Lai Si Enterprise Announces 2018 Annual Results

March 26, 2019 - 02:16
Lai Si Enterprise Announces 2018 Annual Results

Consolidating footholds in Macau and Hong Kong to pave the way for business expansion in Guangdong-Hong Kong-Macau Greater Bay Area


HONG KONG,CHINA - Media OutReach - 26 March2019 - Lai Si Enterprise Holding Limited ("Lai SiEnterprise" or the "Group"; SEHK stock code: 2266), a leadingcommercial property fit-out and construction contractor in Macau, announcedtoday its audited annual results for the year ended 31 December 2018.


During the year, theGroup's revenue fell by 36.7% to MOP173.7 million. Gross profit margin went upby 1.3 percentage points to 22.3%. A breakdown shows that the gross profit marginof fit-out works rose by 4.3 percentage points and that of repair andmaintenance services increased by 10.1 percentage points. Profit attributableto owners of the Company for the year was approximately MOP2.3 million.


Despite the shrinkageof the fit-out market in Macau, the Group stepped up its efforts to developfit-out business, expand its clientele and market coverage, and gain a footholdin Hong Kong's fit-out market. As an integrated fit-out contractor, the Groupundertook in the second half a series of fit-out works for large commercialbuildings, renowned local restaurants, major property developers, global retailbrands and internationally well-known coffeehouse chains in Hong Kong andMacau. As a result, the Group achieved significant improvement in the secondhalf in terms of performance compared to the first half and successfully stageda turnaround with net profit of approximately MOP12.2 million in the secondhalf.


Meanwhile, the Groupcontinued to undertake construction projects of the Macau government. To expand market share and diversify the business riskof such projects, the Group has been exploring the possibility of cooperatingwith contractors from mainland China. To tap promising markets beyond Macau, theGroup will continue to expand its business presence in Hong Kong. It will seekto undertake fit-out works for other kinds of buildings or clients in additionto the renovation projects for club houses, commercial buildings and retailstores of international brands in the city. For its track record, the Group hasrecently been included in Hong Kong's renowned property developers' list ofapproved sub-contractors. This will open up more opportunities for the Group totender for fit-out works in the city.


Mr. Lai Ieng Man, Chairman of Lai Si Enterprise, said, "The Group remains optimistic about the outlookof the fit-out market in Macau and Hong Kong because China's state policy tofoster the development of the Guangdong-Hong Kong-Macau Greater Bay Area will generatemore business opportunities. It is expected that the policy will add impetus tothe economy of the area and attract more multinational corporations to set upoffices and more international retailers to open branches there. This will driveup the demand for fit-out works, repair and maintenance services in the region.With its experienced management and staff, the Group is well-positioned toexpand its market share in the area." 

About Lai Si Enterprise Holding Limited

Lai Si Enterprise isa leading commercial fit-out contractor in Macau. Its major businesses coverservices of fit-out works as an integrated fit-out contractor, constructionworks as a main contractor and repair and maintenance works, mainly in Macau.According to Frost & Sullivan, in terms of revenue, the Group was thesecond largest commercial fit-out contractor in Macau in 2015, with a marketshare of approximately 6.1%. The fit-out projects undertaken by the Group canbe broadly classified according to the types of customers, including hotels andcasinos, retail shops and restaurants, etc. The Group's construction servicesinclude general construction and heritage conservation. The Group also providesrepair and maintenance services for existing properties in Macau on ad-hocbasis and regular basis over a fixed period.