Casino investor Landing International expects to report an increase in consolidated revenue of nearly 80 per cent year-on-year for the first half.
Hong Kong.- Landing International Development has said it expects to post a rise in consolidated revenue for the first half of the year, despite lower gaming-related revenue.
The company also reported that it expects a 15 per cent to 35 per cent decrease in consolidated net loss for the first half when compared to 2020.
The casino investor attributed the results to a boost at its foreigner-only casino resort Jeju Shinhwa World on South Korea’s Jeju Island through a series of marketing campaigns that helped increase revenue generated from the integrated resort segment.
Landing International said there was an increase in residential property sales activities and a reduction in operating expenses resulting from stringent cost controls.
In May, the company announced it had entered into a subscription agreement for HK$0.197 per subscription share. It expected to raise HKD138.8m (US$17.9m), or HKD138.5m after expenses, for the maintenance, renovation and upgrade of the existing facilities at Jeju Shinhwa World.
The company said it wanted to use part of the money for the “preliminary development cost for the construction of new hotel within Jeju Shinhwa World, which is expected to be incurred from the second half of 2021.” The remaining balance will be used for the payment of interest expenses and general working capital.
For 2020, Landing International reported a net loss of approximately HKD2.12bn (US$272.0m), slightly below the net loss of HKD2.13bn reported in 2019. It reported gaming revenue down 12.5 per cent year-on-year at HKD186.49m and consolidated revenue down 3.4 per cent to HKD788.01m.
The company attributed the results to the drop in tourism due to the Covid-19 pandemic and lower property sales.