Financial Performance - The group's total revenue increased by 6.0% to HKD 837 million for the year ending March 31, 2025, compared to HKD 789.3 million in 2024[4] - The group recorded a net loss of HKD 248.1 million due to a fair value loss on investment properties of HKD 371.7 million, compared to a net profit of HKD 62.8 million in 2024[4] - The company reported a profit (loss) attributable to shareholders of (188,859) thousand HKD for 2025, compared to a profit of 60,885 thousand HKD in 2024, indicating a significant decline in performance[48] - The group reported a pre-tax loss of HKD 279,448,000 for the year ended March 31, 2025, compared to a pre-tax profit of HKD 35,410,000 in 2024[37] - The company has decided not to declare a final dividend for the year, compared to a dividend of HKD 0.015 per share in 2024[23] Revenue Breakdown - Hotel and rental apartment revenue remained stable at HKD 331.4 million, accounting for 39.6% of total revenue, while gaming revenue rose by 10.1% to HKD 505.6 million, representing 60.4% of total revenue[14][15] - Gaming revenue from Macau operations reached HKD 505,616,000, up from HKD 459,150,000 in the previous year, reflecting a growth of about 10.1%[37] - Hotel revenue for the group was HKD 279,180,000, slightly down from HKD 281,587,000 in 2024, indicating a decrease of approximately 1.1%[37] - Total rental income for the group was HKD 52,159,000, an increase from HKD 48,525,000 in the previous year, representing a growth of approximately 3.3%[37] Visitor Statistics - The number of visitors to Hong Kong increased by 30.9% to 44.5 million in 2024, with mainland Chinese visitors growing by 27.2%[5] - The number of visitors to Macau rose by 23.8% to 34.9 million in 2024, supported by favorable government measures[6] - The group anticipates that visitor numbers to Macau will recover to pre-pandemic levels by 2025, driven by new travel policies[16] Strategic Initiatives - The group plans to benefit from the Hong Kong government's initiatives to boost the economy and the expected increase in local rental demand due to talent inflow[16] - The largest sports venue in Hong Kong, Kai Tak Sports Park, is set to open in March 2025, which is expected to enhance the tourism and entertainment sectors[16] - The group aims to adapt its business strategies in response to market developments and opportunities in both Hong Kong and Macau[16] Acquisitions and Assets - The group has acquired The Unit Soho, which began operations in August 2024, expanding its rental offerings in Hong Kong[11][10] - The group completed the acquisition of The Unit Soho for HKD 700,000,000 on July 19, 2024, enhancing its asset portfolio[19] - The sale of The Unit Davis was finalized on December 16, 2024, for HKD 275,000,000, contributing to cash flow[20] - Non-current assets, including investment properties, increased to HKD 1,530,100,000 from HKD 1,485,900,000 in 2024[25] Financial Position - The total assets as of March 31, 2025, amounted to HKD 4,093,594,000, a slight decrease from HKD 4,157,013,000 in 2024[25] - The capital debt ratio remained at zero, consistent with the previous year, indicating no net debt[17] - Trade receivables decreased to 47,709 thousand HKD in 2025 from 70,653 thousand HKD in 2024, reflecting a reduction of approximately 32.5%[49] - Trade payables increased to 11,776 thousand HKD in 2025 from 9,420 thousand HKD in 2024, representing a rise of approximately 25.4%[52] Compliance and Governance - Deloitte confirmed that the consolidated financial statements for the year ended March 31, 2025, were prepared in accordance with applicable accounting standards[59] - The audit committee reviewed the consolidated financial statements and found them to fairly present the group's financial position[60] - The company adhered to all corporate governance codes as per the listing rules during the year[61] - The board of directors confirmed compliance with the company's securities trading code throughout the year[62] Other Financial Information - Employee costs totaled HKD 325,100,000 for the year, an increase of 9.8% from HKD 296,200,000 in 2024[22] - The company incurred financial expenses of 1,106 thousand HKD in 2025, slightly up from 1,073 thousand HKD in 2024, with bank loan interest recorded at 65 thousand HKD[43] - The company recognized a net tax provision reversal of 31,370 thousand HKD in 2025, compared to 27,421 thousand HKD in 2024[44] - The company reported a depreciation expense of 112,039 thousand HKD for property, plant, and equipment in 2025, down from 120,457 thousand HKD in 2024[43] - The company’s other income from the sale of properties, machinery, and equipment amounted to 33,664 thousand HKD in 2025, with no such income reported in 2024[42] Market Developments - The group received a notice from 澳娛 indicating the cessation of operations in the gaming area at the 英皇娛樂酒店 after December 31, 2025[58] - The company did not apply any new or revised accounting standards that had a significant impact on the financial statements for the year[28] - The company has entered into a three-year agreement to provide gaming-related marketing and public relations services starting January 1, 2023[30] - The annual performance announcement was published on the Hong Kong Stock Exchange and the company's website[64] - No repurchase, sale, or redemption of the company's listed securities occurred during the year[63]
英皇娱乐酒店(00296) - 2025 - 年度业绩