GGRAsia – Bloomberry 1Q EBITDA US$29.8mln, Solaire shut so far 2Q

Bloomberry 1Q EBITDA US$29.8mln, Solaire shut so far 2Q

May 10, 2021 Newsdesk Latest News, Philippines, Top of the deck

Philippine casino operator Bloomberry Resorts Corp reported positive first-quarter consolidated earnings before interest, taxation, depreciation and amortisation (EBITDA) of PHP1.49 billion (US$31.2 million) from its Solaire Resort and Casino venue (pictured) in Manila, a decrease of 58.2 percent year-on-year. Group-wide EBITDA for the firm during the first quarter was PHP1.43 billion (US$29.8 million).

But it was a big improvement on the PHP129.3-million achieved in the last quarter of 2020, according respectively to a Monday filing and press release from the firm.

The group’s consolidated EBITDA from its Jeju Sun operation in Jeju, South Korea, was negative by PHP65.6 million in the first three months of this year showed the results filing. Jeju Sun is currently closed amid the pandemic.

The casino operator said in it Monday press release that Solaire, in the Entertainment City zone in Philippine capital, had “88 days of limited operations” in the first quarter as permitted by the local gaming regulator. Such operations involved “only long-stay and select invited guests”, Bloomberry noted.

Solaire closed temporarily on March 29 as the national government introduced a so-called “enhanced community quarantine” to Metro Manila and its nearby provinces.

Despite that order being eased on April 12, to “modified enhanced community quarantine”, Solaire – along with other major commercial casino operators in Manila – remains closed to the public.

Bloomberry’s group-wide net revenue for the three months to March 31 was PHP5.52 billion, a decrease of 41.3 percent year-on-year on the PHP9.41 billion previously. There was minimal contribution from the South Korea operation in the first three months of this year.

The group’s consolidated net loss for the latest reporting period was PHP780.8 million, a narrowing from the circa PHP2.5-billion net loss recorded in the fourth quarter 2020, said the press release. The firm made a net profit of nearly PHP1.37 billion in the first quarter, 2020.

The casino operator’s aggregate gross gaming revenue (GGR) for the first quarter this year was PHP6.88 billion, down by 44.1 percent year-on-year from PHP12.31 billion.

But the first-quarter GGR performance was nevertheless a 29-percent increase when compared to the fourth quarter in 2020, supported by what the firm said was an improvement in “domestic patron confidence” prior to the introduction of the enhance community quarantine order at the end of March.

Solaire’s VIP, mass-market table, and electronic gaming machine GGR in the first quarter were, respectively, PHP1.94 billion, PHP2.52 billion and PHP2.4 billion. Year-on-year, the property’s first-quarter VIP, mass-table and electronic gaming machine GGR respectively recorded decreases of 58.9 percent, 35.8 percent and 31.9 percent.

But compared to the fourth quarter, the GGR in those segments was up 65 percent, 27 percent, and 12 percent respectively, noted the press release.

“Despite the challenges, the company generated solid results in the first three months of 2021 with gaming revenues, EBITDA and the bottom line improving from the previous quarter,” said Bloomberry’s chairman and chief executive Enrique Razon in comments included in the Monday press release.

Mr Razon was also cited saying: “Bloomberry will carry on with further strengthening services and health security protocols at Solaire in anticipation of restarting operations as soon as allowed by the relevant authorities.”

Bloomberry is developing a second Philippine casino resort – Solaire North – at Quezon City on the outskirts of the Metro Manila area.