Future Bright posts rare loss
Macau restaurant chain operator and retailer Future Bright Holdings has posted its first loss in many years, battered by declining tourist numbers.
The company says it lost HK$45.9 million (US$5.89 million) for 2015, against a net profit of HK$168.8 million in 2014. Turnover fell 4 per cent.
Chairman Johnny Chan See Kit said the total number of visitors to the territory fell from 31.525 million in 2014 to 30.714 million last year – but their average spend fell from MOP1959 to MOP1665 and gaming revenue plunged 34.2 per cent.
He said Future Bright’s loss was mainly due to declining sales in the food souvenir business Yeng Kee Bakery, the loss of its restaurants and food court across the border at Huafa Mall in Zhuhai, including a write-off of HK$32.2 million from the closure of 19 food court counters, and a slowdown in restaurants ales in Macau.
During 2015, the group’s restaurant chain business recorded a drop in turnover of about 8.8 per cent incurring considerable losses mainly from its restaurants and food court at Huafa Mall.
“Management has also started in 2015 to cautiously explore opening more mass market restaurants in Macau, Hong Kong and Guangdong to diversify its revenue.”
In 2015, the group has opened six new restaurants (self-owned, joint venture and franchise) including a Japanese restaurant Senkizen at Galaxy Macau; a Western restaurant Old Macau at the University of Macau; a Pacific Coffee shop at the Broadway of Galaxy Macau; the first Japanese ramen shop under the brand name of Bari-Uma in Hong Kong; a Pepper Lunch restaurant at Huafa Mall, Zhuhai; and a joint venture restaurant, Shiki Hot Pot at Studio City in Cotai.
The group closed down two restaurants and 19 food court counters in 2015 including: a Shiki Hot Pot Restaurant at Rio Hotel, Macau and a Japanese restaurant Edo in Hong Kong.
The group has recently revised its franchise arrangement with Pepper Lunch to include its operation territory to cover Cotai area, and its franchise arrangement with Mad for Garlic and Bistro Seoul restaurants to exclude Guangdong as its operational territory. Future Bright will also soon open another ramen shop under the franchise Bari-Uma in Tsim Sha Tsui, Hong Kong; its first Bistro Seoul restaurant in Wan Chai, Hong Kong; and its first Mad for Garlic restaurant in Causeway Bay, Hong Kong.
Another Japanese restaurant Edo is planned for the Sheraton Zhuhai Hotel in the first half of this year, along with three restaurants at Sam’s Club, Zhuhai and three restaurants and three food court counters at the new casino shopping mall The Parisian Macao at Cotai in the second half of 2016.