Asia gaming and consumer discretionary analyst

Michael Ting

Equity Bottom-Up

<p><a href="https://www.smartkarma.com/entities/nagacorp-ltd" target="_blank" data-smartkarma-citation="entities:4160:1" rel="noopener">NagaCorp Ltd (3918 HK)</a> will report interim results on August 27th where we expect EBITDA to fall 77% yoy due to property closures in 2Q20 from government mandated COVID-19 related restrictions. In addition, we believe NagaCorp's dividend may be reduced in an effort to preserve cash. Despite gaming operations resuming in July, we estimate that earnings recovery will be slow due to border restrictions, Mainland crackdown on fund outflow, coupled with an unwillingness for international travel.</p>

NagaCorp Ltd (3918 HK) will report interim results on August 27th where we expect EBITDA to fall 77% yoy due to property closures in 2Q20 from government mandated COVID-19 related restrictions. In addition, we believe NagaCorp's dividend may be reduced in an effort to preserve cash. Despite gaming operations resuming in July, we estimate that earnings recovery will be slow due to border restrictions, Mainland crackdown on fund outflow, coupled with an unwillingness for international travel.

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