Emperor Entertainment Hotel Limited said it expects to record a “significant decrease” in net profit for the six months ended September 30, based on a preliminary review of its latest financial information.
The decline was mainly attributable to a net loss on the hotel property valuation due to the downturn of the Macau property market, the company said.
“However, such net loss is a non-cash item and will not have a direct impact on the operation of the group,” the company said.
The profit warning also follows an exchange loss on offshore traded renminbi deposits held by the group due to an abrupt devaluation of renminbi in August.
“Nevertheless, the impact of such exchange loss was partly mitigated by bank interest income.”