Shin Hwa World expects to record a consolidated net loss of approximately HK$450m<\/p>\n\n\n\n\n\n\n\n
South Korea.-\u00a0Shin Hwa World Limited<\/strong>, the former\u00a0Landing International Development<\/a>,\u00a0<\/strong>has issued a profit warning announcing that it expects to record a consolidated net loss of approximately HK$450m (US$57.5m) to HK$540m (US$69m) for 2023.\u00a0<\/p>\n\n\n\n The company attributed the increase in losses to a decrease in revenue in its integrated resort development segment due to lower room prices and occupancy rates, which resulted from intense competition and domestic customers travelling abroad after the easing of travel restrictions.\u00a0<\/p>\n\n\n\n The casino operator said it experienced a downturn in the property market and an interest rate rise, which led to a decrease in residential property sales. It also incurred higher operating expenses, particularly utility costs and facilities maintenance costs, as well as an increase in employee benefit expenses due to inflation.\u00a0<\/p>\n\n\n\n In 2022, the company posted an annual loss of HK$216.9m (US$27.6m)<\/a>. The casino firm\u2019s group-wide revenue increased by 2.7 per cent year-on-year<\/a> to nearly HK$1.39bn (US$175.8m). Nevertheless, the company will not recommend the payment of a final dividend for 2022. <\/p>\n\n\n\n The increase in consolidated revenue was mainly attributable to the steady growth of domestic consumption in its Jeju Shinhwa World<\/strong> integrated resort in South Korea, with a 10 per cent increase in revenue in the Integrated Resort Development segment to HK$946.2m, mainly hotels, MICE events, food and beverage, theme parks, merchandise sales and retail leases. Non-gaming revenue was approximately HK$1.34bn.<\/p>\n","protected":false},"excerpt":{"rendered":" Shin Hwa World expects to record a consolidated net loss of approximately HK$450m<\/p>\n","protected":false},"author":176,"featured_media":22179,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"is_press_release":false,"is_interview":false,"is_opinion":false,"focusai_summary":"Shin Hwa World Limited has issued a profit warning, forecasting a consolidated net loss of HK$450m-HK$540m for 2023, an increase from the prior year. This downturn is attributed to intense competition impacting integrated resort revenue, a challenging property market, and elevated operating expenses. Despite a modest 2.7% increase in overall group revenue, driven by domestic consumption at Jeju Shinhwa World, the company will not recommend a dividend.","focusai_entities":"Shin Hwa World Limited, Landing International Development","focusai_location":"South Korea, Jeju","focusai_target_profile":"ceo_executive (0.9), regulator (0.7), operator_casino (0.9), marketing_crm (0.7), investor_analyst (1.0), supplier_vendor (0.7), journalist_researcher (0.9)","focusai_suggestions":[{"label":"Q4 Outlook?","query":"What specific operational adjustments or strategic initiatives does Shin Hwa World plan to implement in Q4 2023 to mitigate further losses and address the identified competitive and cost pressures?"},{"label":"Property Market Impact?","query":"How significant is the residential property market downturn's contribution to the overall net loss, and what is the company's strategy to de-risk its exposure to this segment going forward?"}],"footnotes":""},"categories":[16338,163],"tags":[24342],"class_list":["post-777013656","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-east-asia-news","category-finance-news","tag-shin-hwa-world"],"_links":{"self":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777013656","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/users\/176"}],"replies":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/comments?post=777013656"}],"version-history":[{"count":2,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777013656\/revisions"}],"predecessor-version":[{"id":777013670,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777013656\/revisions\/777013670"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media\/22179"}],"wp:attachment":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media?parent=777013656"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/categories?post=777013656"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/tags?post=777013656"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}