2023-10-30-港交所-国际娱乐_年报_2022_23_270页_11mb

2022/23 Annual Report Summary

Core Content Overview

This Annual Report provides a comprehensive overview of the financial and operational performance of International Entertainment Corporation (the "Company") and its subsidiaries (collectively referred to as the "Group") for the year ended 30 June 2023.

The report outlines the Company's corporate structure, financial results, business operations, future outlook, and capital structure. It highlights the Group's recovery and growth in the gaming and tourism industries in the Philippines, which resumed operations following the easing of pandemic-related restrictions in early 2022.

Main Business Activities

• Gaming Operation: Leasing of investment properties equipped with entertainment equipment to PAGCOR and participation in gaming operations.
• Hotel Operation: Hotel located in Manila, a major tourist destination in the Philippines.
• Live Events Operation: Organizing live poker events, although no such events were held during the year.

Financial Highlights

Revenue and Profit

• Total Revenue for the Year: HK$207.2 million (up 142.3% from HK$85.5 million in the Previous Year).
• Gross Profit for the Year: HK$136.6 million (up 520.9% from HK$22.0 million in the Previous Year).
• Gross Profit Margin: 65.9% (up from 25.7% in the Previous Year).
• Net Profit for the Year: HK$18.3 million (compared to a loss of HK$256.4 million in the Previous Year).
• Earnings per Share (EPS): 1.34 HK cents (compared to a loss of 18.73 HK cents in the Previous Year).

Key Income and Expenses

• Other Income: HK$11.9 million (up 158.7% from HK$4.6 million in the Previous Year).
• Other Gain/(Loss): Net gain of HK$1.7 million (compared to a net loss of HK$18.0 million in the Previous Year).
• Finance Costs: HK$26.5 million (down 10.2% from HK$29.5 million in the Previous Year).
• Income Tax Expenses: HK$2.8 million (compared to a tax credit of HK$6.8 million in the Previous Year).
• General and Administrative Expenses: HK$97.0 million (up 25.5% from HK$77.3 million in the Previous Year).

Key Developments

• Provisional License: The Group was granted a Provisional License on 27 September 2023, allowing it to establish and operate a casino and develop an integrated resort in Manila.
• Gaming Operation Growth: The gaming segment contributed HK$133.5 million (up 152.4% from HK$52.9 million in the Previous Year), representing 64.4% of the Group’s total revenue.
• Hotel Operation Recovery: Hotel revenue reached HK$73.7 million (up 126.1% from HK$32.6 million in the Previous Year), driven by increased occupancy rates (from 47% to 84%) and higher food and beverage revenue.
• Capital Utilization: The net proceeds from the 2017 placement of 190 million shares at HK$1.90 per share (total net proceeds: HK$358.5 million) were allocated as follows:
  • HK$150.0 million for hotel renovation.
  • HK$100.0 million for development of the New Hotel Land.
  • HK$70.0 million for potential land acquisitions for hotel and casino development.
  • Remaining funds used for general working capital.

Financial Position

• Net Current Assets (as at 30 June 2023): HK$132.4 million (up from HK$97.0 million in the Previous Year).
• Current Assets: HK$602.5 million (up from HK$564.6 million in the Previous Year).
• Current Liabilities: HK$470.1 million (up slightly from HK$467.6 million in the Previous Year).
• Bank Balances and Cash: Mainly denominated in PHP, HK$, and USD.
• Net Assets Attributable to Owners: HK$1,207.0 million (up 0.9% from HK$1,195.9 million in the Previous Year).

Future Outlook

• The Group expects continued growth in the Philippine gaming and tourism sectors due to the return of international tourists and the resumption of normal operations.
• The Provisional License is a significant milestone, allowing the Group to operate independently in the gaming sector.
• The Group is committed to enhancing corporate governance, risk management, and internal controls to meet regulatory requirements.
• The Board is considering different financing methods (bank borrowing and/or equity financing) to support the development of an integrated resort.

Key Information

• Company Website: http://www.ientcorp.com
• Stock Code: HKEX: 01009
• Registered Office: Cricket Square, Hutchins Drive, P.O.Box 2681, Grand Cayman KY1-1111, Cayman Islands.
• Hong Kong Branch Office: Shops 1712-1716, 17th Floor, Hopewell Centre, 183 Queen's Road East, Wan Chai, Hong Kong.
• Principal Share Registrar and Transfer Office: Suntera (Cayman) Limited, Gardenia Court, Camana Bay, Grand Cayman, KY1-1100, Cayman Islands.
• Hong Kong Share Registrar and Transfer Office: Computershare Hong Kong Investor Services Limited.
• Principal Bankers: BDO Unibank, Inc., The Bank of East Asia, Limited, Chong Hing Bank Limited, Hang Seng Bank Limited, Union Bank of the Philippines, Inc.
• Auditor: BDO Limited, Certified Public Accountants, 25th Floor, Wing On Centre, 111 Connaught Road Central, Hong Kong.

Conclusion

The Group has experienced a strong financial recovery in the year ended 30 June 2023, driven by the resumption of normal operations in the Philippines and the renewed focus on gaming and tourism. The granting of the Provisional License marks a key step towards independent operations in the gaming sector. The Group is well-positioned to capitalize on the growing tourism and gaming industries in the Philippines, with a clear plan for capital utilization and ongoing efforts to enhance corporate governance and financial performance.