Bloomberry Resorts Corp. saw its earnings drop by 73 percent in 2024, falling to PHP2.6 billion ($46 million), as underwhelming performance at Solaire Resort Entertainment City (SEC) and higher costs associated with the newly opened Solaire North (SN) weighed on the company’s financial results.
According to Bloomberry’s financial report released on Thursday, the firm notes the decline was primarily attributed to significantly higher depreciation and interest expenses linked to Solaire North, along with a one-time gross gaming revenue (GGR) tax charge.
Bloomberry’s flagship property, Solaire Resort Entertainment City, experienced a 9 percent decline in GGR, dropping to PHP53.2 billion ($932 million) in 2024. As a result, EBITDA at the property fell by 17 percent to PHP17.2 billion ($301 million).
VIP rolling chip volume declined by 29 percent, leading to a 22 percent drop in VIP GGR to PHP15.2 billion ($266 million). Mass table drop decreased by 20 percent, while mass table GGR dipped by 3 percent to PHP17.6 billion ($308 million). Electronic gaming machine (EGM) coin-in remained stable at PHP356.4 billion ($6.25 billion), though EGM GGR slipped by 1 percent to PHP20.4 billion ($357 million).
Company-wide growth driven by Solaire North
Despite the overall earnings decline, Bloomberry recorded a 6 percent increase in company-wide GGR, reaching PHP61.7 billion ($1.08 billion), up from PHP58.3 billion ($1.02 billion) in 2023. This growth was largely driven by Solaire North, which contributed to the company’s revenue after 221 days of operations in its opening year.
The mass market segment remained the company’s strongest performer, with combined mass table games and electronic gaming machines across both properties posting a 19 percent increase, outperforming the VIP business.
Bloomberry’s consolidated net revenue reached PHP53.1 billion ($930 million), reflecting a 10 percent increase from 2023.
The $1 billion Solaire North, located in Quezon City, opened its doors on May 25th, 2024. The project generated PHP8.4 billion ($147 million) in GGR and PHP1.3 billion ($23 million) in EBITDA in 2024.
CEO’s perspective
Bloomberry Chairman and CEO Enrique K. Razon Jr. acknowledged the mixed performance, stating: “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. Our consolidated mass gaming revenue increased by 19 percent, significantly outperforming the VIP segment and pushing consolidated GGR growth to 6 percent. However, our EBITDA and profit for the year were lower as we recognized pre-operating, depreciation, and interest expenses for Solaire North while Solaire in Entertainment City grappled with VIP and premium mass market weakness.”
Looking ahead, Razon remains optimistic about its new property’s potential: “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.”
