Page 61 - Monaco Economy 131

SBM: Good Financial Results

By Milena Radoman
The gaming company posted record sales of over €700 million and an operating income of €73.6
million. And it is investing in several new projects.

© Monte-Carlo SBM - Alain Duprat

Stéphane Valeri, Président - Délégué Monte-Carlo Société des Bains de Mer / President - Delegate Monte-Carlo Société des Bains de Mer

"The 2024 Grand Prix was a vintage year. SBM's upwards by 8% in 2024 (and should also be of a restaurant in Dubai in 2025 in partnership
performance that weekend was on a par with in 2025), the group assumes that its results with the D.ream International group... SBM
Charles Leclerc's victory", confided Stéphane are impacted by operating expenses. "Our is also investing for the future. SBM is also
Valeri, after presenting a "record" 2023-2024 wage bill is much higher than that of our bidding to rebuild and operate Le Méridien.
financial year, ending on 31 March at a press restaurant competitors, with salaries much So how does it plan to make savings? We're
conference. SBM posted sales of €704 million, higher than those in comparable professions going to improve the bottom line by buying
compared with €667 million for the 2022-2023 in restaurants on the Côte d'Azur, in France, in better. We can buy the same quality at
financial year (+6%), an operating income Europe and around the world. We're sticking lower prices. It is precisely to make all SBM
of €73.6 million and a positive net result of to this policy, but it takes its toll", observes restaurants "profitable" that a new Food and
€103.9 million. (Last year's net result of €896 the CEO, with figures to prove it. In concrete Beverage division has been created for the
million was exceptional and linked to the sale terms, SBM's employment model is based whole Group. On the gaming side, as well
of BetClic). on "a 13 month, transport bonuses, as well as targeting a new clientele - particularly
th
All three of SBM's main sectors of activity as a Grand Prix bonus of 100 euros per day American - SBM has changed its policy
recorded growth (+6% for hotel revenues worked. There are no salaries below €2,000 on lending and collection of outstanding
and +3% for gaming). Unsurprisingly, it gross per month in our establishments", debts. Because the context is complicated.
was the rental sector that generated the asserted Stéphane Valeri, announcing a new "International compliance rules are becoming
strongest increase (9%), with an occupancy bonus of around €2,000 gross following the increasingly stringent. We've had to turn
rate approaching 100%, making it "the Group's group's good results. This means a bonus down some very, very big customers, which
major source of operating income. This income of €400 for salaries below €2,200 gross, is never easy for a business, because they
rose from €83.7 million to €90.8 million". and €200 for salaries between €2,200 and no longer meet the standards we can accept
But SBM has lost money in the operational €2,500 gross. when we don't have an absolute guarantee
management of its casinos and restaurants. of the source of their funds. We're talking
"We've lost €5 million in casino operations and Seeking economies of scale about customers from Eastern Europe and
€18 million in hotel and restaurant operations The creation of two new departments within the Middle East. As we are very concerned
in this 2023-2024 financial year". the Executive Committee (international to comply with international standards and
development and property development), to be beyond reproach in this respect, we've
"Our payroll is much higher than that of our the renovation of the Monte-Carlo Bay and the been deprived of several tens of millions
competitors". Hermitage hotel over 5 years, the acquisition of of euros in sales, which we had in previous
While prices in SBM hotels have been revised the Palace des Neiges in Courchevel, the launch years", said Stéphane Valeri.

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