Hong Kong-listed LET Group (formerly known as Suncity Group, stock code 1383) recently announced its financial results for the first half of 2025, with losses significantly narrowed to $5.45 million, nearly half of the $9.6 million from the same period last year, showing significant signs of improvement. The group's stock price also surged nearly 10%, warming investor sentiment.
The improvement in LET Group's performance is mainly due to the divestiture of heavily loss-making joint ventures and an increased focus on its operations in the Philippines. In the first half of 2024, the group's joint ventures suffered losses of HK$234 million (approximately $29.85 million), which were eliminated in the same period in 2025, significantly easing financial pressure. Additionally, the group also realized interest income of HK$13.4 million (approximately $1.71 million) and net foreign exchange gains of HK$185 million (approximately $23.53 million), further driving overall performance recovery.
The group previously sold its stake in the Vietnam Hoiana Resort & Golf complex, which is now operated by VMS Group. At the same time, the group is planning to sell its shares in the Tigre de Cristal hotel and casino in Vladivostok, Russia, which has been severely affected by the conflict in Ukraine. In the future, LET Group will focus on the Westside City resort project in the Philippines, promoted through its holding company Suntrust Resort Holdings. Despite the group's mid-July warning about uncertainties in its asset-liability structure, the Philippine market is still seen as a core growth area.
Furthermore, LET Group's background is also under scrutiny. The group was formerly known as Suncity Group, founded by the well-known Macau businessman Alvin Chau (nickname "Washing Rice Chau"). Chau was sentenced to 18 years in prison by the Macau court for founding and leading a criminal group, illegal gambling operations, and fraud. Suncity Group completed the transfer of controlling rights in May 2024, with former executive director Lu Yan Yi taking over, followed by the renaming to LET Group.
While adjusting its business structure and divesting risky assets, LET Group is actively focusing on the Philippine market, hoping to drive continuous performance recovery through the Westside City project. Investors and the market are closely watching the group's future development trends.
