-year drop in profit to HK$1.6 billion, compared to the first nine months of 2015.

Gaming revenue for the group in the quarter was HK$10 billion, down 11.1 percent from 15Q3, while adjusted EBITDA was HK$810 million in 16Q3, down 8.4 percent compared to the prior year period.

Dr. Ambrose So, SJM’s chief executive officer of SJM Holdings commented, “SJM’s operating margin improved in the third quarter due to stabilizing gaming revenue in Macau and the impact of our cost-controlling measures. We are also pleased to note a sequential-quarter increase in SJM’s gaming revenue, led by mass market operations.

The chief executive also announced that the renovation of the lobby and hotel rooms at Grand Lisboa has been completed, and the Jai Alai complex is due to open near the end of the year.

“We continue to make substantial progress on construction of the Grand Lisboa Palace, and we are optimistic about SJM’s future and the future of Macau as a world centre of tourism and leisure,” he said.