The Macau Jockey Club (MJC) has reported accumulated losses of MOP$2.1 billion (US$260 million) through 2022, representing an increase of around MOP$200 million (US$25 million) over the past 12 months, according to information published in the Official Gazette.
The figure is calculated as the total amount of losses since the company’s incorporation, with annual profit and loss details not included in the published balance sheet. Instead, MJC said it recorded a decline in horse racing revenue last year to MOP$39 million (US$4.8 million), down from MOP$47 million (US$5.8 million) in 2021.
Despite its mounting losses, MJC said it has completed some renovation works as required under the 24-year concession extension it signed with the Macao SAR Government in February 2018. Those works include renovating its swimming pool for horses, their stables, and completing upgrades to the first to fifth floors of the main racing building, as well as some improvements to the racetrack and replacements of computer systems.
MJC had in 2018 pledged to invest MOP$1.5 billion (US$186 million) to upgrade facilities, including hotels and restaurants, in return for the 24-year extension through 31 August 2042 – a massive jump on the six-month extension it had previously been granted in August 2017 and the two-year extension it was granted in September 2015.
It had been hoped that the lengthy concession would help the MJC improve its dire financial position, with Macau Horse Racing Co – the entity that holds the concession – having booked a loss every single year since 2005, reaching accumulated losses of MOP$4.1 billion (US$507 million) by 2016.
Management, which counts SJM Holdings Co-Chairman and Executive Director Angela Leong as its Chairman, said it wants to make the MJC a “must-visit tourism and entertainment landmark for both tourists and local residents.”
RelatedPosts
