Philippine gaming company, Bloomberry Resorts, reported an 11% reduction in net income for the initial quarter of 2024, contrasted with the corresponding period the previous year. This equates to earnings of 2.6 billion Philippine pesos, approximating $44 million USD. The corporation ascribed this decrease to diminished earnings from both high-roller and general-access table games.
Bloomberry’s Chairman and CEO, Enrique Razon Jr., recognized the slump in these segments. Nevertheless, he highlighted that the profit contraction would have been a negligible 3% if not for the 2.79 billion pesos in pre-opening expenditures for the forthcoming Solaire Resort North.
Despite the challenges at the gaming tables, Bloomberry’s slot machine activities within the Philippines flourished. This division witnessed a 24% year-over-year revenue surge, driven by robust domestic patronage. This favorable pattern bodes well for the approaching Solaire Resort North, slated to commence operations on May 25th. This new establishment aims to widen Bloomberry’s allure with an augmented selection of mass-market table games and twice the quantity of slot machines, indicating the company’s ambitious growth strategies.
Examining the gaming revenue specifics, Solaire encountered a 36% reduction in VIP rolling volume, hitting 106.9 billion pesos. Mass table drop also registered an 8% fall, reaching 11.1 billion pesos. Conversely, electronic gaming devices defied the pattern with a 17% increase in coin-in. In total, Solaire’s gross gaming revenue underwent an 8% decrease, amounting to 140 billion pesos.
Notwithstanding robust earnings in slot activities, overall gambling proceeds for the period totaled PHP 8 billion, hampered by reductions in high-roller and mass table play.
At Jeju Sun, gambling income significantly rebounded, surging from PHP 1.2 million in the preceding quarter to PHP 15.6 million. Bloomberry’s combined net gaming revenue for the initial quarter landed at PHP 10.3 billion. While this signifies a 5% year-over-year decline, it represents a 7% uptick compared to the prior quarter.
Non-gambling revenue exhibited positive indicators, with consolidated figures hitting PHP 2.2 billion, a 4% year-over-year rise. This expansion was fueled by Solaire’s non-gaming revenue, which attained PHP 2.1 billion, a 2% climb compared to the corresponding period last year.
In aggregate, Bloomberry posted a consolidated net income of PHP 1.25 billion. This constitutes a 3% year-over-year dip but a 5% increase from the fourth quarter of 2023. Expenditures witnessed a 5% year-over-year growth, reaching PHP 7.6 billion, mainly attributed to elevated wage and utility expenses.
The corporation’s consolidated EBITDA stood at PHP 4.9 billion, indicating a 14% reduction from the previous year. Nevertheless, when adjusted for pre-launch outlays, EBITDA reached PHP 5.2 billion, reflecting a 10% year-over-year decline. Earnings per share contracted to PHP 0.231 from PHP 0.276 a year prior.
As of March 31, 2024, Bloomberry reported a consolidated cash position of PHP 45.9 billion and aggregate long-term liabilities of PHP 101.1 billion.
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