Ocean Park reports $71m deficit despite five-year high in visitors and revenue

Ayra Wang

Ocean Park reported a deficit of over HK$71 million for the past fiscal year, despite reaching a five-year high in visitor numbers and total revenue.

Announcing its financial results for the fiscal year from July 1 to June 30, the amusement park welcomed 3.14 million visitors - a 33 percent increase from 2.36 million the previous year. Total revenue rose by 41 percent year-on-year to HK$1.181 billion.

Paulo Pong Kin-yee, chairman of the Board of Ocean Park Corporation, said that it aims to leverage its six giant pandas to boost revenue and promote the "panda economy" across the city.

"We will capitalize on the presence of these pandas to drive citywide excitement, increasing visitors and revenue while promoting panda tourism and ecological conservation in Hong Kong," he said.

Despite the surge in attendees, the park recorded a HK$71.6 million deficit, down from a surplus of HK$118.5 million in fiscal year 2022-23.

Excluding government subsidies, depreciation, impairment reversals, and investment income, the net operating deficit narrowed for the third consecutive year, decreasing by 30 percent to HK$297.2 million compared to the previous year.

Pong also said it plans to launch new projects with partners, host large-scale events, and offer team-building activities, consultancy services and study trips for overseas students.

"Through our operating income, we aim to contribute to society, future generations, and environmental conservation - thereby reducing reliance on public finances," he added.

The government provided around HK$850 million in funding to the amusement park in the financial year 2022-23, including HK$570 million for pandemic relief and annual funding of HK$280 million for conservation and education.

However, in the past fiscal year, only HK$280 million was allocated, with the four-year grant set to end in 2026.

Roundtable lawmaker Michael Tien Puk-sun expressed concerns about potential operational difficulties for Ocean Park between 2026 and 2028, noting that it will need to start repaying a government loan of HK$5 billion for expansion by 2028.

He suggested that Ocean Park create narratives about the history of its giant pandas to attract global tourists.