Bloomberry Resorts Corp. released its financial figures for the first quarter on Wednesday. Blaming it on significantly low Forex gains, the company has posted a whopping 40 percent year-on-year dip in earnings for the first quarter. Bloomberry owns and operates the famous Solaire Resort & Casino.
The company’s revenues shrink from Pataca 3.69 billion for the first three months in 2018 to Pataca 2.2 billion this year. What also hurt the ’company’s earnings is a syndicated loan the company had secured in April 2018 to acquire a 16-hectare property in Parañaque – the interest did cut in the overall earnings for the first quarter.
In a statement to the press, the company said that “The proceeds of the syndicated loan were used to retire previous debt facilities and finance the acquisition of land from PAGCOR (Philippine Amusement and Gaming Corp.) where Solaire and its Phase 2 expansion area is located within Entertainment City.”
The company’s Solaire casino registered a one percent decline in Gross Gaming Revenue GGR which was recorded P P13.62 billion. There was a 16 percent dip in VIP revenues due to a slowdown in the Chinese economy. The table revenues were up by 23% to P3.997 billion, after the hold rate improved to 35.1% from 33.2% in the same period a year ago.
The gaming revenue and earnings have been on a decline in the region due to the slowdown in the Chinese economy, the effects of which can be seen in gambling hub Macau as well.
Earlier last week, the figures released by the Macau Gaming Inspection and Coordination Bureau, revealed that the year-on-year gross gaming revenue for the month of April fell by 8.3 percent to 23.5bn patacas ($2.9bn). It is by far the most significant revenue drop since June 2016 in Macau.