Record gaming revenues fuel Bloomberry turnaround
MANILA, Philippines – Bloomberry Resorts Corporation, owner and operator of Solaire resort and casino, said its net income for 2014 hit P4.07 billion ($90.95 million), a dramatic turnaround from the P1.31 billion ($29.26 million) net loss posted the previous year.
Gross gaming revenues and non-gaming revenues hit record levels at P30.387 billion ($678.89 million) and P1.071 billion ($23.9 million) respectively, in 2014, Bloomberry said in a disclosure to the stock exchange.
Gaming revenues grew by 103% year-on-year, while non-gaming improved by 39%.
This builds upon the improvement seen in the company’s report for the first half of 2014.
The improvements in the company’s profitability resulted in P1.55 billion ($34.6 million) in retained earnings, an about face from its P2.489 billion ($55.6 million) deficit at the beginning of the year.
“We are elated by the 2014 year-end results. Our initiatives to grow our market, to increase revenues and to curb operational excesses have enabled us to make a remarkable turnaround in just two years,” said port magnate Enrique Razon Jr, chairman and president of Bloomberry.
Net gaming revenues stood at P22.849 billion ($510.42 million), up 99% from P11.464 billion ($256.09 million) the previous year.
This is despite the P7.538 billion ($168.4 million) spent in promotional allowances, discounts, rebates paid through gaming promoters, progressive jackpot liabilities, and points earned in customer loyalty programs from the P30.387 billion ($ 678.89 million) in gross gaming revenues.
Highest gaming revenue
Net gaming revenues, accounted for 94.7% of total revenues, while hotel, food and beverage supplied 4.4%.
“The last quarter of 2014 saw the group posting the highest gaming revenue for a quarter since opening day,” Bloomberry said.
This was done through an aggressive campaign introducing creative programs, hosting special events, launching promotions, and establishing market presence in the Asian Region, the company explained.
The group had 64 junket operators that actively brought in foreign VIP players at the end of last year.
Solaire Rewards Club registered 406,000 members, and visitations for the year reached 4.5 million.
Last November the group opened the Sky Tower, previously referred to as Phase 1a development of Solaire. This increased its total gaming tables from 299 to 369, while electronic gaming machines went up by 216 bringing the total to 1,701.
The group also signed land acquisitions in Muui Island and Silmi Islands in South Korea, as part of its maiden overseas expansion. – Rappler.com
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