Nagacorp 1Q casino GGR rises by 23.7% year-on-year

The operator, NagaCorp Ltd, with its headquarters in Cambodia, reported a noteworthy 23.7 percent year-over-year increase in first-quarter casino gross gaming revenue (GGR), reaching almost US$145.4 million, in a non-statutory statement that was submitted with the Hong Kong Stock Exchange on Wednesday.

Additionally, for the three months ending March 31, the firm recorded earnings before interest, taxes, depreciation, and amortization (EBITDA) of US$80.3 million, a 32.6 percent increase over the same period the previous year.

In Phnom Penh, Cambodia, NagaCorp has an exclusive long-term monopoly license to run casinos. It is in charge of the NagaWorld complex there.

The firm released a statement indicating that the first quarter saw positive increase in a number of performance metrics, including average daily business volumes such table game buy-ins, slot machine bills, and VIP rollings.

The total amount of buy-ins and slot bills was around US$951.3 million, indicating an 8.2 percent annual rise. In Q12023, GGR in this category increased by 19.9 percent to US$92.5 million.

The company had significant growth in the mass-market segment, particularly in table games, where GGR rose by 34% over the prior year. With GGR rising by 51% annually, premium mass, high-limit table games were identified as a key growth driver.

According to reports, the first quarter’s average daily business volume in the mass-market sector was the highest since the property reopened in the third quarter of 2021 after Covid-19 limits.

The average daily rolling volume in the premium VIP sector reached US$1.16 billion, a 19.3 percent year-over-year increase, while the quarterly GGR for premium VIP climbed by 24.3 percent to US$35.5 million.

Even though the referral VIP category’s average daily rolling volume dropped by 9.3% from the first quarter of 2023, GGR climbed by 47.5% to US$17.4 million.

Additionally, the statement said that as of March 31, the company’s total cash and bank balances had climbed to US$414.3 million. When the existing senior notes totaling US$472.2 million expire in July 2024, NagaCorp expects to utilize a loan of up to US$80 million granted by its controlling shareholder to partially settle the remaining balance.

The company’s net profit for the whole year 2023 was US$177.7 million, a noteworthy increase of 65.7 percent from the year before. Sales increased by 15.7 percent to US$533.2 million.

In February, NagaWorld’s management said that it planned to halt the Naga 3 expansion project in order to save capital investment and potentially free up extra cash flow for dividend payments.

Original story by: GGRAsia