Bloomberry Resorts Corporation reported a net profit of approximately PHP3.91 billion ($77.2 million) for the third quarter of 2019 in a filing with the Philippine Stock Exchange. That showed a record 245% increase compared with the same quarter in 2018.
The huge increase in the third quarter profits was mainly due to the success at the Solaire. The operations of the Philippine-based resort reported a net income of PHP4.2 billion according to the filing. That marks an increase of 283.9% over the same period in 2018.
The increase was because of higher earnings before interest, taxation, depreciation, and amortization (EBITDA), according to the company.
This was “partially offset” by higher losses because of foreign-exchange and a rise in interest and depreciation expenses.
Moreover, the Solaire reported a 46% increase in gross gaming revenue for the three months which ended on September 30. This was because of a record mass-market volume and improved VIP hold. The Calvinayre website says, the GGR reached Php17.11 billion ($338 million) for the three-month timeframe with an adjusted EBITDA reaching 100% to Php6.36 billion ($125 million).
Enrique Razon, the chairman and chief executive of Bloomberry, said, “I am pleased to report a third-quarter net profit of PHP3.91 billion … despite incurring higher interest expenses and foreign exchange losses.” The losses came from the South Korean operations which lost PHP277.6 million ($5.48 million). “We are now in the last stretch of 2019 and we look forward to delivering a strong set of full-year results,” he added.
Speaking about the increased profits, the company said, “Despite the recent strength of the VIP business which was fueled by a higher than normal VIP win rate, the mass gaming segments continue to be the greatest source of near-term and long-term growth for Solaire.”
This is excellent news for Bloomberry Resorts which reported an increase in revenues in the first quarter of this year; however reported a 40% decrease in total profit from the same period in 2018. In the first quarter of this year, the profit was $42.5 million, which was a more than $28 million decrease compared with the first three months of 2018.
Bloomberry is prepared to move ahead with the construction and preopening of their Solaire North facility in Quezon City with the success at the Solaire. In their filing, they explained that they had a PHP40-billion ($790 million) loan to apply to the new project.