Macau Legend posts slightly widened loss in 2016

Macau Legend Development Ltd. reported a loss of HK$277.5 million (US$35.7 million) for the year ended Dec. 31, 2016, according to the group’s filing to the Hong Kong Stock Exchange on Wednesday.

The result is slightly widened from HK$268.5 million incurred in the year ended Dec. 31, 2015.

The group said the loss was mainly due to declining revenue from mass market tables and outsourced VIP tables as well as a decrease in interest income arising from fixed deposits.

Overall revenue was HK$1.5 million, up by 2.5 percent to from HK$1.4 million in 2015.

Gaming revenue increased by approximately 6.1 percent to HK$952.4 million in 2016, while non-gaming revenue decreased by approximately 3.7 percent to approximately HK$519.0 million.

According to the group, the increase in gaming revenue was primarily due to (i) revenue contributed from Savan Vegas since its acquisition (ii) the increase in revenue from New Legend, a self-run VIP operation of the Group. It was however offset by the decrease in reported revenue from mass market tables of approximately HK$59.4 million in Pharaoh’s Palace Casino and Babylon Casino and outsourced VIP tables of approximately HK$10.4 million for the year ended 31 December 2016.

Adjusted EBITDA of the full year was approximately HK$215.6 million, down 19.7 percent from HK$268.3 million in the previous year.