LET Group expects to post US$52.1m loss for 2022

The company was heavily affected by the Covid-19 pandemic.

03/20/23

However, revenue was up despite Covid-19 impacts.

Hong Kong.- LET Group Holdings, the company formerly known as Suncity Group Holdings Limited, has issued a profit warning. It expects to record a loss attributable to shareholders of approximately HK$408.8m (US$52.1m) for the year ended December 31.

The group had no revenue from its suspended travel businesses and hotel consultancy services for the reporting period. However, despite the ongoing Covid-19 impact, it expects a 33.9 per cent revenue increase from continuing operations, mainly thanks to the Tigre de Cristal integrated resort in Vladivostok, Russia.

The company said results may change as they have not been reviewed or confirmed by its auditor or audit committee. Official results will be published by the end of the month.

In a separate statement issued on Sunday (March 19), the company announced that Gold Yield Enterprises Limited (GYE) has repaid outstanding shareholders’ loans and interest to Star Admiral, LET’s indirect wholly-owned subsidiary, amounting to US$114.8m. GYE now owes Star Admiral an outstanding balance of US$31.2m for unsecured, interest-free equity loans to a joint venture. The loans have no fixed repayment term.

LET Group recently raised HK$48.5m (US$6.2m) by placing 269m shares at a price of HKD 0.186 each, representing approximately 3.88 per cent of all issued shares. The company plans to use HK$19m (US$2.42m) from the net proceeds to repay an outstanding HK$400m (US$51m) advanced to the company by four independent third-party lenders last September.

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LET Group Holdings