October 19, 2021 3 min read


Fitch Ratings Forecasts Speedy Recovery for Genting Berhad

Credit ratings, commentary and research for global capital markets provider Fitch Ratings forecasts that casino and hospitality company Genting Berhad will soon experience a vigorous recovery. That is thanks to the big vaccination rates as well as Genting Berhad’s reduced capital expenditure and strong recovery in the US.

Genting Berhad Back to Full Power by 2023-2024

Last week, Resorts World Genting started accommodating guests once again. The hospitality brand was closed for the last four months but will now begin its journey to recovery. Analysts believe that business will quickly pick up, considering the numbers from the company’s previous reopening in fall 2020.

Fitch Ratings believes that Resort World Genting will open up at 50% capacity and will remain at that rate until at least the first quarter of 2022. However, the analysts envision a relaxation in the COVID-19 measures as the pandemic slowly tones down. These predictions are in line with what some countries, including the US and the UK, believe will happen, as well.

Fitch expects GENM’s EBITDA margin to recover to pre-pandemic levels in 2022, although visitor volumes may not recover fully until 2023-2024.”

Fitch Ratings

Another closure isn’t entirely out of the question, although Genting seems on a steady path to recovery.

Genting to First Recover in the US, Asia to Follow

Fitch predicts that Genting will have it much rosier in the US than in Singapore. In the US, Genting is expected to quickly gain back its usual numbers. The company recently opened Resorts World Las Vegas – a new flagship resort and casino in LA.

According to Fitch, Genting may reach an EBITDA of $350 million by the end of 2024. The analysts are firm that the newly opened Resorts World Las Vegas (RWLV) will play a key part in that. The forecasts predict RWLV contributing as much as Genting Malaysia.

“RWLV’s growing contribution will also help Genting’s EBITDA to recover to pre-pandemic levels and deleverage to below 3x by end-2023,” analysts added.

In comparison, the Resorts World Sentosa in Singapore is expected to recover noticeably slower, with the company recovering 50^% of its revenue by 2022. However, Resorts World Sentosa will likely still get to full power by 2023.

Fitch summarized that Genting Berhad has nice prospects of getting back to full power. The quick US recovery and the noticeable recuperation in Asia seem promising for the company’s future operations. The high vaccination rates in those key markets are to benefit the company.

Fitch concluded that the next six to nine months will be crucial for the sector and will provide better visibility on its recovery. The analysts hope that during this period, governments will provide “clearer indications of their border and travel policies, which are key to determine if casinos and tourism can gradually return to normal.”


Yasmin is an iGaming and gaming journalist with over 10 years of writing about various publications. Her experience spans the entirety of iGaming, traditional sports, as well as online poker. She is well-versed in every aspect of online gaming and her wealth of knowledge provides additional substance to our coverage.

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