Donaco reports 1 1m in revenue for Q2

Donaco International has reported revenue of AU$1.5m ($1.1m) for the three months ending 30 June 2021.

The operator recorded negative EBITDA of AU$500,000. Star Vegas, one of Donaco’s main casinos situated on the Cambodia-Thailand border, has been temporarily closed since 27 April 2021 to comply with the safety regulations issued by Cambodian authorities, and there’s no reopening date scheduled.

However, the company remains optimistic, noting the growing number of vaccinations both in Cambodia and Thailand.

“Following the order from the Cambodian local Government for the closure of casinos in the region to prevent community outbreak, including Star Vegas, we have continued to focus on protecting our balance sheet, and we’ve taken rigorous measures to protect the business by keeping our costs down and preserving our cash,” said Paul Porntat, non-executive chairman of Donaco.

“As recently demonstrated, Donaco made a profit during the December quarter, which was a remarkable achievement in the current circumstances, and this gives us confidence in our capabilities to bounce back once the situation recovers.”

Star Vegas reported net revenue of AU$1.1m for Q2 2021, a drop from AU$2.51m in Q1 but still an increase from AU$0.04m in Q2 2020.

Casino’s operating expenses were AU$0.84m, and the property had visitations of 138 players a day. Aristo International Hotel in Vietnam saw net revenue of AU$0.36m, with an average daily visitation of 15 players a day.

The company noted it “has been diligently repaying its debt facility with its principal lender Mega Bank from the initially borrowed amount of AU$131.54m to the remaining sum of AU$11.09m as of 30 June 2021.” Due to the closure of Star Vegas, the company adopted a new repayment plan, stretched over six months.