The loss is mainly attributed to the revaluation loss of the group’s investment properties and the expected cessation of its gaming business in June 2022.
Macau.- Emperor Entertainment Hotel Limited has announced that it expects to record a net loss of between HKD550m (US$70m) and HKD750m (US$96m) for the year ended on March 31 2022. The company reported a loss of HKD224m (US$29m) for the previous fiscal year.
Emperor Entertainment Hotel Limited said the result was mainly due to “a significant increase on fair value loss and impairment losses during the year mainly resulting from the revaluation loss of the group’s investment properties and the expected cessation of gaming business to be realised in June 2022 respectively.”
The group has recently revealed that its casino at the Grand Emperor Hotel will cease operations due to the termination of its service contract with gaming franchisee SJM, which expires on June 26.
Emperor Entertainment Hotel chair Semon Luk Siu Man said: “considering the gloomy outlook of the high-end gaming segment and after careful and due consideration the group has resolved not to renew the service agreements with SJM and to cease the gaming operation.”
The company said the hospitality business in Grand Emperor Hotel will remain operational.
SJM responsible for Grand Emperor Hotel casino layoffs
Macau’s Labour Affairs Bureau has stressed that the gaming concessionaire SJM has a duty to protect the rights of laid-off workers following the casino’s closure at the Grand Emperor Hotel.
The company cited “the gloomy outlook of the high-end gaming segment” as one of the reasons for not renewing its service contract with SJM. Its hospitality business in will remain operational but according to local media reports, about 500 casino employees will be affected by the casino closure.
The Labour Affairs Bureau said: “The DSAL is very attentive to the case and has already contacted the hotel and the gaming concessionaire, to follow up on the matter as soon as possible.”