By Ronnie Harui
Galaxy Entertainment Group Ltd.’s net revenue fell 52% in the third quarter, mainly due to Covid-19-related travel restrictions that led to the closure of casinos for 12 days during the quarter.
Total net revenue fell to 2.03 billion Hong Kong dollars (US$258.61 million) for the quarter ended September from HK$4.28 billion in the same period a year earlier, it said in a Hong Kong Exchange filing on Thursday.
The integrated resort operator’s adjusted Ebitda swung to a loss of HK$581 million in the third quarter from a profit of HK$503 million a year earlier.
“Our balance sheet remains liquid and healthy,” said Dr. Lui Che Woo, the group’s chairman, noting that cash and liquid investments were HK$22.5 billion and net cash was HK$19.3 billion as of Sept. 30.
Galaxy Entertainment continues to make progressive enhancements to its resorts to ensure that they stay competitive and appealing, the chairman said.
The company also continues to invest in Macau with its “Cotai Phase 3” effectively completed and is moving forward with “Phase 4,” its next-generation integrated resort, he said.
“Going forward in the medium to longer term, we remain confident in the future of Macau,” he said.
However, he cautioned that future potential outbreaks of Covid-19 could impact Galaxy Entertainment’s future financial performance.
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