Haitong International: Reducing the target price of Galaxy Entertainment (00027) to 41.5 Hong Kong dollars, quarterly results in line with expectations, rating as "outperforming the market"

According to the Zhtng Cijng APP, Haitong International has released a research report stating that Galaxy Entertainment (00027) achieved in line with expectations in the first quarter, with continuous growth in high-end business. In the first quarter, it achieved a net income of 12.4 billion Hong Kong dollars, an increase of 10.7% year-on-year; adjusted EBITDA reached 3.58 billion Hong Kong dollars, an increase of 8.5% year-on-year, corresponding to an adjusted EBITDA profit margin of 28.8%, a decrease of 0.6 percentage points year-on-year. Overall, the first quarter results are in line with market expectations. Referring to comparable company valuations, the bank gives Galaxy Entertainment a target price of 41.5 Hong Kong dollars with an EV/EBITDA multiple of 8.5 times for 2026, down from 47.3 Hong Kong dollars, maintaining an "outperform the market" rating.