The company said in a filing with the Hong Kong Stock Exchange on Friday that interim losses by owners of Asia Pioneer Entertainment rose 3.9% year-on-year to HK$9.76 million ($1.2 million).
The group reported a net loss of HK$4.27 million in the first quarter.
In a commentary on the latest figures, the company said it was “actively looking at steps to restructure” its electronic game equipment business “to prepare for the future.”
Asia Pioneer is authorized to distribute electronic gaming equipment to six casino licenses in Macau, and it also provides these technologies to land casinos in other parts of the Asia-Pacific region. The group also provides technical support and consulting for gaming equipment.
For the six months to June 30, Asia Pioneer’s group earnings from contracts with customers fell 10.6% Y/Y to just below HK$2.69 million. Sales costs for the reporting period rose 46.1% to just below HK$3.57 million.
Gaming equipment distribution revenue was HK$612,056, beating consulting and technical support revenue of HK$1.35 million. REPAIR SERVICES PRODUCED HK$251,083 TO PROVIDE PARTIAL REVENUE TOTAL OF HK$2.22 MILLION.
This was a 26.2% year-over-year decrease, compared to sales of HK$3.01 million or less in the January-June period 2021.
Beginning in the second half of 2021, the group diversified to supply ‘smart vending machines’. This generated HK$471,341 in revenue for the six months to June 30.
During the first half of the year, Asia Pioneer established a new wholly owned subsidiary in Hong Kong called APE Digital Creatures Ltd to pursue a 3D version of the Internet-connected business known as “Metaverse.” In the first half of the year, there was no revenue reserved for the business.
“Continued uncertainty in COVID-19 continues to affect customers’ operations and plans,” the company said in a commentary along with its first-half results
It added, “This has had a long-term impact on our business and operations, especially our electronic game equipment business.”
“As a result, the group should explore ways to diversify its business lines and minimize costs and costs,” Asia Pioneer said 파칭코