KUALA LUMPUR: The worst could be over for number forecast operators (NFOs) with the end of movement restrictions and the resumption of economic activity.

       A recovery is also anticipated for casino operators’ earnings despite having generally underperformed due to a slower-than-expected rebound, RHB Research said.

       It also noted that the recovery in NFOs’ ticket sales seems to be slower than anticipated for the time being.

       On some individual company results for the quarter, the research house said Genting Malaysia Bhd’s (GenM) numbers fell short of expectations mainly due to lower-than-expected first quarter revenue, amid a high number of Covid-19 cases.

       “However, its operating metrics pointed to an encouraging recovery. Its gaming and non-gaming revenues were at 68% and 59% of pre-Covid-19 pandemic levels.

       A recovery is also anticipated for casino operators’ earnings despite having generally underperformed due to a slower-than-expected rebound, RHB Research said.

       “Due to the shortage of workers, Resorts World Genting’s hotel only opened 5,000 of its 10,500 available rooms and was running at an 88% occupancy rate while Genting SkyWorlds had an encouraging 3,000 daily visitors of its 20,000 daily maximum in April/May,” it added.

       Genting Bhd had also disappointed its expectations, as GenM and its power segment’s underperformance outweighed the outperformance of Genting Plantations Bhd and its oil and gas segments.

       Among the NFOs, while Magnum Bhd had missed RHB Research’s expectations, Sports Toto Bhd had outperformed its expectations.

       “Magnum missed expectations, as its revenue fell short at 20% of our full-year forecast. The disappointing earnings were mainly due to softer-than-expected ticket sales and higher-than-projected prize payouts,” itsaid.

       It noted that Magnum’s ticket sales remain at 70%-80% of pre-pandemic levels with its of one sen per share being well short of its financial year 2022 estimate of 13 sen.

       Sports Toto outperformed due to the stronger-than-expected contribution from its UK motor dealership segment.