PH Resorts announces plan to resolve negative equity position
The firm stated in its Q1 2025 report a negative equity position of PHP503.7m.
The Philippines.- PH Resorts Group Holdings (PHR) has announced a business plan to resolve its “negative equity position” by the end of 2025. The company has presented a disclosure to the Philippine Stock Exchange.
The firm stated in its Q1 2025 report a negative equity position of PHP503.7m. It says it plans to issue the equity via the conversion of nearly PHP4.09bn (US$72.2m) in deposits and advances for future stock subscription to the firm’s common stock by its parent. It’s anticipated that the exercise will be finalised by the fourth quarter of 2025.
The firm stated: “As the company’s projects are in the development phase, construction spending and pre-operation costs typically results in cumulative net losses over prior periods.” The company said historically it “has had sufficient equity in excess” of the losses recorded over the years, but construction development expenses combined with other factors led to the group’s negative equity position.
According to PH Resorts, the company plans to increase its authorised capital stock from PHP8.00bn to PHP15.0bn. PHR said it would seek shareholders’ approval for the capital increase during its annual meeting that will be held this week.
The company has a provisional casino licence for the Emerald Bay Resort and Casino project in Mactan, Cebu.
