Jimei swings to loss in 2016, ends NagaWorld agreement

Junket operator Jimei International Entertainment Group Ltd. swung to a loss in the full-year ended Dec. 31, 2016.

Jimei said loss attributable to owners of the company hit HK$39.8 million in the year, compared to a profit of approximately HK$8.7 million in the year 2015.

“The loss was mainly attributable to the impairment loss on trade and other receivables of HK$100,855,000 incurred during the year of 2016 compared with the amount of HK$15.4 million incurred in 2015,” said the company in its filing.

In relation to its Entertainment and Gaming Business, Jimei says it ended its junket arrangement with NagaWorld in Cambodia on January 31, 2017.

The group entered into a junket arrangement with the Phnom Penh casino in May 2015 to “promote not less than 7 gaming tables within NagaWorld Casino.”

The junket said it ended the agreement as a result of the “non-renewal of relevant contractual documents.”

Jimei still has agreements with Crown Perth and The Star, which were signed early in 2016.

The group says it “shall continue to explore the possibility of further extending its business into the gaming and entertainment market to further broaden its income sources.”