Genting net loss widened to RM1.37bil in FY21 due to lower revenue from Resort World Genting

KUALA LUMPUR: Genting Bhd's net loss widened to RM1.37 billion in the financial year ended December 31, 2021 (FY21) from a net loss of RM1.02 billion recorded in FY20.

Revenue in the same period increased 16.9 per cent to RM13.53 billion from RM11.56 billion.

In a filing to Bursa Malaysia today, Genting said lower revenue was recorded from Resort World Genting (RWG) mainly due to the decline in overall business volume from gaming and non-gaming segments following the re-imposition of various Covid-19 restrictions by the government during the current financial year.

"This resulted in a temporary closure of RWG for approximately five months compared with three months in the previous financial year.

"Consequently, RWG recorded lower adjusted earnings before interest, tax, depreciation, and amortisation (Ebitda) for the current financial year primarily due to the lower revenue, mitigated by a reduction in operating expenses and payroll and related costs as a result of lower headcount," it said.

The group said revenue from the leisure and hospitality business in the UK and Egypt, the US, and the Bahamas recorded higher revenue primarily due to a strong rebound in demand as Covid-19 restrictions gradually eased during the current financial year.

Besides that, the plantation division's revenue and Ebitda increased in the fourth quarter (Q4) 2021 as palm product prices strengthened against Q4 2020, mitigated by lower fresh fruit bunches (FFB) production.

In Q4, Genting registered a net loss of RM129.81 million against a net profit of RM24.98 million, while revenue grew 58.7 per cent to RM4.84 billion from RM3.05 billion.

Genting has declared an interim single-tier dividend of 11 sen per ordinary share for FY21.

The total dividend for FY21 will amount to 11 sen per ordinary share. In comparison, the total dividend amounted to 15 sen per ordinary share for FY20.

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