Paradise Entertainment reported narrowed loss in 2017

Macau gaming equipment supplier Paradise Entertainment reported a narrowed loss of HK$30.7 million (US$3.9 million) in 2017, down from a loss of HK$380.4 million the year before.

The difference in loss was due to an absence of a one-off cash loss of HK$334.8 million which was recorded in 2016 in relation to the assignment and license of the patents and associated technology to IGT.

Total revenue was down slightly, reaching HK$1.01 billion, down 13 percent compared to HKL$1.2 billion in 2016.

Paradise said the decreased revenue was partly due to the change of cooperation mode at the Casino Macau Jockey Club – which changed from the provision of casino management services to revenue sharing from LMG terminals, which took place on January 1, 2017.

Paradise also noted a decrease in sales of electronic gaming equipment and systems in the year compared to that of 2016, which saw more flagship property openings.

Adjusted EBITDA for the year ended 31 December 2017 was HK$22.8 million, down 76.6 percent year-on-year.

Regarding its two satellite casinos in the Macau Peninsula, which includes Casino Kam Pek Paradise and Casino Waldo, the group said they maintained stable growth in gaming revenue and provided stable and strong cash inflows to the group.

Looking ahead, Paradise said it will continue to look for potential opportunities in Macau and elsewhere to expand its business to increase its market share in the gaming industry.