BUSINESS

Galaxy Entertainment reports robust net income in 2012

TAGs: Business, Casino News, Galaxy Entertainment Group, Macau

galaxy-entertainment-macauGalaxy Entertainment Group Ltd. has reported its annual profit in 2012 and the number is pretty impressive, to say the least. From a net income of HK$3 billion in 2011, the casino operator managed to double that number in 2012 when it reported a net income of HK$7.4 billion. In a list compiled by Bloomberg involving estimates of 25 analysts for Galaxy Entertainment, the news agency was able to reach HK$7.46 billion in net income for the casino operator, right in line with the final numbers Galaxy released.

A big reason for the sizable increase in revenue can be attributed to the influx of tourists in the world’s largest gambling hub. Likewise, the Hong Kong-based company also benefited from its first year of operations in the burgeoning Cotai district of Macau, which has seen the rise of multiple international resorts and casinos, including Galaxy Macau, the City of Dreams, and Sands Cotai Central.

Taking adjusted earnings into the equation, including earnings before interest, taxes, depreciation, and amortization (EBITDA), Galaxy Entertainment made out with HK$9.8 billion, an impressive 71-percent increase from the HK$5.7 billion it pulled in the previous year. Likewise, revenue also increased to HK$56.7 billion, 38 percent better than its 2011 figures.

With continued growth, Galaxy Entertainment is looking for bigger and better things to come in 2013. The company already announced its plans to invest around HK$50 billion inĀ expansion efforts as it seeks to gain a bigger piece of the tourist pie that’s becoming bigger and bigger in numbers in recent years. In addition, the company also announced through Deputy Chairman Francis Lui that it had received approval from the Macau government to add 50 more gambling tables between its two properties.

Comments

views and opinions expressed are those of the author and do not necessarily reflect those of CalvinAyre.com