According to Maybank Investment Bank Research, the resumption of Resorts World Genting has been postponed until about November 2021 due to the recent surge in new cases of Covid-19 in Malaysia.
The delay in re-opening forced Maybank IB to forecast a broader underlying net loss of 52% for Genting Malaysia Bhd , with the research firm changing its initial forecast of resuming operations at the end of August.
The new reopening schedule coincides with expectations that the country will receive collective immunity in October, Newsbeezer reports , and the number of Covid-19 vaccinations in Malaysia has increased to more than 400,000 per day. The country is currently experiencing a record number of cases and deaths from Covid-19, with a new daily record of 21,468 cases last Friday.
The number of visitors to Resorts World Genting for the year decreased from 8.5 million to 5 million. The November resumption scenario will extend the current closure period to five months after the suspension of work starting in June.
The resort is unlikely to open its doors until the national vaccination rate reaches 80%, after which Maybank IB analyst Samuel Yin Shao Yang expects that ” Malaysians will return to RWG in droves.”
The re-opening of Resorts World Genting is expected to be followed by the launch of the new Genting SkyWorlds theme park, which has been postponed several times. The new opening date is December, coinciding with the school holidays.
On the positive side, the return-to-profit forecasts for 2022 and 2023 remain unchanged with an expected number of arrivals of 24.2 and 26.2 million visitors, respectively.
Resorts World Genting has more than 10,300 rooms located in seven hotels and gaming halls, including SkyCasino and Genting Casino. As part of the Genting Integrated Tourism Plan (GITP), Genting Malaysia has introduced various new facilities and attractions, including hotel towers, a cable car system and shopping centers.