International Entertainment forecasts significant HK$260m loss for FY2025

International Entertainment Corporation (IEC) anticipates a loss before taxation of no less than HK$260 million for the financial year ending June 30, 2025. This is a significant increase from the HK$162.2 million loss recorded in the previous year. The projected loss is primarily due to higher general and administrative expenses, including staff costs, depreciation, and amortisation. These costs were incurred from operating a new casino and developing an integrated resort in Manila under a provisional license acquired on September 27, 2023.

The company also cited increased selling and marketing expenses for promotional activities during the casino's first full year of operation, aimed at enhancing competitiveness. Additionally, a one-off write-off of property, plant, and equipment following the demolition of leasehold improvements on the casino's ground floor, due to renovation contracts in February and May 2025, contributed to the loss. Increased interest expenses on bank borrowings for the casino's establishment and the integrated resort's development further impacted profitability.

IEC is working with auditors regarding potential impairment losses, which could further increase the expected loss if recorded. The company's preliminary assessment is based on unaudited consolidated management accounts. IEC expects to publish its annual results on September 26, 2025, and advises shareholders and potential investors to exercise caution.