Ocean Park posts HK$31.8 million deficit

In the 2020-21 fiscal year, revenue fell 45 percent year on year to HK$393 million.

The theme park blamed a drop in visitors amid the pandemic. Visitor numbers fell 36 percent to 1.4 million, as the park was shut down for 146 days during the period under review because of Covid-19.

Ocean Park received a government injection of HK$1.45 billion in 2020-21 to fund the park’s operations and capital expenditure.

In its 2019-20 fiscal year, the park recorded a surplus of HK$1.92 billion thanks largely to a HK$3 billion government injection.

“Despite a continuing difficult operating environment, we reimagined the Ocean Park experience with creativity and experimented with new concepts that leveraged the infinite potentials of the park’s unique setting,” Ivan Wong, Chief Executive of Ocean Park Corporation said.

Tourism professor Brian King from the Polytechnic University said the park’s management did a good job in controlling cost.

“Obviously it’s not a good number. But it could have been a lot worse, it reflects the difficult trading conditions for the tourism sector,” he said.

The government announced a major revamp of the attraction earlier this year, which included scrapping entrance fees and turning the entire lowland area into a shopping and dining zone. Authorities said the overhaul will allow Ocean Park to return to profitability as soon as 2024.

King said people need to be patient with Ocean Park’s transformation, from a theme park to a resort and leisure destination.

“Water World will help because that’s a volume business. And then they have this dynamic pricing so it allows them to boost the revenue,” he said.

“The reorganisation of the park, with glamping and green staycation, that’s not going to change the revenue quickly. I think it’s going to take time for the business model with retail and experiences to change the dynamic.”