MBS can return to pre-Covid level in 2 years: Bernstein

Singapore casino resort Marina Bay Sands (MBS) is likely to return to pre-pandemic levels of business over the next two years, after the city-state entered this month its ‘living with Covid-19’ phase, including easing of restrictions on inbound travel by vaccinated people, says a Wednesday note from brokerage Sanford C. Bernstein Ltd.

“We expect a ramp up in business activity at Singapore integrated resorts to start in the second quarter, and accelerate into 2023,” wrote analyst Vitaly Umansky. Singapore is also host to Resorts World Sentosa, operated by Genting Singapore Ltd.

The institution noted that the local authorities had aimed to increase air passenger volumes to circa 50 percent of pre-pandemic levels before the end of this year, from about 18 percent of pre-crisis in mid-March.

“Marina Bay Sands’ appeal is its high margin and cash flow conversion with the property having generated approximately US$1.7 billion of EBITDA [earnings before interest, taxation, depreciation and amortisation] in 2019, at 54 percent EBITDA margin,” wrote Mr Umansky.

Source: https://www.ggrasia.com/mbs-can-return-to-pre-covid-level-in-2-years-bernstein/