Tycoon Enrique Razon Jr.’s Bloomberry Resorts Corp. saw profits during the first quarter drop 11 percent amid lower gaming revenues in the VIP and mass segments and a sharp increase in costs ahead of the opening of a new casino Quezon City.
Bloomberry, the operator of Solaire Resort Entertainment City and Jeju Sun Hotel & Casino, said in a stock exchange filing on Tuesday that net income during the period slumped to P2.6 billion from P3 billion last year.
Despite the drop in VIP and mass gaming, Bloomberry observed strong slot machine revenues, which grew 24 percent to P5.9 billion during the first quarter.
Razon, the chair and CEO of Bloomberry, said this was a segment that would continue to rapidly expand with the opening of Solaire Resort North.
“This strong local demand heightens our anticipation for our second property, which will open on May 25,” Razon said.
“By increasing our mass table offerings and effectively doubling our slot machine capacity, Solaire Resort North will put Bloomberry in a prime position to gain market share,” he added.
Meanwhile, non-gaming revenues grew 4 percent to P2.2 billion while expenses rose 5 percent to P7.6 billion.
Last April, Bloomberry’s subsidiary, Sureste Properties Inc., acquired 921.2 million Bloomberry shares worth P1.68 billion to settle a decade-old dispute with its former manager. The company said the balance sheet impact will be reflected in its second quarter results.
