Solaire operator's 2024 profits slide on higher depreciation, interest expenses

Bloomberry Resorts Corp., the owner and operator of Solaire Resort & Casino, reported Tuesday a decline in its consolidated net income for 2024, on the back of higher depreciation and interest expenses during the year.

In a regulatory filing, Bloomberry said its consolidated net income fell to P2.6 billion from P9.5 billion in 2023, even as its gross gaming revenue (GGR) increased by 6% to P61.7 billion from P58.3 billion.

"The decline was a result of significantly higher depreciation and interest expense associated with Solaire Resort North, as well as a one-off GRT (gross receipts tax) charge," the filing read.

The company reported a P706.3-million one-off GRT charge in 2024, relating to the P72.0-billion syndicated refinancing facility.

For the fourth quarter alone, Bloombery posted a P920.2-million net loss, down from the P1.3-billion net income in the same quarter in 2023. The group's GGR for the quarter was up 17% to P16.2 billion.

"In 2024 we reported topline growth despite a challenging operating environment in Metro Manila. The newly opened Solaire Resort North contributed to our GGR strength as it vastly expanded our presence in the mass market segment," Bloomberry chairman and chief executive officer Enrique Razon Jr. said.

"Solaire North continues to gain traction in daily foot traffic and revenue. We believe that our second property's exceptional world-class offerings are well-suited for the demand environment in the northern portions of the Greater Manila Area and gives us a distinct advantage over the competition within the Integrated Resort space," he added.

Solaire North, which opened last May generated P8.4 billion in GGR in its first 221 days of operations. Non-gaming revenues stood at P1.9 billion. — VDV, GMA Integrated News