By Katey RichMANILA, Philippines—Maldive-based Bang Bang Entertainment Inc., which produces adult film titles and related content, said Thursday that its revenue dropped to $4.2 million, or 1.5 percent from $4 million, a year earlier.

Maldives had seen an explosive growth in the online porn industry in recent years, and Bang Bang is a major player in the country.

But its recent sales slump and the loss of its biggest customer, the Chinese-owned China Adult Film Association, have raised concerns that its online video business may be on the verge of collapse.

In a report, Bang Bang said the online sales of its films were down about 8 percent to $8 million, mostly due to a reduction in revenue from its Chinese customers.

In an interview, Bang’s chief executive officer, Lee Ting Kwan, said Bang Bang’s sales had fallen due to the drop in revenue to Chinese customers, and that its film revenue would return to normal in two to three months.

But he declined to say how much Bang Bang has lost due to its Chinese sales loss.

Bang Bang, which has offices in China and Vietnam, said its Chinese and Thai business had been in a slump for years, partly due to lower Chinese demand for its films.

Its Chinese business has been hurt by a decline in demand for pornographic films, mainly because of government restrictions on pornography in the communist country, and by an anti-pornography campaign by the Communist Party, he said.

Mang Luy, Bang Bae’s president and chief operating officer, said in a separate interview that the company has not seen the full impact of China’s anti-censorship measures on its Chinese business.

He said the company expects that Chinese demand will rebound to normal next year.

Bang Bao is a subsidiary of Bang Bang Group, which operates several adult-film websites, including Bang Bang.

Mung Luy also said Bang Babe’s Asian business was still growing, although not as quickly as Bang Bang was expected to.

The company has about 400 employees and plans to hire 200 more employees, he added.