Bloomberry Resorts Corp. reported a sharp 58 percent drop in income for the first nine months of 2024, down to P3.5 billion from P8.3 billion last year. The steep decline was largely due to rising depreciation and interest expenses tied to the opening of Solaire Resort North in Quezon City.
Despite the income slump, the company saw a 6 percent increase in net revenue, which rose to P38.5 billion from P36.5 billion in the same period in 2023. Gross gaming revenue (GGR) showed a modest gain, reaching P45.5 billion, up from P44.5 billion last year.
Enrique K. Razon Jr., chairman and CEO, attributed the decline to higher operating costs associated with the new facility. “We started to see higher depreciation costs and interest expenses linked to the commencement of Solaire Resort North’s operations, resulting in a net loss for Q3 2024,” Razon said. The company reported a net loss of P470.2 million for Q3, a sharp turnaround from the P1.9 billion profit in the same quarter last year.
Nevertheless, Bloomberry remains optimistic about its future. The new property in Quezon City contributed to a 22 percent year-over-year increase in Philippine gaming revenues during Q3. Additionally, the company saw a strong 26 percent rise in net revenues for the quarter, reaching P13.8 billion, driven in part by the performance of Solaire North.
While the Entertainment City core faced weaker gaming volumes, the mass market segment at Solaire North proved resilient. Mass table games and electronic gaming machines (EGMs) increased by 37 percent and 15 percent, respectively, in Q3. However, results in Entertainment City showed a 5 pecent decline in GGR, with a notable drop in the VIP segment.
Non-gaming revenues were a bright spot, rising 22 percent to P2.7 billion for Q3. Bloomberry’s diversified approach, focusing on both gaming and non-gaming operations, will be crucial as the company navigates these ongoing challenges.
