Paradise Entertainment posts losses of US$2.7m for H1

Paradise Entertainment reduced its net losses in the first half of the year.
Paradise Entertainment reduced its net losses in the first half of the year.

The Macau gaming company has posted a net loss of HK$20.8m (US$2.7m) for the first half of the year, compared to a loss of HK$109.4 in the prior-year period.

Macau.- Paradise Entertainment Ltd has reported a net loss of HK$20.8m (US$2.7m) for the first half. Revenue was up 45.5 per cent growth year-on-year. Adjusted EBITDA for the period was HK$5.1m, compared with a loss of HK$53.5m in the first half of 2020.

Some 88.3 per cent of Paradise Entertainment’s revenue for the first half came from its casino management services –up 59.7 per cent from HK$142.6m to HK$227.7m. Electronic Gaming Equipment and Systems revenue was up 73 per cent to HK$25.6m thanks to upgrades for casinos in Macau and sales of 12 slot machines in overseas markets.

Jay Chun, Paradise Entertainment’s chairman and managing director, stated: “The group will continue to invest in research and development and other costs on electronic gaming equipment and systems. 

“We believe such investment strategy will create a solid platform for our future growth in both Macau and the global market in the long run.”

In March, the company posted revenue of HK$351.7m (US$45.3m) for FY2020, a 70.2 per cent decline from the prior-year period. Revenue totalled HK$351.7m (US$45.3m) and adjusted EBITDA for the year was a loss of HK$101.1m (US$13m).

The company reported losses in all segments, especially in Electronic Gaming Equipment and Systems, which saw an 85.8 per cent fall in revenue year-on-year to HK$25.3m (US$3m) and an adjusted EBITDA loss of HK$71.6m (US$9m).

Last March, Paradise Entertainment announced its withdrawal from the management of Casino Waldo. The first two first months of the casino’s operations contributed GGR of HK$43.4m (US$6m) and an adjusted EBITDA loss of HK$17.8m (US$2m).

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