Genting HK's FY14 earnings fall, recommends final dividend of US$0.01/share

Genting Hong Kong, an operator of casino cruise ships, reported on Friday that its net profit attributable to shareholders fell to US$384.48 million for the year ended December 31, 2014, from US$552.39 million a year ago.

Earnings per share slipped to 4.79 US cents, compared to 7.00 US cents previously.

Turnover rose to US$570.81 million, from US$554.73 million a year ago. Its "others" segment firmed due to the increase in dividend income received from available-for-sale investments and revenue generated from aviation operations.

Gaming revenue rose 10.5 per cent to about US$349 million due mainly to a higher blended hold rate despite reduction in gaming volume. But passenger ticket revenue fell 15.6 per cent to US$134.8 million mainly due to the drydock of m.v. SuperStar Virgo as well as changes in deployment and itineraries of m.v. SuperStar Gemini and Virgo, which included the relocation of Gemini from Shanghai to Singapore and of Virgo from Singapore to Hong Kong in 2014.

Genting HK's results included net other gains amounting to US$301 million in FY2014, compared with US$576.3 million in 2013. In 2014, net other gains included (i) a US$152.6 million gain on disposal of certain ordinary shares in Norwegian Cruise Line Holdings (NCLH), (ii) a US$124 million gain arising from deemed partial disposal of a stake in NCLH as a result of its issuance of certain new shares for NCLH's acquisition of Prestige, which was completed in November 2014, and (iii) a US$18 million gain on revaluation of certain financial assets.

The group remained in a net cash position of US$260.1 million as at December 31, 2014. Its board has recommended a final dividend of US$0.01 a share.