PARADISE ENT (01180) issued a profit warning, expecting a 63.5% decrease in net profit for the fiscal year 2025 compared to the previous year.

PARADISE ENT (01180) announced that the Group is expected to achieve a profit of 139.4 million Hong Kong dollars for the year ending December 31, 2025, a decrease of 63.5% compared to the profit of 381.9 million Hong Kong dollars for the year ending December 31, 2024. The decrease in profit is mainly attributed to (i) a decrease of 11.9% in revenue from providing entertainment management services in Macau, China, compared to the previous period; (ii) a decrease of 45.3% in revenue from sales and/or leasing of electronic gaming devices and systems compared to the previous period; and (iii) the termination of operations of the Kam Pek Paradise Casino managed by the Group in Macau, resulting in the Group paying a total of 42.1 million Hong Kong dollars to its employees and reimbursing expenses for casino employees employed by Macau Entertainment Resort Limited, which is expected to be recorded as employee compensation and benefits (including long-term service awards) in the comprehensive financial statements for the reporting period.