South Shore increases revenue and reduces losses

South Shore increases revenue and reduces losses

The company has reported total revenue of HK$10,899 million (US$1,406 million) for the year ending in March 31.

Macau.- South Shore Holdings has presented financial results for the year ending March 31 showing that it increased revenue and reduced losses.

The operator reported a 16 per cent increase in revenue year-on-year to HK$10,899 million (US$1,406 million).

Gross losses fell by 24 per cent from the previous year and totalled HK$84 million (US$10.83 million).

The hotel side of the business brought in HK$17 million (US$2.19 million) and food and beverage took HK$12 million (US$1.54 million). The average occupancy rate was 37.3 per cent, with an average daily room rate of around HK$1,829 (US$235).

Food and beverages generated loses of around HK$994 million (US$128 million), and the hotel segment lost around HK$146 million (US$18.8 million).

Directors of the group did not recommend the payment of a dividend for the year.

The report notes that results for the hotel and entertainment complex on Macau’s Cotai Strip were impacted by the outbreak of Covid-19 and the shutdown of all casinos in the country for 15 days from mid-March, after which the group decided to close the hotel.

The group said: “visitor arrivals in Macau fell 93.7 per cent year-on-year to 212,300 in March 2020 due to the Covid-19 pandemic.”

It concluded: “Looking ahead, the hotel market in Macau continues to growth steadily but the overall external economic environment is still posing uncertainty including the Covid-19 pandemic, US-China trade tension is expected to continue and raise uncertainty on the political and financial risks in short-term, but it still looks remain optimistic in long-term business.”

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