Far East Consortium International ( (FRTCF) ) has released its Q2 earnings. Here is a breakdown of the information Far East Consortium International presented to its investors.
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Far East Consortium International Limited, a diversified company in the real estate and hospitality sectors, has released its earnings report for the first half of fiscal year 2026, showcasing strategic initiatives aimed at enhancing liquidity and capital efficiency. The company reported a 27.4% decline in revenue to approximately HK$3.8 billion, primarily due to fewer property developments being completed and settled compared to the previous year. Despite this, the company maintained stability in its core businesses and improved its financial position by reducing net debt and gearing ratio.
Key financial metrics highlighted a decrease in adjusted revenue by 5.9% to HK$4.9 billion, with property development adjusted revenue falling by 10.3%. The company’s hotel operations saw a 9.6% increase in revenue, driven by strong performances in Hong Kong, Malaysia, and Australia. However, the gaming and car park operations faced mixed results, with gaming revenue increasing by 11.4% while car park revenue decreased by 9.7% due to strategic asset monetization.
The company’s strategic focus on deleveraging and capital management resulted in a reduction of net debt by HK$1,246 million to HK$20,247 million. The adjusted net gearing ratio improved to 64.9%, reflecting disciplined financial execution. Despite recording a net loss attributable to shareholders of HK$988 million, the company achieved a significant increase in adjusted cash profit by 509.8% to HK$203 million.
Looking ahead, Far East Consortium International Limited remains committed to its strategic initiatives, including the completion of its development pipeline and expansion of its hotel portfolio. The company anticipates opening new properties, such as Dorsett Perth in Australia, which is expected to bolster recurring income and support long-term growth in revenue and profitability.