City of Dreams Manila buoys Belle’s Q1 2015 net income
MANILA, Philippines – Belle Corporation, the gaming and property arm of Henry Sy’s conglomerate reported Tuesday, April 28, that its first quarter net income grew 22%, with higher revenues from its lease of City of Dreams Manila.
The company attributed its strong financial performance in 2015 to growth in revenues from its lease of the City of Dreams Manila property to Philippine entities controlled by Melco Crown Entertainment Limited (MCE); income from sales of real estate; and income derived from its listed subsidiary, Premium Leisure Corporation (PLC).
PLC, which has an operating agreement with MCE that accords it a share of gaming revenues or earnings at City of Dreams Manila, achieved a net income of approximately P80 million ($1.81 million) for the first quarter of 2015, a reversal of the P2 million ($45,167.12) for the first quarter of 2014.
City of Dreams Manila had a grand opening February 2, 2015, after the soft opening of its mass market gaming floor, hotels, and restaurant outlets on December 14, 2014.
In a disclosure to the stock exchange, Belle said its net income from the previous quarter reached P378 million ($8.54 million) from P310 million ($7.01 million) achieved in the same period in 2014.
Total revenues for first quarter 2015 more than doubled to P1.34 billion ($30.28 million) versus first quarter 2014 revenues of P558 million ($12.60 million).
Income from operations increased by 88% to P738 million ($16.67 million) compared to the first quarter 2014 level of P393 million ($8.88 million).
VIP gaming market
Belle Vice Chairman Willy N. Ocier said in an interview at the sidelines of the company’s annual stockholders meeting that the City of Dreams Manila is slowly ramping up its VIP gaming market.
Ocier added the company remains focused on improving the operation of City of Dreams Manila and does not have plans of venturing outside the Philippines.
“We’re not looking outside. Right now City of Dreams Manila is our main focus and will concentrate there,” Ocier said.
Belle Chief Finance Officer Manuel Gana said there are still a lot of opportunities in Philippines.
“If we were to expand beyond City of Dreams Manila, our first priority will be Metro Manila and then other parts of the Philippines,” Gana said.
Gana added that the market here is pretty fertile and the company is not in a hurry to venture abroad for expansion. – Rappler.com
$1 = P44.28