{"id":777020955,"date":"2024-11-25T09:02:23","date_gmt":"2024-11-25T12:02:23","guid":{"rendered":"https:\/\/focusgn.com\/asia-pacific\/?p=777020955"},"modified":"2026-04-22T03:55:25","modified_gmt":"2026-04-22T06:55:25","slug":"far-east-consortium-expects-to-post-loss-of-us115-6m-for-h2","status":"publish","type":"post","link":"https:\/\/focusgn.com\/asia-pacific\/far-east-consortium-expects-to-post-loss-of-us115-6m-for-h2","title":{"rendered":"Far East Consortium expects to post loss of US$115.6m for H2"},"content":{"rendered":"\n

The loss was primarily attributed to a change in the fair value of investment properties, a share of impairment loss recognised by an associate and a joint venture, and currency exchange losses.<\/p>\n\n\n\n\n\n\n\n

Hong Kong.- The\u00a0Far East Consortium (FEC) <\/strong>has reported it expects to record a HK$900m (US$115.6m) loss<\/strong> for the second half of the year. The loss was mainly attributed to a change in the fair value of investment properties and a share of impairment loss recognised by an associate and a joint venture (which is non-cash in nature) as well as currency exchange losses.<\/p>\n\n\n\n

According to a recent filing, the company has anticipated that losses will not exceed the stated figure<\/strong>, especially when compared to a profit of HK$232.24m (US29.8m) <\/strong>during the same timeframe in the previous year. The group, however, highlighted that this estimate may still undergo adjustments before the release of its unaudited interim results on November 28<\/strong>.<\/p>\n\n\n\n

Far East Consortium, in partnership with Chow Tai Fook<\/strong>, holds a 50 per cent stake in the Queen\u2019s Wharf Brisbane project<\/a> in Australia, which is a multi-billion-dollar venture that launched at the end of August this year. There were rumours that FEC and Chow Tai Fook would acquire up to a 20 per cent stake in The Star amid its recent financial troubles, but the deal never came to fruition. <\/p>\n\n\n\n

For the financial year 2024, FEC reported revenue was up by 57.5 per cent year-on-year<\/a> to HK$10.2bn (US$1.31bn). Gaming revenue was up 3 per cent at HK$402.4m (US$51.5m).<\/p>\n\n\n\n

Hotel operations revenue increased by 31.2 per cent to HK$2bn (US$256m). Revenue from property development was HK$8bn (US$1.02bn), up 91.6 per cent.<\/p>\n\n\n\n

The company stated: \u201cThe group\u2019s gaming business has consistently shown signs of recovery and growth. Additionally, the Palasino Group reinstated its online gaming licence in Malta in November 2023 and has delineated plans for a soft launch of its service in Malta during FY2025.\u201d<\/p>\n\n\n\n

The Star Entertainment Group secures US$129.2m debt facility<\/h2>\n\n\n\n

The Star Entertainment Group<\/strong> has announced that it has executed a commitment letter for a new debt facility, which comprises AU$200m (US$129.2m) in two tranches of AU$100m (US$65.1m) each<\/strong>.<\/p>\n\n\n\n

The company said it is currently working with lenders to meet the conditions to draw down the first tranche, with an availability period up to December 20. It confirmed that lenders have agreed to provide a covenant waiver for the next quarterly testing date, December 31.<\/p>\n\n\n\n

The casino operator posted revenue of AU$351m (US$230.85m) <\/strong>for the first quarter of its financial year, down 18 per cent year-on-year and 11 per cent sequentially. Earnings before interest, taxes, depreciation and amortisation (EBITDA) were negative AU$18m (US$11.84m) compared to positive AU$23m (US$15.1m) in the previous quarter. The company cited a \u201cchallenging operating environment and the continued implementation of mandatory carded play and cash limits.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

The loss was primarily attributed to a change in the fair value of investment properties, a share of impairment loss recognised by an associate and a joint venture, and currency exchange losses.<\/p>\n","protected":false},"author":176,"featured_media":16856,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"is_press_release":false,"is_interview":false,"is_opinion":false,"focusai_summary":"Far East Consortium (FEC) anticipates a HK$900m loss for the second half of the year, primarily attributed to fair value changes in investment properties, impairment losses from associates, and currency fluctuations, despite overall revenue growth in FY2024 and gaming business recovery. Concurrently, The Star Entertainment Group secured a US$129.2m debt facility and a covenant waiver, navigating a challenging operating environment marked by revenue decline and negative EBITDA in Q1 FY due to mandatory carded play and cash limits.","focusai_entities":"Far East Consortium (FEC), Chow Tai Fook, Palasino Group, The Star Entertainment Group","focusai_location":"Hong Kong, Australia, Brisbane, Malta","focusai_target_profile":"ceo_executive (0.9), regulator (0.8), compliance_legal (0.7), operator_casino (0.9), investor_analyst (1.0), supplier_vendor (0.7), journalist_researcher (0.9)","focusai_suggestions":[{"label":"FEC Loss Drivers","query":"What specific investment property assets and joint ventures contributed most significantly to Far East Consortium's anticipated HK$900m H2 loss, and what is the outlook for their fair value adjustments?"},{"label":"Star Debt & Covenants","query":"How will The Star Entertainment Group's new AU$200m debt facility and covenant waiver impact its liquidity position and operational flexibility, particularly given the ongoing negative EBITDA and challenging regulatory environment?"}],"footnotes":""},"categories":[16338,163],"tags":[],"class_list":["post-777020955","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-east-asia-news","category-finance-news"],"_links":{"self":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777020955","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=777020955"}],"version-history":[{"count":4,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777020955\/revisions"}],"predecessor-version":[{"id":777020972,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777020955\/revisions\/777020972"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media\/16856"}],"wp:attachment":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media?parent=777020955"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/categories?post=777020955"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/tags?post=777020955"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}