Yesterday, Cambodia-based gambling operator NagaCorp Ltd. posted its financial results for 2014. According to the report, NagaWorld, the only casino resort in the country’s capital, generated gaming revenue of US$381.38 million. The property marked a 23% growth as compared to 2013.
NagaCorp shared that it managed to outperform Macau-based operators due to the fact that mass market contributed a substantial turnover. What is more, the company’s VIP revenue was derived from players who came from Southeast Asia.
The gaming operator also pointed out that the situation in Macau offers opportunities for the company’s further expansion on the Chinese gambling market. NagaCorp said that it is perfectly capable of introducing attractive terms to junket operators.
According to the report, the property’s VIP revenue grew by 41.3% to reach US$188.18 million. By comparison, the casino generated the amount of US$133.18 million back in 2013. And Macau’s VIP gaming revenue dropped by 10.9% for the same period.
Furthermore, NagaWorld’s mass market revenue rose 21% to reach US$108.64 million. The amount of US$89.80 million was posted in 2013.
The company also reported that its net profit increased 9% to US$136.09 million. The impact that the entrance fee for electronic gaming areas, which was introduced in 2013, had on profits was not included in the afore-mentioned estimations.
The company attributed the moderate growth in net profit to the higher commissions that were offered to junket operators, so as to be able to promote NagaWorld around the continent, China included. Furthermore, a certain amount of money was invested in the additional improvement of the quality of customer service.
The gambling operator stated that these costs will certainly help the company generate even more substantial revenues in the years to come. It also announced its plans to sign deals with more Macau-based junket operators, since they are currently looking to expand their operations in other Asian countries.
According to a report released by the Cambodian Ministry of Tourism, more than 4 million foreign tourists visited the country during the first eleven months of 2014. Of those, 20% came from Vietnam, 13% from China, and 10% from Laos. A total of 507,860 Chinese visitors crossed the borders of the country.
In addition, NagaCorp stated that Naga City Walk, a NagaWorld extension, which will include a large shopping center, is expected to be completed before the end of the third quarter of 2015. It is set to open doors for visitors sometime at the beginning of 2016.
As previously reported, NagaCorp is also currently developing a casino resort near Vladivostok, Russia. The company promised that the property will be completed and launched no later than 2018.
