Fitch Downgrades Genting Bhd to BBB- on Slow Deleveraging from Singapore and New York Capex
Fitch downgraded Genting Bhd to BBB- from BBB, citing leverage above 4.0x through 2028 and average negative free cash flow of MYR4 billion yearly from 2026-2028. Major capex continues at Resorts World Sentosa (SGD4 billion remaining) and Resorts World New York City (US$3.7 billion left to deploy).
SCCG Take — Prolonged capex in competitive jurisdictions pressures credit profiles even for first-mover assets. Operators must sequence investments to accelerate EBITDA before leverage metrics tighten further.
Fitch Ratings downgraded the long-term issuer default rating of Genting Bhd to BBB- from BBB with a stable outlook. The rating agency expects the gaming conglomerate’s pace of deleveraging to remain slow due to substantial capital commitments at key properties in Singapore and New York.
This reflects Fitch’s forecast that Genting Bhd’s proportionately consolidated EBITDA net leverage ratio will stay above 4.0 times for the next three years. The group is projected to record negative free cash flow averaging MYR4 billion (US$988.7 million) per year from 2026 to 2028.
Singapore Expansion Drains Cash
Genting Bhd owns Genting Singapore Ltd, which operates Resorts World Sentosa, one half of the city-state’s casino duopoly. The ongoing expansion carries remaining committed capital expenditure of over SGD4 billion (US$3.16 billion) through 2030. Fitch forecasts flat gaming revenue for Genting Singapore in 2026 as renovations continue on hotels and casino areas to improve customer experience.
New York Ramp-Up Adds Pressure
Genting New York LLC maintains high capital spending estimated at an average US$800 million per year over the medium term. Resorts World New York City launched as a full-service casino on April 28 after receiving a full downstate gaming licence. Of the remaining US$4.4 billion pledged for the US$5.5-billion overall expansion through 2030, about US$700 million has been spent to date, including US$500 million for the licence fee. The remaining US$3.7 billion deploys over the next five years.
Fitch expects Genting New York’s EBITDA to reach US$208 million in 2026 before rising to around US$450 million by 2028 as more gaming inventory comes online and costs normalise. The rating agency also downgraded the issuer default rating of funding vehicle Genting Overseas Holdings Ltd to BBB-.
As reported by GGRAsia, these commitments compound slower-than-expected EBITDA ramp-up at the New York property due to high start-up operating costs and gradual recovery elsewhere in the group. The first-mover position of Resorts World New York City in a dense, high-income market offers upside, yet the immediate credit metrics face strain during construction.
Reporting: GGRAsia
Generated by SCCG’s automated editorial system from published source reporting. SCCG Management holds editorial responsibility.
Even first-mover properties bleed cash when capex cycles collide—investors will demand faster EBITDA ramps or lighter blueprints.
We've seen this movie: marquee assets in strong markets can still squeeze operators when renovation and expansion timelines overlap. Genting is burning nearly a billion dollars a year in negative free cash flow while building out Sentosa and ramping New York. The lesson for our clients is sequencing—stagger investments to show EBITDA lift before the next tranche deploys, or credit markets turn cold.
- Leverage stays above 4.0x through 2028; negative MYR4 billion annual free cash flow 2026–2028
- SGD4 billion left at Resorts World Sentosa; US$3.7 billion remaining for Resorts World NYC through 2030
- New York EBITDA forecast at US$208M in 2026, climbing to US$450M by 2028 as inventory opens
SCCG angle: SCCG works with global operators and capital partners to model capex phasing, find co-investment structures that share risk, and connect clients to equipment suppliers and tech partners who can accelerate time-to-EBITDA. When the next big build comes, we help you stack the deck so the rating agencies stay friendly.
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