Genting reveals US$650,000 daily EBITDA at Resorts World Las Vegas during first week of operation

in Finance

Genting Berhad’s newly opened US flagship, Resorts World Las Vegas (RWLV), generated revenue of US$14.9 million and EBITDA of US$3.9 million during its first six days of operation in June, according to the company’s 2Q21 financial reports published Friday.

The US$4.3 billion integrated resort became the first brand new casino-resort development on the Las Vegas Strip in more than a decade when it opened to the public on 24 June, offering 3,500 hotel rooms, 40 F&B outlets, substantial retail and MICE space and 117,000 square feet of casino floor.

Despite some delays due to the COVID-19 pandemic, the opening also came at an opportune time with pent-up demand seeing Nevada and the Las Vegas Strip notch all-time record revenues in July.

While Genting Berhad has provided few details of RWLV’s performance since, it did incorporate the six days from 25 to 30 June in its 2Q results with revenue averaging US$2.5 million and EBITDA US$650,000 per day during that period.

Were those volumes to maintain, RWLV would print around US$75 million in revenue and US$20 million in EBITDA per month although analysts believe the property can generate up to US$300 million in EBITDA annually once fully ramped.

Genting said hotel occupancy was 71.2% during that first week with an average daily rate of US$239.

“Additional amenities will be completed and opened in the third and fourth quarters, including The Theatre at Resorts World Las Vegas, Zouk Nightclub and the Spa,” the company said.

For the three months to 30 June 2021, Genting Berhad saw its loss narrowed from MYR1,47 billion in 2Q20 to MYR599 million, with the reopening of its casinos worldwide driving a near three-fold increase in revenues to MYR2.94 billion.

Group-wide EBITDA of MYR958.9 million reversed an EBITDA loss of MYR578.7 million a year earlier.

https://www.asgam.com/index.php/2021/08/29/genting-reveals-us650000-daily-ebitda-at-resorts-world-las-vegas-during-first-week-of-operation/