In Macau, electronic gaming machine distributor, Asia Pioneer Entertainment Limited has announced that 2018 saw its annual profit swell by some 360.8% year-on-year to reach just over $2.63 million thanks to an associated 27.4% rise in total revenues to almost $13.96 million.
Sales costs mount:
According to a Wednesday report from GGRAsia, the Hong Kong-listed firm additionally provides consultancy, repair and technical services and used an official filing to detail that its sales costs for the twelve-month period had increased by about 20.4% year-on-year to hit nearly $7.86 million.
Asia Pioneer Entertainment Limited, which also sells and leases refurbished electronic gaming machines, chalked up a profit of only $572,144 for the entirety of 2017 and also declared that its most recent financial results had been negatively impacted by ‘listing expenses’ of around $1.81 million associated with its listing of approximately 250 million new shares on the small-cap Growth Enterprise Market of the Hong Kong Stock Exchange.
The distributor explained that approximately 59.8% of its revenues for 2018 had come from the sale and distribution of electronic gaming machines with 98.5% of this amount having been derived from clients in Macau. Asia Pioneer moreover stated that the leasing of such units had brought in about 27.8% of its annual takings for 2018 at roughly $3.88 million.
Looking further afield:
Regarding the future, Asia Pioneer proclaimed that its growth prospects are likely to ‘lean slightly more towards the Asia markets’ as it believes these ‘are growing quicker than Macau.’ It furthermore highlighted the Hoiana integrated casino resort being built in Vietnam by junket firm Suncity Group Holdings Limited as well as the ‘growth in new casino resorts’ for Cambodia and the Philippines as having the ‘potential to bring new business to the group.’
‘Asian expansion’ intent:
Allen Huie Tat Yan, Chairman for Asia Pioneer Entertainment Limited used the filing to describe his firm as ‘a proven electronic gaming equipment company in Macau’ that now intends to use its experience and knowledge ‘to access the southeast Asian markets.’
Huie’s statement read…
“In the coming years, we will be able to initiate our Asian expansion with lease sales in Cambodia and the Philippines, the two countries with rapid growth in electronic gaming equipment.”