Suncity expects narrowed loss in 19H1

Suncity

Junket operator Suncity Group says it expects its loss for the six months to end-June to be between 15 and 25 percent less than the prior year.

In a filing to the Hong Kong Stock Exchange on Thursday, the group said the reduction in loss has been mainly due to a decrease in loss of approximately RMB499 million in respect of the change in fair value of derivative financial instruments.

This was offset in part by a decrease in gross profit of approximately RMB125 million primarily resulting from the substantial decrease in revenue from sale of properties of the group and an increase in loss of approximately RMB57 million in respect of the change in fair value of investment properties.

Earlier this week, Suncity announced the closure of all its Australian VIP rooms for commercial reasons.

“The VIP rooms of Suncity in Crown Melbourne and The Star Sydney have been discontinued, it is a commercial decision due to lack of demand and high operation costs in Australia. However, we still maintain a very close relationship with Crown and The Star,” the company said in an email.