Landing International’s loss narrows to HK$2.1 billion thanks to increase in resort revenue in the second half of 2020

Landing International (582) has announced that as of the end of last year, its integrated income was HK$788 million, down 3.4% year-on-year. Its loss has narrowed to HK$2.115 billion in 2020, a little less than the loss of HK$2.133 billion in 2019, and no dividend was paid. The group pointed out that the decrease in revenue was mainly due to the global Covid-19 pandemic, which led to a decrease in the number of visitors to the group’s casino for foreigners and a decrease in property sales activities. However, due to the increase in consumption and visits by local customers in South Korea, the revenue of integrated resorts increased in the second half of 2020.

During the period, non-gaming revenue was approximately HK$602 million, similar to the previous year; while gaming revenue was approximately HK$186 million, down 12.4% year-on-year. Its South Korean Jeju Shinhwa World generated segment revenue of approximately HK$504 million, an increase of 3.1% year-on-year. Its revenue mainly came from hotels, conferences and exhibitions, catering services, theme parks, merchandise sales, and retail leasing. Landing Casino’s net revenue was about HK$186 million, down 12.4% year-on-year, while the gaming business segment lost about HK$509 million, compared with about HK$469 million in 2019.

In the future, the Group will continue to focus on providing attractive packages and organizing promotional activities in the local South Korean market. At the same time, rigorous cost control measures will be implemented.

In addition, due to travel restrictions in the Philippines, the Group faced difficulties in finding another plot of land for lease in accordance with the requirements of the Philippine authorities for the development of integrated resorts in the Philippines. However, the group has been granted a suspension from the gaming regulator PAGCOR.

After the group found approximately KRW14.56 billion (about HK$100 million) missing earlier this year, the company has strengthened security measures and control procedures, such as adding personal identity verification procedures when accessing the safe deposit box and setting the time limit for entering the safe deposit box after passing the identity verification.