Hong Kong’s NagaCorp has announced interim results for the half-year to June 30, 2017 which show gross revenues from its gaming activities up 40 per cent to US$386.8m and EBITDA up 19 per cent to $181m.
Net profits are up 20 per cent to $150.6m and VIP activity was up 71 per cent to $7.8bn, the company announced. NagaCorp owns the NagaWorld complex in Cambodia’s capital Phnom Penh, a huge entertainment and meeting venue with 262 gaming tables and 1,600 slots, and has a monopoly within 220km of the city until 2065.
It pays no gaming taxes, just a fixed fee of 1.5 per cent of total revenue and is now rivaling Macau as a Far East destination. Most of its visitors come from Vietnam, China, South Korea and Laos who enjoy generous slots; revenues are 25 per cent greater from its machines but net take from them is only 12 per cent higher, suggesting a big payback to players.
NagaCorp is now building Naga2 nearby with 1,000 hotel rooms and 300 more table games and 500 additional slots connected to NagaWorld via a retail shopping mall. The entire complex is nearing completion.
NagaCorp is also developing a $350m casino hotel in Vladivostok, Russia, which should be open next year.
