Belle Corp’s net income halved in H1

MANILA, Philippines — Belle Corporation’s net income was halved in the first half of the year in the absence of the non-recurring gains that it enjoyed a year ago.

The Henry Sy-led firm told the Philippine Stock Exchange that its net income for the first half of the year was at P836.7 million ($18.36 million) from P1.66 billion ($36.43 million) recorded in the same period last year.

Its 2014 results got a boost from non-recurring items worth P1.25 billion ($27.43 million) from the P30.7-million ($673,762) after-tax gain from the redemption of its parent firm SM Investments Corporation’s retail bonds, and the reversal of subsidiary Premium Leisure Corporation’s  investment loss reserves amounting to P1.219 billion ($26.75 million).

Minus those extraordinary items, the property developer’s earning would have doubled its recurring income in the first half from P411 million ($9.02 million) in 2014.

Belle’s first half revenues, meanwhile, went up by 158% to P2.76 billion ($60.57 million) from P1.06 billion ($23.26 million) recorded in the same period a year ago, mainly due to gaming income share of Premium Leisure from integrated resort City of Dreams Manila, which opened last February 2.

Premium Leisure has an operating agreement with Melco Crown Entertainment Limited that accords it a share of gaming revenues at City of Dreams Manila. 

Contributing to the company’s higher operating revenues is the consolidation of Pacific Online Systems Corporation, with revenues from equipment rentals, instant scratch ticket sales, and commission income.

It also registered P223.9 million ($4.91 million) in revenues from sale of real estate and club shares. This is 31% higher compared to a year ago.

Belle also disclosed to the local bourse that its board approved the declaration of a cash dividend of P0.095 ($0.002) per share, for a total dividend payment of approximately P1 billion ($21.95 million).

The cash dividend is payable on August 28 to shareholders on record as of August 14.

Last year, Belle subscribed to additional shares in Premium Leisure to hike its stake to nearly 90%.

At the same time, Belle also acquired its real estate assets including membership shares in Tagaytay Midlands Golf Club Incorporated, a lot located within the Asean Business park at the Manila Bay Reclamation area, several parcels of land in Tagaytay, and an undeveloped property in Tanauan City, Batangas. – Rappler.com

$1=P45.56