Macau-based gaming equipment company Paradise Entertainment has declared a dividend for 2025 even after a sharp decline in earnings, supported by a relatively strong balance sheet.
At the same time, the company said it is accelerating plans to expand into overseas gaming markets following the loss of its key high-margin satellite casino business segment.
According to annual results released on Thursday, the company proposed a final dividend of HK$0.025 ($0.0032) per share, subject to shareholder approval at the upcoming annual general meeting, bringing total dividends for the year to HK$0.10 ($0.013) per share, or HK$105.2 million ($13.5 million) in aggregate. The payout comes despite a challenging year marked by operational changes in Macau.
The group’s financial position remained stable, supporting its ability to return capital to shareholders. As of year-end, Paradise reported cash of HK$378.1 million ($48.4 million) against total borrowings of HK$110.8 million ($14.2 million), with net assets of HK$475.1 million ($60.8 million) and a gearing ratio of 23.3 percent. The relatively low leverage and ample liquidity indicate that its financial structure remains sound despite earnings pressure.
Looking beyond Macau after satellite closure
The company’s performance was significantly affected by the cessation of its casino management services at Casino Kam Pek Paradise, which ended on December 2nd, 2025.
The segment had been a core profit driver, contributing HK$182.7 million ($23.4 million) in adjusted EBITDA during the year—a substantial share of the group’s total. Its removal effectively eliminated a high-margin revenue stream, weighing on overall results.
The shutdown also resulted in HK$42.1 million ($5.4 million) in employee-related expenses, further impacting profitability. Meanwhile, revenue from electronic gaming equipment declined as customers delayed purchases ahead of new product launches.
As a result, the group reported a 63.5 percent year-on-year decline in profit to HK$139.4 million ($17.8 million), with revenue falling 23.1 percent to HK$834.4 million ($106.7 million).
Following these developments, Paradise is shifting its focus toward international markets to support future growth. The company identified the Philippines, Sri Lanka, Vietnam, and North America as key target markets; and has already opened a new office and showroom in Manila.
At the same time, the group is preparing to launch new products, including its next-generation “Black Coral” system in 2026, and is exploring opportunities in the online gaming segment through a new brand.
Chairman and Managing Director Jay Chun said the company remains focused on innovation and global expansion as it navigates a changing market environment. “By proactively adapting to dynamic market conditions, the Group is well-positioned to capitalise on emerging opportunities and enhance its resilience,” indicated the executive.
