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Bloomberry Resorts Corporation, the operator of Solaire Resort Entertainment City and Jeju Sun Hotel & Casino, has released its unaudited financial results for the first quarter of 2024.
The operator reported a consolidated net income of PHP2.6bn (US$44m), marking an 11% decline year-on-year.
Enrique K. Razon Jr., Bloomberry’s Chairman and CEO, attributed this drop to lower revenues from VIP and mass table games. However, he noted that excluding pre-operating expenses of PHP279m for the upcoming Solaire Resort North, net income would have declined by only 3%.
Despite the downturn in table games, the company saw strong performance in its domestic slot machines segment, with revenue increasing by 24% year-over-year. This growth in local demand is anticipated to benefit the new Solaire Resort North, set to open on May 25. The new resort aims to boost mass table offerings and double the capacity for slot machines to increase Bloomberry’s market growth.
In terms of gaming performance, Solaire’s VIP rolling chip volume fell by 36% to PHP106.9bn, and the mass table drop decreased by 8% to PHP11.1bn. However, the EGM segment recorded a 17% increase in coin-in. Overall, total Gross Gaming Revenues (GGR) at Solaire decreased by 8% to PHP14.8bn, affected by lower VIP and mass table volumes, despite a strong EGM performance.
Jeju Sun recorded GGR of PHP15.6m, up from PHP1.2m in the previous quarter. Bloomberry’s consolidated net gaming revenue for Q1 reached PHP10.3bn, a 5% year-over-year decrease but a 7% increase from the previous quarter.
Non-gaming revenues grew modestly, with consolidated non-gaming revenue at PHP2.2bn, up 4% year-over-year. Solaire’s non-gaming revenue was P2.1bn, a 2% increase from the same quarter last year.
Consolidated net revenue for Bloomberry was PHP12.5bn, down 3% year-over-year but up 5% from the fourth quarter of 2023. Expenses rose 5% year-on-year to PHP7.6bn, driven by higher salaries and office expenses.
The company’s consolidated EBITDA stood at PHP4.9bn, a 14% decline from the previous year. Excluding pre-operating expenses, EBITDA would have been PHP5.2bn, a 10% decline year-over-year. Basic earnings per share dropped to PHP0.231 from PHP0.276 last year.
As of March 31, 2024, Bloomberry reported a consolidated cash balance of PHP45.9bn and a total outstanding long-term debt of PHP101.1bn.
