Published
Land-BasedCasinoSports BettingIndustry

Apac EBITDA to decline by 70% in 2020

Casinos operating in Asia-Pacific (Apac) markets will likely face a drop in EBITDA. Moody’s Investors Service Inc suggested the market with experience a “fall around 70% in 2020 before a gradual recovery in 2021”. It involves several of the well-known groups that operate in the Asia-Pacific region: Genting Singapore Ltd, Crown Resorts Ltd, Las Vegas Sands Corp, Melco Resorts Finance Ltd, MGM Resorts International, Wynn Resorts Finance LLC, NagaCorp Ltd, and Studio City Finance Ltd. 

macau

The investigation noted that while the virus outbreak hinders the overall performance, most of the companies have enough liquidity to last for 12 months, stating: “These companies have sufficient cash equivalents and committed facilities to withstand temporary cash burn, which includes operating expenses, interest payments and maintenance capital spending, as well as meet their debt repayments in 2020.” 

Genting Singapore was assigned A3 negative rating, an upper-medium grade, meaning the group is deemed to be in a low-risk zone despite its long-term financial obligations. Two of the investigated groups, NagaCorp and Studio City Finance, were given B1 negative rate, and are considered to be high-risk. Moody noted the liquidity for Studio City Finance might run out in less than a year. 

Many of the groups are tied to single-country markets and are suffering from the lockdown measure the countries implemented. While the markets are slowly resuming work, it’s unclear if the remaining months will be enough to offset the losses for 2020. 


Casino News Sponsor
Premium+ Connections
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium
 
Premium Connections
Consultancy
Executive Profiles
Soft2Bet
Scientific Games
Digitain Malta
Follow Us

Facing Facts: Q3 2024 analysis

Gambling Insider takes a look at the Q3 results of operators...

Taking stock: The final count of 2024

Gambling Insider tracks operator and supplier prices of some...

CEO Special: Flutter CEO Peter Jackson – Playing to win

As the biggest publicly traded operator in gambling meets th...

CEO Special: Holland Casino CEO Petra de Ruiter – High flier

Petra de Ruiter, Holland Casino CEO, speaks to Gambling Insi...

A welcome from your host

A message from the Founder of the Global Gaming Awards and G...

From the event manager

A message from the Event Manager of the Global Gaming Awards...

From the Awards adjudicator

KPMG in the Crown Dependencies is the official voting adjudi...

The process

The Global Gaming Awards have deservingly earned the reputat...