Hong Kong-listed AGTECH posted a narrowed loss for the nine-month period ending September 30, 2016.
The group said loss after tax decreased around 51.1 percent for the nine month period to approximately HK$53.9 million, down from HK$110.2 million in 2015.
The narrowed loss was mainly attributed to gain from changes in fair value of contingent consideration payables, improvement of the gross profit margin, and a decrease of the share-based payments, said the company.
The company also posted a drop in revenue for the nine-month period ending September 30, 2016 – mainly due to reduced sales of lottery hardware.
Total revenue for the group for the nine-month period was HK$149.8 million, down approximately 15.7 percent as compared to the same period in 2015.
“The supply of lottery hardware in the PRC is highly regulated with only a small number of approved suppliers. Revenue in this business typically exhibits an irregular pattern since not only are sales not on a commission basis but also the customer base is concentrated and the timing of orders from customers can be variable. Thus, while over longer periods of time, orders and revenues tend to be stable; in the short term, volatility can be seen,” said the company.