KUALA LUMPUR: Genting Bhd
said the outlook for international tourism is expected to remain broadly positive, driven by strengthening global demand, improved air connectivity and the ongoing recovery in key markets.
It said the momentum is expected to support the continued recovery of the regional gaming market.
Meanwhile, it said economic growth is expected to continue in Malaysia, supported by external demand and steady domestic spending, while the inflationary environment is expected to be shaped by the implementation of domestic policies.
"However, downside risks to the growth outlook remain amid new developments in the global environment," it said in a statement.
In the third quarter ended Sept 30, 2024, Genting posted a net profit of RM223.8mil, which was drop from RM520.52mil in the year-ago quarter.
It said the lower profit was due to lower earnings before interest, tax, depreciation and amortisation (Ebitda) and higher property, plant and equipment written off, partly mitigated by lower depreciation in 3Q24.
The group's earnings per share slumped to 5.81 sen from 13.52 sen previously.
Revenue, meanwhile, dropped to RM6.54bil from RM7.37bil in the previous corresponding quarter, owing mainly to the leisure and hospitality division.
According to Genting, Resorts World Sentosa (RWS) recorded lower revenue and Ebitda in 3Q24, mainly driven by lower VIP rolling volume and win rate.
Revenue from Resorts World Genting (RWG) in 3Q24 was on par with 3Q23, although a lower Ebitda was recorded primarily due to higher operating expenses in 3Q24.
The revenue from the leisure and hospitality businesses in the UK and Egypt in 3Q24 was higher mainly due to higher volume of business, leading to a higher Ebitda.
According to Genting, the leisure and hospitality businesses in the US and Bahamas included the financial results of Resorts World New York City (RWNYC), Resorts World Bimini (RW Bimini) and Resorts World Las Vegas (RWLV).
Revenue recorded by RWNYC and RW Bimini was slightly lower compared with 3Q23, while a lower EBITDA was recorded mainly due to lower revenue and higher operating and payroll related expenses.
Meanwhile, the group's plantations division's revenue slipped in 3Q24 due mainly to lower sales volume in the downstream manufacturing segment, although this was partly mitigated by higher palm product prices.
A lower Ebitda was recorded mainly due to lower sales volume of palm products leading to higher inventory levels.
For the nine months period, Genting's net profit rose to RM1.05bil from RM779.1mil in the year-ago period while revenue jumped to RM20.84bil from RM19.85bil previously.
Separately, Genting Malaysia Bhd announced a third-quarter net profit of RM569.16mil, surging higher from RM177.41mil in the year-ago quarter, which translates to an earnings per share of 10.04 sen against 3.13 sen previously.
The company's revenue rose to RM2.75bil in 3QFY24 from RM2.71bil previously.
Over the three cumulative quarters, Genting Malaysia's net profit came to RM709.18mil as compared to RM197.15mil in 9MFY23, while revenue rose to RM8.18bil from RM7.47bil in the year-ago period.
