Bloomberry incurs P8.3-billion loss as casino sales fall 62%

Bloomberry Resorts Corp., the owner and operator of Solaire Resort & Casino in Paranaque City, said Monday it incurred a net loss of P8.3 billion in 2020, a turnaround from the P9.9-billion net income it posted in 2019 as gaming operations were severely impacted by the pandemic.

Bloomberry said in a disclosure to the stock exchange total gross gaming revenue at Solaire declined 62 percent last year to P22.6 billion from P59.8 billion in 2019.

Solaire’s casino and hotel operations were temporary suspended between March 16, 2020 and June 15, 2020. The company said that since mid-June, Solaire was operating at limited capacity across its gaming, hotel, F&B and retail businesses and was catering to long-stay hotel guests and select invitees.

Casino operations under Jeju Sun in South Korea were closed on March 21, 2020.

“I am encouraged by our performance in the final quarter of 2020, particularly as we saw domestic mass gaming revenues increase by 75 percent compared to the previous quarter and EBITDA [earnings before interest, taxes, depreciation and amortization] hitting positive territory,” Bloomberry chairman and chief executive Enrique Razon Jr. said.

“Our recovery is well underway. We look forward to a more meaningful improvement in 2021 should we see further easing of domestic quarantine restrictions and the eventual resumption of travel and tourism across our key markets,” Razon said.

Consolidated non-gaming revenues reached P3.7 billion in 2020, down by 55 percent from P8.2 billion it generated in the previous year.

Bloomberry said total GGR at Solaire reached P5.3 billion in the fourth quarter, a 63-percent decline from P14.5 billion a year earlier. It said, however, that GGR recorded a 22-percent improvement from P4.4 billion in the third quarter as domestic patron confidence improved and quarantine restrictions were mildly eased in October.

Consolidated non-gaming revenue amounted to P761.3 million in the fourth quarter, down by 65 percent from the same quarter in 2019.

Bloomberry’s lenders agreed in December to amend the P73.5-billion syndicated loan facility to extend an additional facility in the principal amount of P20 billion which would be available for drawdown for two years from the date of signing.

The company’s lenders also granted the deferment of covenant testing for both the amended P73.5-billion and P40-billion syndicated loan facilities until June 30, 2023.

Topics: Bloomberry Resorts Corp. , Solaire Resort & Casino , COVID-19 pandemic
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