Bloomberry Resorts Corporation, owner and operator of the Solaire Resort and Casino and Jeju Sun Hotel and Casino, saw a net loss of PHP3.375 billion (US$73.11 million) for the year 2015, according to a filing on the Philippine Stock Exchange. This represents a 220 per cent loss compared to the previous year’s PHP4.072 billion (US$88.19 million) earned in net income. The group attributes this to ‘large increases in depreciation and amortization associated with Sky Tower and interest expenses from additional loan drawdowns made during the year.’ Total revenues for the company grew 7 per cent, hitting PHP34.35 billion, compared to PHP32.11 billion last year. However costs increased 51 per cent from the previous year, hitting PHP26.66 billion – attributed to ‘bad debt, the first-time consolidation of its Korea operation and the full-year impact of the additional expenses associated with start-up operations of the Sky Tower in Solaire.’ EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) declined 49 per cent, dropping to PHP5.182 billion from the PHP10.08 recorded a year ago, due to an increase in bad debt and the PHP780 million ‘drag from the Company’s Korea start up,’ states the report. Gross gaming revenues for the company and non-gaming revenues hit ‘all-time highs’ amounting to PHP32.46 billion and PHP1.89 billion, respectively, and amounting to a 5 per cent and 49 per cent increase, respectively. This comes ‘despite a difficult gaming environment and the introduction of more competition with the opening of a new property in Entertainment City’. Revenues ‘still continued to come mostly from gaming and from the Philippines,’ stated the report, with gaming accounting for 94 per cent and hotel and F+B operations only making up 5 per cent. Expenses increased by 51 per cent compared to the previous year, topping PHP26.66 billion – attributed primarily to the operation of Sky Tower, with 5 per cent attributed to the company’s Korean operations.
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