Macau (MNA) – Emperor Entertainment Hotel Limited (Emperor Entertainment) saw its profits for the six months ended 30 September go up 8.7 per cent year-on-year to around HK$128.9 million (US$15.9 million), with the group looking to expand its VIP business.
However in the period in consideration, Emperor’s revenues dropped 5.2 per cent yearly to HK$665.6 million, with the group mainly dealing with the provision of entertainment and hospitality services in Macau, through its two hotels, Grand Emperor Hotel (GEH) and Inn Hotel Macau.
Emperor’s gaming operations – under an SJM gaming license – at the GEH generated some HK$546.7 million during the period, a slight decrease from the last year.
The hotel’s 67 tables gaming concourse generated HK$309.8 million in revenues, with a 10 table VIP club generating HK$217.4 million and 170 slot machines HK$19.5 million in the six months under review.
‘While the VIP segment delivered stable performance, gaming concourse segment was lacklustre as a result of capacity expansion in Cotai. Nevertheless, the Group strived to enhance the table yield and improve customer segmentation, which enabled the Group to mitigate, to a certain extent, the impact of heightened competition,’ the note at the Hong Kong Stock Exchange indicated.
The group indicated it will look to enhance its VIP business, which has been its ‘core strength’ and reinforce the customer segmentation, in order to ‘further penetrate the premium mass market’ in which Emperor sees potential in the long term.
The group’s hotel segment also generated some HK$118.9 million in revenue, with both hotels offering 598 rooms.
Recently Emperor Entertainment Hotel Limited and its parent company,Emperor International Holdings Limited, have increased their stake in the company responsible for the Grand Emperor Hotel to 75 pct in a deal agreed for a consideration of HK$460 million.
‘The acquisition can realise the expansion of such good investment opportunity and enable the group to utilise financial resources efficiently,’ the group said.
