OPERATORS of integrated resorts and casinos along Entertainment City reported mixed results for the third quarter of 2018.
Bloomberry Resorts Corp. — the operator of Solaire Resort and Casino — saw a 39% drop in attributable profit to P1.13 billion in the third quarter of 2018, due to lower VIP hold rates alongside higher interest expenses.
Third quarter revenues were flat at P9.81 billion, up by two percent year-on-year. The gaming segment accounted for bulk of revenues at P9.05 billion, while the food and beverage unit generated P494.24 million.
Gross gaming revenues (GGR) rose by 1.9% to P11.71 billion, as VIP hold rate stood at 1.91%, lower than the 2.83% seen in the same period a year ago. With this, revenues from the VIP segment slipped by 26% to P3.98 billion. The mass table tempered this decrease, after booking a 37.8% revenue uptick to P4.14 billion.
Its operations in Korea through Jeju Sun and Hotel Casino meanwhile grew its GGR by 28.1% to P193.5 million due to “an increased level of play in the VIP segment as a result of the highly competitive marketing programs of Jeju Sun.
On a nine-month basis, Bloomberry’s attributable profit went up by 8.45% to P6.47 billion, after revenues improved by 14% to P31.91 billion.
Meanwhile, Melco Resorts and Entertainment (Philippines) Corp. (MRP) said net revenues went down by four percent to $141.7 million in the July to September period, versus $148.2 million recorded in the same period a year ago.
The operator of City of Dreams Manila said the decline was mostly due to a shift in accounting standards.
“The decrease in net revenue was primarily attributable to higher commissions reported as a reduction in revenue upon adoption of a new revenue recognition standard issued by the Financial Accounting Standards Board, partially offset by improved gross gaming revenues,” the company said.
Without the change in accounting standards, MRP said net revenues would have been at $167 million, around 13% higher from the same period a year ago.
Rolling chip volume reached $3 billion-unchanged from year-ago figures- with a win rate of 2.7%. Mass market table games generated $204.9 million, with a hold percentage of 32.4%. Meanwhile, gaming machine handle rose to $935 million, with a win rate of 5.3%, lower than 5.6% in the third quarter of 2017. — Arra B. Francia