By James A. Loyola
Bloomberry Resorts Corporation reported a 40 percent drop in consolidated net profit to P2.2 billion in the first quarter of the year from the P3.69 billion earned in the same period last year.
In a disclosure to the Philippine Stock Exchange, the firm said net profit declined by 40 percent due to meaningfully lower foreign exchange gains and higher interest expenses incurred resulting from the full drawdown of the P73.5 billion Syndicated Loan.
The proceeds of the Syndicated Loan were used to retire previous debt facilities and finance the acquisition of land from PAGCOR whereSolaire Resort & Casino and its Phase 2 expansion area is located within Entertainment City.
However, first quarter profit is 204 percent higher than the P725 million net profit recorded in the fourth quarter of 2018.
“We kicked-off 2019 with a solid set of results. Our Net Revenues and EBITDA were driven by our highly profitable mass gaming segments where our innovative customer experience and engagement programs continue to reward us with a database of loyal patrons,” said Bloomberry Chairman Enrique K. Razon Jr.
In the first quarter of 2019, total gross gaming revenues (GGR) at Solaire was P13.62 billion, representing growth of 3 percent sequentially and a decrease of less than 1 percent year-on-year.
Solaire’s VIP volumes were P185.9 billion, representing a YoY decline of 6 percent. VIP revenues decreased by 16 percent YoY to P5.98 billion as the hold rate declined to 3.22 percent in the first quarter of 2019 from 3.61 percent in the first quarter of 2018.
Mass table drop at Solaire was P11.38 billion, representing a 4 percent sequential decline and a 17 percent YoY increase. Mass table revenues were P3.997 billion, representing a 23 percent increase from P3.24 billion in the same quarter last year.
In the first three months of 2019, the Company reported consolidated non-gaming revenues of P1.92 billion, representing growth of 25 percent from P1.54 billion over the same period in 2018.