Philippines-listed Bloomberry Resorts Corp reported consolidated net income of nearly PHP2.6 billion (US$45.0 million) for the first quarter this year, down 13.3 percent from the prior-year period.
But judged quarter-on-quarter, net income doubled from PHP1.3 billion in the fourth quarter of 2023.
First-quarter 2024 group-wide consolidated net revenue was PHP12.5 billion, circa 3.0-percent down year-on-year, but a 5.0-percent increase sequentially, according to a Tuesday filing.
Bloomberry operates the Solaire Resort and Casino property (pictured) at Entertainment City in the Metro Manila region. The company also runs the Jeju Sun Hotel & Casino in Jeju, South Korea.
The casino firm confirmed in its latest filing that Solaire Resort North, a new casino complex at Quezon City in the Philippines, is due to open on May 25.
Group-wide consolidated earnings before interest, taxation, depreciation and amortisation (EBITDA) stood at PHP4.9 billion in the three months to March 31, down 14.0 percent from a year earlier. The figure was up 25.6 percent from the preceding quarter.
“Excluding the impact of PHP279.5 million in pre-operating expenses associated with Solaire Resort North, EBITDA and net income would have been PHP5.2 billion and PHP2.9 billion, declining by only 10 percent and 3 percent year-over-year, respectively,” stated Bloomberry in its Tuesday filing.
Solaire’s VIP rolling chip volume and mass table drop were PHP106.9 billion and P11.1 billion in the opening quarter of 2024, representing year-on-year declines of 36.4 percent, and 7.9 percent, respectively.
The property’s electronic gaming machine segment recorded a 16.6-percent year-on-year increase in coin-in, to nearly PHP97.9 billion.
On a sequential basis, VIP rolling chip volume and mass table drop declined by about 18.0 percent and 7.0 percent, respectively, while slots coin-in increased by 7.0 percent.
Total gross gaming revenue (GGR) at Solaire was just under PHP14.8 billion, down 8.1 percent from a year ago, but up 6.9 percent quarter-on-quarter.
Enrique Razon, Bloomberry’s chairman and chief executive, was cited as saying in prepared remarks accompanying the results: “In the first quarter of 2024, Solaire in Entertainment City reported lower VIP and mass table game revenues that resulted in an 11-percent decline in consolidated net income.”
He stated: “We had a strong showing in the heavily domestic slot machines segment where revenue grew by 24 percent year-over-year. This strong local demand heightens our anticipation for our second property which will open on May 25.”
The CEO added: “By increasing our mass table offerings and effectively doubling our slot machine capacity, Solaire Resort North will put Bloomberry in a prime position to gain market share.”
The company describes Solaire Resort North as a US$1.0-billion scheme covering 1.5 hectares (3.7 acres), offering 526 rooms and suites. The casino is to feature 2,669 electronic gaming machines and 163 tables across four levels, according to the firm.
Mr Razon said in April that he expects Solaire Resort North to be “fully ramped up” by 2026.
Maybank Securities Inc said in a March memo that Solaire Resort North has the potential to supply 9 percent of Bloomberry’s 2024 GGR, and 14 percent of the 2025 annual total as the property ramps business.
Outside of the reporting period, Bloomberry said it completed on April 30 a settlement agreement with casino management company Global Gaming Asset Management LLC (GGAM), requiring a unit of the group to purchase all the Bloomberry shares held by GGAM for a total of US$300 million.
