Collapse of Korea sale hindered results
Philippine casino operator Bloomberry Resorts posted a significant turnaround in profits for the year that ended December 21, according to a filing to the Philippine Stock Exchange on March 24. The owner of Solaire Resort and Casino in Manila’s Entertainment City saw a net profit of P2.3 billion (US$46.1 million) compared to the P3.4 billion (US$66.9 million) net loss it recorded in 2015.
The operator of the Solaire Resort and Casino posted net revenue of P30.4 billion in 2016, up 21.2 percent from the previous year.
Gross gaming revenue hit a record-breaking P38.5 billion for 2016, up 18.7 percent from 2015. Non-gaming revenues rose 26 percent to P2.4 billion, also a record. EBITDA more than doubled to P10.6 billion, an increase of 5 percent from the previous record high in 2014, reported CalvinAyre.com.
“In 2016, Solaire generated record VIP volume, mass table drop and electronic gaming machine (EGM) coin-in, with VIP volume growth of 29 percent, while mass table drop grew by 12 percent and EGM coin-in grew by 18 percent,” said the company.
In the fourth quarter of 2106, Solaire also posted a new record high for mass table drop and EGM coin-in. Philippine VIP volumes rose 13 percent year-on-year and mass table drop and EGM coin-in grew 20 percent and 30 percent respectively. Fourth quarter EBITDA increased 4 percent sequentially to P2.7 billion, up from P546 million during the same period in 2015.
Bloomberry Chairman and CEO Enrique K. Razon Jr. said 2016 “was not without its challenges,” but credited the company’s “continuing financial management, marketing, property and systems improvements and staff engagement” for the positive returns.
“Overall, we are more than pleased with the results that put us in good standing with the competition. We hope to use this position of strength to carry us into, if not surpass, the results for the current year,” Razon said.
The company added that its full year results were “moderated” by losses from Korea, where it tried and failed to sell its Jeju casino property. “Without the drag from Korea, Solaire would have reported a P3.460 billion net profit, compared to a P2.377 billion net loss in 2015,” the company stated.
