GGRAsia – Genting HK expects 37-pct drop in profit for 2014

Genting HK expects 37-pct drop in profit for 2014

Feb 18, 2015 Newsdesk Latest News, Rest of Asia, Top of the deck

Genting Hong Kong Ltd, a subsidiary of Malaysian conglomerate Genting Bhd, has updated its earlier profit warning, narrowing the expected fall in profit for 2014 to a maximum of 36.7 percent.

Genting Hong Kong is an operator of casino cruise ships under the Star Cruises brand, and a joint venture partner in two Philippine casino resorts. The company has also established a joint venture to operate an existing foreigners-only casino at Hyatt Regency Jeju hotel in South Korea.

Genting Hong Kong on Wednesday said it expects a profit of “not less than” US$330 million for the year ended December 31, 2014, as compared with a net profit of approximately US$521 million in the previous year.

But the firm said that the numbers contained in its most recent update did not include the contribution from Travellers International Hotel Group Inc, the joint venture that operates the Resorts World Manila casino resort (pictured) and is currently constructing the US$1.1 billion Bayshore City Resorts World in Entertainment City in Manila.

Earlier this month, Genting Hong Kong had said profits could fall by as much as 51 percent year-on-year for full-2014.

Wednesday’s update follows the announcement of the financial results of associate company Norwegian Cruise Line Holdings Ltd (NCLH). Genting Hong Kong’s share of NCLH’s profit for the whole of 2014 is expected to be about US$95 million, up from US$38 million in 2013, the company said in the filing.

The firm said it would consider making another announcement once the financial results of Travellers International are announced.

The audited consolidated results of Genting Hong Kong for 2014 are expected to be announced next month.