Zhitong Financial App News, REGAL INT'L (00078) announced that the Group is expected to incur a net loss of approximately HK $280 million in mid-2021, compared with a loss of HK $853 million in the six-month period of the same period in 2020.

According to the announcement, the Group's core hotel business continued to be seriously affected by the 2019 coronavirus epidemic, but through the adjustment of business strategy and the implementation of streamlined operating measures, the Group was able to maintain the overall operating net profit of its hotel business in the first half of 2021, but far below its normal level before the epidemic. However, due to significant improvements in other business segments, including investments in financial assets and interests in JVCo, the losses incurred in mid-2021 were much lower than those made in the same period in 2020.

In addition, the Group's hotel portfolio in Hong Kong, China, provided for a total depreciation charge of HK $251 million in mid-2021, which, although it had no impact on cash flow, had an adverse impact on the Group's performance.