Manila’s status at the lowest possible covid alertness level is a change from the previous year when the business was battered by shifting quarantine classifications.
Along with the rise in revenue, operating expenses also grew – with costs rising 74% from P3.5bn to P6.2bn due to higher gaming taxes and costs of sales accompanying the increase in business activity at the company’s flagship property Solitaire.
Quarterly EBITDA also increased a healthy 277% year-on-year from PHP1bn to PHP3.9bn. Net income stands at PHP1.8bn, reversing the business’s PHP1.2bn net loss from the same period last year.
While the recovery of Solaire continues apace, the business’ Korean holdings at Jeju Sun Hotel & Casino on Jeju island remained closed for the period and subsequently reported zero revenue.
Gaming operations at the casino have not resumed since the resort initially shut down in March 2020 due to the worldwide Covid pandemic. As a result, Solaire is now the sole source of revenue for the operator.
Revenue at the resort for VIP, mass table and electronic gaming machines (EGM) were PHP4.4bn, PHP4.1bn and PHP4.6bn respectively. VIP revenue was almost four times the total recorded in Q2 of 2021, while mass table game revenue was up 45%, and gaming machines 175%.
Domestic recovery
Enrique K Razon Jr, Bloomberry chairman and CEO said that the recovery was principally due to strong domestic demand: “Our performance in the second quarter indicates a sustained recovery in all segments of our Philippine operations,” he said.
“Strong demand from the domestic mass market is pushing revenues closer to pre-pandemic levels and spurring the continued improvement of EBITDA and net income.”
For further recovery, the chairman pointed to the potential revival of regional travel as a key vector to watch.
“Absent the emergence of new Covid variants that could disrupt our gains, we see scope for further recovery as regional travel starts to pick up in the coming months.
“In the meantime, we will grow our market leadership by continuing to operate Solitaire at the highest levels of service and health security.”
Last year, in addition to the previous years difficult Covid environment, Bloomberry were additionally ordered to pay $296.6m to casino management company Global Gaming Asset Management (GGAM) by the Singapore Court of Appeals due to what was deemed the illegal termination of GGAM’s contract.
Original article: https://igamingbusiness.com/finance/bloomberry-revenue-soars-in-h1-as-covid-19-measures-retreat/
