After a loss of nearly HKD9.9 million (US$1.2 million) in 2017, Success Universe Group Ltd announced that they had recorded an HKD68.1 million (US$8.68 million) this past year, thanks in large part to the success of their Ponte 16 Casino Hotel, according to a recent report. This report came courtesy of a filing with the Hong Kong Stock Exchange.
Early in March, the company reported that they were expecting a sizable profit from their operations in 2018. The casino-hotel is located on the Macau Peninsula and has been operated by SJM Holdings Ltd, the company that holds the gaming license for the 96 gaming tables used at the casino. This also includes six VIP gaming tables that were put in place last August.
It is hoped that Ponte 16 will continue to see significant growth throughout 2019, but the operation has already seen an early year setback. In January, all the casinos on Macau endured a 10-hour power outage. This included both the Ponte 16 and the Golden Dragon.
Operations at the casino were shut down for approximately five hours, as all 90-plus machines were unable to be used. It appears that an unstable power grid in Macau was the cause of the power outage, and that appropriate steps are being taken to ensure this kind of catastrophe does not happen in the future. How long that upgrade will take is not known at this time.
Ponte 16 appears ready to ensure that other kinds of disasters do not wreak havoc with the casino operations. Early in March, a company from Singapore was given a MOP4.18 million (US$520,000) contract to build a custom made floodgate system to help protect the casino operations. Parafoil Design & Engineering Pte Ltd was granted the contract to design the new floodgate system, but the actual construction of the system will be done by TAS Construction Company Ltd, a company that has done many projects in the past at Ponte 16.
All of this appears to be great news for Success Universe. The year 2017 was a disappointing one, not only because of the significant losses the company faced but also because of Super Typhoon Hato, which caused significant damage to the cities storm system, prompting the upgrade. Ponte 16 reported a significant loss in revenue during the shutdown, and it is hoped that the new system being designed will prevent any future occurrences even from super storms.
Success Universe is also looking to expand. In August of last year, they purchased a commercial property in Hong Kong for a reported amount of HKD106.8 million (US$13.5 million). This adds a significant property to their portfolio, which could be developed later on for hotel and casino operations.
