Emperor Entertainment Hotel Ltd, operator of Macau casino hotel the Grand Emperor Hotel (pictured), saw its net loss in the six months to September 30 rise by 85.4 percent year-on-year, to HKD155.7 million (US$19.9 million). Such loss included nearly HKD86.0 million from discontinued gaming operations, stated the company in a Thursday filing to the Hong Kong Stock Exchange.
In April, Emperor Entertainment had announced that the Grand Emperor Hotel, in downtown Macau, was to cease gaming operations on June 26. The casino was being run until that date under a service agreement with casino operator SJM Holdings Ltd. The casino firm took over running of the casino since June 27.
Emperor Entertainment operates a second hotel in Macau, called Inn Hotel, but that property does not have gaming facilities. The group is also engaged in hotel operations and the lease of serviced apartments in Hong Kong.
The company said its revenue for the six months to September 30 stood at HKD84.2 million, up 14.3 percent from the prior-year period. Gaming revenue for the period fell by 83.7 percent, to HKD24.4 million, as the firm only ran the casino at the Grand Emperor until late June.
Emperor Entertainment said the service agreement with SJM Holdings was “merely an arrangement” for the group to provide the “space and the services” to the casino firm “in return for the utility fee and hotel service fee income”.
The firm added that the arrangement was the “best business opportunity for the company in the current situation, as the usage of the gaming area in the Grand Emperor Hotel is restricted by the Macau government.”
