MANILA, Philippines – Bloomberry Resorts Corp., the owner and operator of the $1.2-billion Solaire Resort and Casino, turned profitable in the second quarter as revenues spiked.
For the rest of the year, the firm targets to improve margins and continue marketing programs for its casino operations.
In a regulatory filing, Bloomberry said it recorded P22.7 million in profits in the second quarter, turning around from a net loss of P126.93 million in the same period last year.
Total revenues spiked to P3.59 billion during the period from just P15.79 million a year ago.
“Gross gaming revenues during the quarter amounted to P3.89 billion, followed by non-gaming revenues coming from the hotel, food and beverage, retail and others totaling P267 million [and] interest income contributed P14.9 million to revenues,” Bloomberry said.
“It is gratifying to know that Solaire has begun to generate profit after only a few months,” said Bloomberry chairman and president Enrique Razon Jr.
Business ( Article MRec ), pagematch: 1, sectionmatch: 1
The $750-million Phase 1 of Solaire, which offers 500 rooms, 18,500 square meters of gaming space and 15 luxurious dining options, started commercial operations on March 16.
However, revenues have yet to catch up with high operating expenses, which hit P3.65 billion in the second quarter. Operating expenses included payroll, advertising and promotions, supplies, gaming taxes and licenses, depreciation and amortization, utilities and other services.
Bloomberry’s books, however, was buoyed by income from tax benefits.
“The group recognized additional deferred tax assets resulting in benefit from income tax of P81.8 million,” Bloomberry said.
After the opening, Bloomberry said it ramped up its gaming business through numerous events, promotions and other strategic marketing activities.
“It was during the second quarter when the group signed up several junket operators, bringing in foreign VIP players,” Bloomberry said.
