SOLAIRE integrated resort owner and operator Bloomberry Resorts Corp. incurred a net loss of P3.37 billion last year as financial hemorrhage from its start-up Korean business and a sharp increase in domestic expenses that outpaced the growth in gaming business.
This was a turnaround from the P4.07 billion net profit reported in the previous year, Bloomberry reported to the Philippine Stock Exchange on Friday. This included a P998-million loss from its Korean operations alongside large increases in depreciation and amortization from Sky Tower as well as higher interest expenses from additional loan drawdowns made during the year.
Bloomberry chair and chief executive officer Enrique Razon Jr. said: “During the year in review, we accomplished much, refurbishment and subsequent re-opening of our first overseas property and the start-up of our first Philippine expansion, the Sky Tower. These projects may have taken a toll on earnings, but were nevertheless essential to ensure continued growth for the company. As shown by the steady increase in gaming revenues, we are confident that these projects will soon add to our revenue stream.”
Gross gaming revenues and non-gaming revenues for the year hit all-time highs of P32.46 billion and P1.89 billion, respectively, respectively rising by 5 percent and 49 percent. The substantial increase in non-gaming revenues came from the full-year impact of the Sky Tower opening as well as the first time consolidation of the Korea operations.