Hong Kong-based Emperor Entertainment Hotel has shared its financial results for the fiscal year that concluded on March 31, 2023. The company’s net losses for the period have significantly reduced to HKD98.2 million ($12.5 million). This positive shift was attributed to the reversal of impairment losses on assets, amounting to HKD31.8 million ($4.05 million), and a fair value gain of HKD19.7 million ($25.1 million) on investment properties.
However, according to a recent stock filing with the HK Exchange, the group, which operates six hotels and serviced apartments across Macau and Hong Kong, experienced a 30% percent decline in total revenue compared to the previous year, amounting to HKD291.1 million ($37.1 million). Despite this setback, the revenue generated specifically from their hotels and serviced apartments saw a 31% increase, reaching HKD203.4 million ($25.9 million).
Emperor Entertainment highlighted the significant rebound in demand for hospitality and gaming following the reopening of borders in Macau, Hong Kong, and mainland China earlier in 2023.
However, the group’s casino revenue decreased to HKD87.7 million ($11.1 million), accounting for 30.1% of the total revenue. The company explained that this was because gaming operations were run by SJM Resorts, S.A. – a gaming license-holding subsidiary of SJM Holdings – during a certain period of the year, points out Macau Business.
Grand Emperor Hotel, in downtown Macau.
Last April, the group announced that it would cease its gaming operations under SJM’s concession. However, about two months later, it made another announcement that SJM would take over and continue to run it for another six months.
Following a new service agreement signed on December 30, Emperor Entertainment continues to operate the satellite casino at the Grand Emperor Hotel under SJM Resorts’ license until 2025.
According to local news, in the stock filing, the company said that both Macau and Hong Kong were well-positioned to attract mainland Chinese and international visitors. The group believes the future economic growth of both regions will benefit the tourism and hospitality industries, enabling them to deliver long-term positive returns.
Original article: https://www.yogonet.com/international/news/2023/06/28/67689-macau-operator-emperor-entertainment-cuts-net-losses-to-125m-in-fy2022-but-total-revenue-down-30-
