On January 3, 2022, Metro Manila was placed under General Community Quarantine (GCQ) Alert Level 3 as new COVID-19 cases surged due to the highly contagious Omicron variant. Restrictions were eased to GCQ Alert Levels 2 and 1 on February 1, 2022 and March 1, 2022, respectively. In the first quarter of 2022, Solaire’s gaming segments operated at capacities consistent with guidelines set forth by PAGCOR and the Inter-Agency Task Force for the Management of Emerging Infectious Diseases (IATF).

Total GGR at Solaire was P8.9 billion, representing an increase of 30% from P6.9 billion in the first quarter of 2021. GGR growth was supported by much improved domestic patron confidence driven by the high nationwide vaccination rate and the easing of COVID-19 restrictions throughout the quarter. Compared to the fourth quarter of 2021, GGR at Solaire improved by 12%.

Solaire’s VIP, mass table, and EGM GGR in the first quarter were P2.6 billion, P3.8 billion, and P2.4 billion, representing year-over-year increases of 36%, 53%, and 1%, respectively. Year-over-year growth in mass tables GGR was driven by a high hold rate while drop was slightly lower. On a sequential basis, VIP and mass tables recorded increases of 60% and 19%, respectively. EGM GGR declined by 21% sequentially.

Solaire Korea’s Jeju Sun reported nil gaming revenue in the first quarter as operations at the property have been suspended since March 21, 2020.

Consolidated contra revenue accounts in the first quarter increased by 18% year-over-year to P2.1 billion. This represents 24% of consolidated GGR compared to 23% in the previous quarter and 26% in the same quarter last year.

Consolidated net gaming revenue for the first quarter reached P6.3 billion, representing an increase of 11% from the previous quarter and 35% year-over-year.

Non-gaming Revenues

During the quarter, Solaire’s hotel, F&B and retail segments operated at capacities allowed by the IATF.

The Company reported consolidated non-gaming revenue of P927.8 million for the quarter, representing an increase of 6% from the P872.9 million generated in the same quarter last year. Consolidated non-gaming revenue was lower by 6% compared to the fourth quarter of 2021.

At Solaire, non-gaming revenue for the first quarter was P926.6 million, representing an increase of 6% from the same quarter last year. Hotel occupancy was 24.1%, compared to 22.2% in the previous quarter and 21.5% in the first quarter of 2021.

At Solaire Korea, non-gaming revenue was P1.2 million, representing an increase of 61% year-over year.

Net Revenues

Bloomberry’s consolidated net revenue in the first quarter was P7.2 billion, representing an increase of 30% from P5.5 billion in the same period last year. Consolidated net revenue increased by 9% compared to the fourth quarter of 2021.

Expenses

First quarter consolidated cash operating expenses reached P4.3 billion, higher by 11% compared to P3.9 billion in the same quarter last year. The increase in cash operating expense was due to higher gaming taxes and cost of sales consistent with the improved level of business activity at Solaire. Consolidated cash operating expenses were lower by 4% compared to the previous quarter

EBITDA (LBITDA), Net Profit (Loss) and Earnings Per Share

The Company’s first quarter consolidated EBITDA was P2.9 billion, representing an increase of 100% from P1.4 billion in the same quarter last year. Solaire contributed P2.9 billion to consolidated EBITDA, which was off-set by the P56.3 million LBITDA recorded at Solaire Korea. Consolidated EBITDA was 54% higher than the P1.9 billion recorded in the fourth quarter of 2021.

On a hold-normalized basis, Bloomberry’s consolidated EBITDA for the first quarter was P2.3 billion, P526.8 million lower than the reported consolidated EBITDA of P2.9 billion. Hold-normalized EBITDA in the first quarter would have increased by 96% year-over-year.

The Company reported consolidated net income of P679.4 million for the first quarter, reversing from net loss of P780.8 million in the same quarter last year and net loss of P1.3 billion in the previous quarter.

Bloomberry reported Basic Earnings per Share (EPS) gain of P0.063, which compares to EPS loss of P0.070 in the first quarter of 2021.

Balance Sheet and Other Items

As of March 31, 2022, Bloomberry had a consolidated cash and cash equivalents balance of P25.8 billion. Total outstanding long-term debt was P75.3 billion, which represents the balance of the current and non-current portions of the amended P73.5 billion and P40.0 billion Syndicated Loan Facilities. Total equity attributable to equity holders of the parent company was P28.7 billion.

As of March 31, 2022, the Company has drawn P6.5 billion from the P20 billion additional facility and P5.0 billion from the P40 billion Syndicated Loan Facility, unchanged from the end of the prior year.

Recall that in December 2020 the lenders of Bloomberry’s subsidiaries Sureste Properties, Inc. and Bloomberry Resorts and Hotels, Inc. granted, among other requests, the deferment of financial covenant testing up to June 30, 2023 and the waiver on the negative covenant on the incurrence of additional liens.

As of March 31, 2022, Bloomberry had P1.1 billion in net receivables, 10% lower than at the beginning of the year due to a decline in gaming receivables. The Company made P26.6 million of additional provisions for bad debt in the first quarter, representing 1% of gross receivables.

About Bloomberry Resorts Corporation

Bloomberry Resorts Corporation (PSE: BLOOM) is a public company listed on the Philippine Stock Exchange that develops destination resorts featuring premium accommodations, gaming and entertainment, and world-class restaurants and other amenities. Bloomberry Resorts Corporation’s subsidiaries own and operate the Solaire Resort & Casino (Solaire) in the Philippines and Jeju Sun Hotel & Casino (Jeju Sun) in Korea. The company’s flagship property, Solaire Resort & Casino, is a USD $1.2 Billion integrated destination resort on an 8.3-hectare site in Manila, Philippines and the first to open in the PAGCOR-sponsored economic development zone known as Entertainment City.

For more information, please visit http://www.bloomberry.ph and https://www.solaireresort.com

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