SJM HOLDINGS (00880) fell more than 3% in late trading. As of the time of writing, the stock was down 2.67%, trading at HKD 2.19, with a turnover of HKD 30.6261 million. The decline comes amid tightening gambling regulatory policies in Macau. SJM Holdings stated that last year, it orderly closed its various satellite casinos in compliance with regulations. This transition is putting pressure on short-term performance, leading to transitional adjustments in overall profitability and market share. However, the company indicated that the structural impact of the satellite casino closures has been largely eliminated, and the reallocation of resources is complete. It will continue to focus on enhancing operational efficiency, driving profit growth, and strengthening its product portfolio to expand its base of high-quality customers. Goldman Sachs released a research report noting that it had previously anticipated a significant potential decline in SJM Holdings' performance for the fourth quarter of 2025. This reflects operational disruptions and a loss in gross gaming revenue resulting from the satellite casino closures, along with additional costs from absorbing approximately 3,000 employees, coupled with the persistently volatile performance of the Grand Lisboa Palace integrated resort.