Genting HK to assess liquidity, continuous bead capability

Casino cruise ship operator Genting Hong Kong Ltd said in a filing on Sunday that its directors had “carefully considered” whether the company had “sufficient resources” to continue its business as an ongoing concern.

The annotation was in Genting Hong Kong’s audited financial results filed with the Hong Kong Stock Exchange in 2020. For the year, the group posted a net loss of nearly $1.72 billion and a net operating cash outflow of $629.4 million.

As of Dec. 31, Genting Hong Kong’s current liabilities had exceeded its current assets by nearly $3.3 billion. The company was also in default with respect to borrowing of principal totaling approximately US$3.4 billion.

Genting Hong Kong, part of Malaysia-based Genting Group, controls Dream Cruise, Crystal Cruise and Star Cruise brands. The company is also an investor through a joint venture called Travelers International Hotel Group Inc., at the Philippine Resort World Manila Casino Resort. Travelers International reported first-quarter earnings last week through its 50% shareholder, Alliance Global Group Inc.

Genting Hong Kong said in its audited first-half figures that many sailings had been cancelled as operations were affected by the COVID-19 pandemic, nearly all cruise operations had been temporarily suspended since February 2020, and German shipyards had been suspended for about seven months since March 2020.

The company resumed domestic cruises in Taiwan with its “Explorer Dream” vessel in July 2020. It has since operated limited cruises with its “World Dream” vessel in Singapore since November.

Operations at the company’s shipyard resumed in October 2020, but the facility was “limitedly used.” The group was able to continue building the cruise ship after receiving a short-term bridge loan for about 193 million euros ($235 million) from the German federal government’s economic stabilization fund. However, the company noted that other planned cruise ship construction had been “suspended or postponed.”

Noting the impact of COVID-19 on business conditions, Genting Hong Kong said in a Sunday filing that it could see “significant uncertainty” that could raise “significant questions” about the group’s ability to continue to act as a concern.

“In light of this situation, company directors carefully considered the group’s future liquidity and performance and available funding sources in evaluating whether the group has sufficient financial resources to continue as an ongoing concern,” Genting Hong Kong wrote in the filing.

The company noted that it has taken some steps to improve its financial position.

BY: 바카라사이트 추천

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