SJM II (mar26)
may26
SJM Holdings is the Macau gaming operator most exposed to Sands China’s more aggressive player reinvestment program, brokerage CLSA said in a research note published on Thursday.
Analyst Jeffrey Kiang said SJM’s gross gaming revenue market share slipped to 9.6 percent in the first quarter of 2026, slightly below CLSA’s forecast of 9.8 percent, and pointed to continued pressure on the operator’s top line.
SJM also recorded an 8 percent year-on-year decline in gaming revenue during the May Golden Week, which the brokerage attributed to the discontinuation of satellite casinos, even though the total number of gaming tables remained unchanged.
CLSA said player reinvestment costs appeared to be rising structurally, even as SJM maintained a disciplined approach to operating expenses. ‘Commissions and incentives’ as a percentage of gross gaming revenue jumped to 12.6 percent in the first quarter of 2026, up from 8 percent in the same period a year earlier and 9.3 percent in the fourth quarter of 2025.
https://agbrief.com/news/macau/10/05/2026/clsa-flags-sjm-vulnerability-amid-sands-china-player-investment-drive/?utm_source=Asia+Gaming+Brief&utm_campaign=bfcfc97c53-AGB%3A+%2302381+Monday%2C+11th+May%2C+2026&utm_medium=email&utm_term=0_51950b5d21-bfcfc97c53-%5BLIST_EMAIL_ID%5D&ct=t%28AGB%3A+%2302381+Monday%2C+11th+May%2C+2026%29&goal=0_51950b5d21-bfcfc97c53-%5BLIST_EMAIL_ID%5D&mc_cid=bfcfc97c53&mc_eid=31e20475e6
may26
Grand Lisboa Palace needs stronger strategic execution : analyst
By Aries Un
Leveraging has been highlighted as a concern in recent Seaport analysis on casino operator SJM Holdings, whish is currently carrying a net debt 7.8 times its earnings.
Following the earnings announcement by SJM on Thursday, analyst Vitaly Umansky wrote that SJM’s leveraging would decline by the end of 2027 to an amount 6.8 times EBITDA, a measure of a business’s cash-generating power.
“[…] we see no likelihood of dividends at least for the next 3+ years as the company needs to delever,” he wrote.
Another concern pointed out by the analyst was regarding Grand Lisboa Palace’s “slow pace of ramp up”, which was described as a “significant concern” that could limit any “potential positive view”.
In spite of non-gaming additions to the Cotai property and a focus on premium mass, Umansky forecasts a marginal market share improvement for the remainder of 2026 only.
“The return on investment remains abysmally low and unlikely to achieve anything approaching positive value creation (vs. cost of investment) in the foreseeable future (if at all),” the report read.
A lack of a strong ability to aggressively capture more of the premium mass segment could prevent this Cotai property gaining “material share”, he added.
In his analysis, this property’s market share is plateauing at the low three-percent level, “unless there is a material change in strategy and execution,” he added.
GLP’s Q1 operating expenses climbed five per cent sequentially but a whopping 20 per cent year on year, according to the analyst.
However, properties on the peninsula targeting base mass delivered a “bright spot” performance, lifting market share to 3.9 per cent – up by 150 basis points both sequentially and year over year.
L’Arc Macau and Casino Lisboa were said to have been major drivers, representing a combined 54 per cent of SJM’s Q1 earnings – even slightly more than Grand Lisboa.
Overall, Q1 EBITDA margin improved sequentially to 19 per cent, but remained well below the Q1 2025 level of 24.1 per cent.
https://macaubusiness.com/grand-lisboa-palace-needs-better-strategic-execution-analyst/
may26
SJM Holdings reverses profit to post Q1 loss
By Aries Un
SJM Holdings ended the first quarter of 2026 with a loss of HK$62 million (US$7.92 million / MOP63.9 million), reversing a prior profit of HK$31 million in the same period of last year.
This Q1 result was announced on Thursday as the casino operator saw its net revenue down 21 per cent to HK$5.9 billion during that period.
Gross gaming revenue reported by SJM also suffered a considerable drop of 18.8 per cent to HK$6.1 billion, dragging net gaming revenue down 22.8 per cent to HK$5.36 billion.
SJM’s adjusted earnings dipped 4.3 per cent to HK$917 million, despite a slight expansion in margin to 15.5 per cent from 12.8 per cent a year earlier.
There was also a year-over-year drop of 2.9 percentage points in hotel occupancy, which stood at 94.4 per cent last quarter.
SJM narrowed its market share by 3.9 percentage points to 9.6 per cent in the first quarter of the year.
https://macaubusiness.com/sjm-holdings-reverses-profit-to-post-q1-loss/
ab26
Macau gaming operator SJM Holdings is entering what it describes as an “important inflection point” in 2026. Completed table redeployments and ongoing portfolio upgrades are expected to support progressive improvements in profit margins and returns, according to Chairman and Executive Director Daisy Ho.
mar26
Daisy Ho buys US$3mln worth of casino group SJM’s US$540mln senior unsecured notes
mar26
SJM’s liquidity ‘adequate’ despite ‘weak’ 2025 results: Lucror
mar26
The risk of Macau concessionaire SJM Holdings not resuming dividend payments by 2027 has grown given the company’s need to focus its energies on deleveraging, according to investment group CLSA.
In a Tuesday note, CLSA’s Jeffrey Kiang said SJM still had “some way to go” on the road to deleveraging, which should command a higher priority in capital allocation in 2026 and 2027. As such, “the risks of SJM not paying dividends in 2027 has grown” following release last week of the company’s 4Q25 results, which saw Adjusted EBITDA fall 32% year-on-year and below forecasts to HK$671 million.
“We think SJM faces more structural headwinds than other concessionaires amid the more aggressive spending program by Sands China since summer 2025, as we view they have the most overlapping in targeted players,” Kiang wrote.
CLSA noted that decline was attributable to a 3.1 percentage point contraction in revenue market share to 10.5% because of leakage of players from the closure of satellite casinos throughout 2H25.
However, he also highlighted comments from SJM during its 4Q25 earnings call indicating that GGR market share at its Macau peninsula properties in the first two months of this year had grown due to the fast ramp-up of L’Arc. SJM fully acquired the former satellite casino in late December and has transferred some gaming tables and machines from closed satellites to the premises.
https://asgam.com/2026/03/11/growing-risk-of-macaus-sjm-deferring-resumption-of-dividend-payments-beyond-2027-says-clsa/
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