Genting Malaysia Reports Q1 2026 Net Loss

Genting Malaysia Bhd reported a net loss of MYR25.2 million (US$6.4 million) for the first quarter ending March 2026, as higher financing expenses and pre-opening costs linked to its New York resort developments weighed on earnings despite stronger group revenue.

Revenue increased 10% year-on-year to MYR2.87 billion (US$724.0 million), compared with MYR2.60 billion recorded in the same period last year. The growth was supported by improved performance across the company’s operations in Malaysia, the United Kingdom, Egypt, the United States and the Bahamas.

Despite the revenue increase, pre-tax profit dropped 77% to MYR43.1 million (US$10.9 million), while adjusted EBITDA declined 13% to MYR644.7 million. Finance costs rose 34% to MYR246.7 million, mainly due to borrowings connected to the development of Resorts World New York City (RWNYC) and the consolidation of senior secured notes related to Empire Resorts.

RWNYC Expansion Impacts Results

Genting Malaysia stated that its indirect wholly owned subsidiary, Genting New York LLC, drew US$755 million (MYR3.06 billion) from a new senior secured credit facility during the quarter. The funding was used for commercial casino licence fees and capital expenditure tied to RWNYC.

The company also noted that pre-operating expenses linked to RWNYC’s conversion into a full commercial casino contributed to weaker profitability during the quarter. RWNYC officially introduced live table games on 28 April 2026, becoming the first full-scale commercial casino in New York City.

In the United States and Bahamas segment, leisure and hospitality revenue rose 39% year-on-year to MYR694.4 million (US$175.4 million), supported by the inclusion of Empire Resorts. However, adjusted EBITDA for the segment declined 32% to MYR80.5 million (US$20.3 million), partly due to higher payroll and operating costs associated with the RWNYC integration.

Performance Across Other Markets

In Malaysia, revenue increased 3% to MYR1.67 billion (US$421.4 million), mainly driven by gaming operations. Adjusted EBITDA in the market slipped 1% to MYR512.1 million (US$129.3 million) as payroll and operating expenses increased.

Operations in the UK and Egypt also recorded growth, with revenue rising 11% to MYR460.7 million (US$116.3 million), helped by contributions from the recently acquired Genting Casino Stratford.

Cautious Outlook

Genting Malaysia said it remains cautious regarding short-term conditions in the leisure and hospitality sector, citing geopolitical tensions in the Middle East and broader macroeconomic uncertainty.

The company added that regional gaming markets could face pressure from softer outbound travel demand and rising travel-related expenses. Even so, Genting Malaysia maintained a positive long-term outlook as it continues managing the expansion of RWNYC and other projects across its portfolio.