Genting Malaysia’s Resorts World Genting will reach its pre-COVID revenue levels by 2025, according to Fitch Ratings.
The agency said: “We have raised our revenue forecast for 2024 and 2025 to up to 100 per cent of the 2019 level. We expect higher revenue on a domestic traffic rebound and increase in international tourists as regional travel continues to recover, helped by the completion of repairs to an access road to Genting Highlands in July 2024.”
“We expect Genting’s and Genting Malaysia’s net leverage ratios to remain below 3.5x, even with the increase in capex following a casino licence win. Genting Malaysia’s net leverage may temporarily exceed 3.5x during the construction period, but we do not anticipate a sustained impact on Genting’s and Genting Malaysia’s financial profile and IDRs.”
“We have not incorporated a [New York] licence win in our forecasts, given the uncertain bidding process. However, should Genting New York LLC be successful, we do not think there will be any impact on Genting Malaysia’s SCP (Standalone Credit Profile) or IDR, or on [parent] Genting Berhad. A licence would also boost Genting Malaysia’s geographic diversification and potentially lower the tax on Genting New York LLC’s gross gaming revenue from around 65 per cent currently.”