For the six months ended 30 September 2024, the Far East Hotel industry recorded a total revenue of approximately HK$11.4 million, down 34.5% from HK$17.4 million in the same period last year. Gross loss for the period was HK$0.4 million and gross profit was HK$5 million for the same period last year. The company's owner expects the loss in the period to increase to HK$22.8 million and the loss for the same period last year amounted to HK$7.8 million.Management noted that the revenue decline was mainly due to the poor performance of the hotel and serviced property business in Hong Kong and the Mainland of China. Guest room and catering revenues in Hong Kong fell by 36% and 25%, respectively. The revenue of...Show More

For the six months ended 30 September 2024, the Far East Hotel industry recorded a total revenue of approximately HK$11.4 million, down 34.5% from HK$17.4 million in the same period last year. Gross loss for the period was HK$0.4 million and gross profit was HK$5 million for the same period last year. The company's owner expects the loss in the period to increase to HK$22.8 million and the loss for the same period last year amounted to HK$7.8 million.Management noted that the revenue decline was mainly due to the poor performance of the hotel and serviced property business in Hong Kong and the Mainland of China. Guest room and catering revenues in Hong Kong fell by 36% and 25%, respectively. The revenue of serviced properties in Beijing decreased to HK$1.9 million and recorded a net loss of HK$8.6 million due to lease expirations and legal disputes. The fair value of the invested property decreased by HK$12.7 million, further compounding the loss.Looking ahead, management says it will continue to respond to market challenges to find the right investment opportunities to improve service quality and operational efficiency. Despite geopolitical tensions creating uncertainty, companies will continue to monitor forex risks and develop hedging arrangements when appropriate.