Success Universe Group Ltd, an investor in Macau casino hotel Ponte 16 (pictured), near Macau’s Inner Harbour, said the property recorded negative adjusted earnings before interest, taxation, depreciation and amortisation (EBITDA) of HKD46.2 million (US$5.9 million) for full-year 2022. That compares with a negative figure of HKD57.6 million in the prior year, said the company in a Thursday filing.
Ponte 16’s casino is a satellite operation under the licence of Macau concession holder SJM Holdings Ltd.
Success Universe reported a loss attributable to its owners of just below HKD287.1 million for 2022, compared to a profit of HKD4.9 million in 2021.
Revenue for the reporting period fell by 24.1 percent year-on-year, to just under HKD114.8 million.
The Hong Kong-listed firm said the group’s share of loss of the associates relating to Ponte 16 decreased by 13.6 percent year-on-year to approximately HKD42.1 million in 2022.
The group’s negative result for 2022 was attributable to several factors, stated the firm. They included a “substantial” fair-value loss on overseas listed equity securities held by the group, in the amount of HKD174.1 million, compared to a fair-value gain amounting to HKD87.7 million booked in 2021.
For 2022, there was also a fair-value loss on investment properties it held, “as well as a write-down of carrying amount of the group’s stock of properties”, in the aggregate amount of about HKD20.6 million. In 2021, by contrast, the firm had a fair-value gain on those properties, and a “reversal of write-down” on them, of approximately HKD8.6 million.
The firm did not recommend the payment of a dividend, in line with its approach in 2021.
As of December 31, the casino at Ponte 16 had 109 gaming tables, consisting of 101 mass tables and 8 high-limit tables, according to Success Universe.
In Thursday’s filing, Success Universe stated that 2023 “started on a positive note,” with the relaxation of travel restrictions between mainland China, Hong Kong and Macau.
“The group intends to leverage its extensive experience in the entertainment and tourist-related industries to capture the rising demand in the tourism sector,” said the firm, adding that it believed that the “mass market holds the most potential for sustainable growth”.
