Solaire Resort & Casino operator Bloomberry Resorts Corp. reported a 38% decline in first quarter earnings to P1.4 billion as the coronavirus forced the closure of in-person gambling in the entire island of Luzon in the middle of March.
Casinos have been forced to close in order to prevent the spread of the virus.
Total gross gaming revenues at Solaire fell 10% to P12.2 billion as VIP volume dropped by 19% to P150.8 billion. VIP GGR amounted to P4.7 billion, down 13% year on year.
Mass table drop and EGM coin-in at Solaire likewise declined by 15% and one percent to P9.7 billion and P54 billion, respectively.
Non-gaming revenue at Solaire decreased by 11% to P1.7 billion as hotel occupancy plummeted to 67.3% from 93.1% in the previous quarter and 87.8% in the same quarter last year.
“Our first quarter results have been significantly impacted by the COVID-19 pandemic. Global economic activity and tourism have drastically slowed while the Philippine Government’s Enhanced Community Quarantine has resulted in the temporary suspension of Solaire’s gaming operations.” said bilyonaryo Enrique K. Razon Jr., Bloomberry chair and CEO.
Meanwhile, Bloomberry’s casino venture in Korea – Jeju Sun – trimmed its net loss to P94 million from P224.3 million.
Razon is looking forward to restart the gaming segment soon after the lockdown is lifted.
We anticipate a slow recovery as our patrons, customers, and employees adjust to the “new normal.” For now, our team members are undergoing regular testing as part of a comprehensive plan to maintain safe working and recreational environments at Solaire,” Razon said.
He said Bloomberry’s strong cash position would allow it ride out the crisis. The company ended the first quarter with total cash of P37.8 billion.
As of March 31, Bloomberry had P2.4 billion in net receivables, 22% lower than at the beginning of the year due to significantly reduced credit issuances.