Ocean Park has reported a record deficit of HK$241.1 million for the 2015/16 fiscal year ending 30 June 2016.
The poor results are largely attributed to a marked reduction in visitors from Mainland China.
In addition to falling revenues (17.8 per cent to HK$1.61 billion), operating costs have increased “substantially” due to the introduction of new attractions like Shark Mystique and Adventures in Australia.
Commenting on the results, Leo Kung, Chairman of Ocean Park, said, “The 2015/16 fiscal year has been challenging for both the tourism and retail sectors in Hong Kong and Ocean Park has not been immune.”
“The number of inbound tourists to Hong Kong has dropped due to a combination of factors. These include intensified competition from other regional destinations, the strengthening Hong Kong dollar against the Renminbi and other currencies, and slowing economic growth in China, which has affected Mainland visitor flows to the city.
“As a result of this reduction in tourist arrivals to Hong Kong from the Mainland, Ocean Park experienced a 18.8% drop in guest visitation to around 6 million during the 2015/16 fiscal year. With growing competition, we have to provide the best possible experience to our guests and further enhance our facilities to win visitors over. This includes the development of two hotels (The Hong Kong Ocean Park Marriot Hotel and The Fullerton Hotel @ Ocean Park) and the new all-weather Ocean Park Water World.”
Ocean Park will also be raising entrance fees by 13.8 per cent to HK$438 for adults and HK$219 for children from January 1 2017. However, Kung promised there would be no cuts in numbers or salaries for staff.
Ocean Park will look to attract visitors from other markets such as India, South Korea, Indonesia and Taiwan.