Razon’s Solaire operator swings to P2.5-B loss on limited activity

RAZON-LED Bloomberry Resorts Corp. posted a net loss of P2.5 billion in the third quarter, reversing net profits of P3.9 billion a year ago, as the operations of Solaire Resort & Casino remain limited due to coronavirus-related restrictions.

In a disclosure to the exchange on Tuesday, the company said it booked a consolidated net revenue of P3.2 billion in July-to-September, down 76% from the same period last year.

Gross gaming revenues at Solaire, which represent the bulk of Bloomberry’s top line, plunged 74% to P4.4 billion.

The company said Solaire’s casino facility is still on a limited dry-run since mid-June, accommodating only long-stay and select invited guests. Its Jeju Sun Hotel & Casino in Korea likewise remains closed to date, following the suspension of gaming activities on Mar. 21.

“Our third quarter results reflect the difficult business environment brought about by the pandemic, which has negatively impacted international travel and overall demand for leisure and gaming entertainment services,” Bloomberry Chairman and CEO K. Razon, Jr. said in a statement.

“In the near term, we hope to see a recovery as domestic quarantine restrictions are eased further,” he added.

On a nine-month basis, Bloomberry’s net loss stood at P5.9 billion, a turnaround of last year’s net profit of P8.6 billion. Net revenues slumped 62% to P13.6 billion, as gross gaming revenues at Solaire dropped 62% to P17.3 billion.

“Despite the challenges we face, Bloomberry remains committed to ensuring the health and safety of our team members and guests,” Mr. Razon said. The company has invested more than P300 million to equip Solaire with sanitation tools and to regularly test its team members for the coronavirus.

“With these investments…, we hope to maintain our market leadership as well as become the tourism industry’s gold standard of hygiene and sanitation,” Mr. Razon added.

Bloomberry shares increased 56 centavos or 6.97% to P8.60 each on Tuesday. — Denise A. Valdez

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes:

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>