The company announced in a communication to the Hong Kong Stock Exchange a profit of nine million Hong Kong dollars (one million euros) between July and September.
During the same period in 2024, the group founded by gaming magnate Stanley Ho Hung Sun (1921-2020) recorded a profit of 101 million Hong Kong dollars (11.3 million euros).
“We faced significant challenges in the third quarter, driven by the gradual cessation of satellite casino operations and intensifying market competition,” stated SJM Chairwoman Daisy Ho Chiu-fung in the communication.
On June 9, the Macau Government announced that gaming concessionaires had reported the end of operations of 11 ‘satellite casinos’, where about 5,600 residents were employed.
However, only nine ‘satellite casinos’ are expected to close, as SJM intends to acquire the hotels where two are located – Ponte 16 and Casino Royal Arc – and request permission from authorities to directly manage these spaces.
‘Satellite casinos’, under the concessionaires’ jurisdiction, are managed by other companies, a legacy from Portuguese administration that predates the liberalization of gaming in the territory in 2002.
When casino regulations were amended in 2022, a deadline of the end of 2025 was set to terminate the activities of these gaming spaces.
The first casino to close was Grandview at the end of July, under the jurisdiction of SJM. Emperor Palace closed at the end of October, and Legend Palace closes today.
Daisy Ho stated, “despite the inevitable disruptions accompanying this transition period,” the company will “enter 2026 in a stronger position, with a more integrated and resilient platform.”
Despite the year-on-year decline in profit between July and September, SJM managed to reverse the situation from the second quarter when it posted a loss of 151 million Hong Kong dollars (16.8 million euros).
The operator’s properties generated 7.03 billion Hong Kong dollars (781.5 million euros) in the third quarter, down 6.2% from the same period last year.
However, SJM highlighted that gaming revenue from the casinos directly managed by the company increased by 0.9%, to 4.79 billion Hong Kong dollars (532.7 million euros).
Also today, SJM announced it paid 724 million yuan (87.8 million euros) to acquire office buildings in the neighboring Hengqin (Montanha Island), which will be converted into a three-star hotel.
As the world’s gaming capital, Macau is the only place in China where casino gaming is legal.
