International Entertainment Corp, a Hong Kong-listed firm with a casino-hotel business in the Philippines, saw its annual loss widen to HKD282.1 million (US$36.3 million), from nearly HKD132.0 million in the prior financial year, according to a Friday filing.
That was on revenue for the 12 months to June 30 that rose 146.4 percent year-on-year, to just under HKD566.2 million.
The company paid HKD180.7 million in gaming tax and licensing fee in the reporting period, compared to HKD17.8 million in the previous financial year.
The board did not recommend the payment of any final dividend for the latest financial year.
International Entertainment took over the casino operations at the New Coast Hotel Manila property (pictured) in May last year, under a provisional gaming licence granted by the country’s gaming regulator, the Philippine Amusement and Gaming Corp (Pagcor).
Gaming revenue for the 12 months to June 30 rose 200.1 percent year-on-year, to HKD509.9 million. Hotel revenue declined by 6.1 percent, to HKD56.2 million. The change was “due to the temporary closure of certain hotel rooms for renovation during the year,” said the company.
For the financial year to June 30, the group did not book any revenue in the ‘live events’ segment for poker tournaments in Macau.
Cost of group sales for the 12-month period rose 41.0 percent year-on-year, to HKD112.2 million.
International Entertainment’s selling and marketing expenses increased by approximately 1,665.3 percent year-on-year to about HKD74.5 million for the year. “This significant increase was mainly attributable to the higher costs incurred for marketing campaigns and promotional activities during the first full year of casino operations aimed at enhancing the attractiveness and competitiveness of the casino offerings,” stated the casino firm.
As of June 30, the group’s net current assets were approximately HKD524.6 million, compared to HKD16.2 million as of June 30, 2024.
International Entertainment’s liabilities at the end of the latest financial year were HKD238.3 million, down from HKD600.6 million a year earlier.
The Friday filing reiterated that the group is required to commit a total investment of no fewer than US$1.0 billion, and up to US$1.2 billion, for the casino hotel.
The firm also restated in its annual results, that during the financial year it had made agreements with a contractor for renovation work at the Manila property.
International Entertainment said in its latest filing, its board took the view that “the renovations will improve the appearance and condition of the hotel’s facilities, modernise outdated amenities, enhance its overall quality and promote premium customer experiences at both the casino and the hotel.”
The company added: “In the long-term, this will increase the hotel’s occupancy rates and encourage spending at the casino and the hotel.”
The renovation work will create additional gaming space on the ground floor of the casino. As a result – and as previously outlined – the maximum number of gaming tables is due to increase from approximately 80 to over 110, and the maximum number of slot machines “will increase from approximately 500 to over 920 in the coming financial year,” stated the firm.
