BELLE Corp., the recorded operator of City of Dreams Manila, shrunk to a loss in the third quarter due to the continued impact of low tourist arrivals along with the ban on gambling operations because of the coronavirus pandemic.
On Thursday, the listed company reported that it booked an estimated net loss of P45.91 million over the three months to September, a turnaround of last year’s ranged net gain of P513.51 million.
Its total earnings dropped 43 percent to P905.05 million, as gambling revenues slumped 85% to P76.89 million.
Belle’s attributable net revenue is down 90% to P236.11 million on a year-to-date basis, while its revenues were halved to P2.91 billion.
Its consolidated recurring online earnings, which excludes extraordinary and one-time items, fell 75% to P680.3 million.
“The decreases in revenues and profits resulted primarily from COVID-19 (coronavirus disease 2019) related improvements,” the company stated in a regulatory filing.
Even before the lockdowns, Belle said it had witnessed falling tourist arrivals hitting its operations. The blow sunk deeper as soon as the authorities enforced a ban on casino operations from mid-March, compelling the organization to suspend gaming in City of Dreams Manila.
Gaming revenues from the integrated hotel and casino — which is the main growth driver of Belle — dropped 86% to P324.8 million during the nine months.
Besides the effect of City of American Dreams Manila, the coronavirus pandemic has weighed on Belle’s 50.1percent -owned Pacific Online Systems Corp., which leases online gaming gear to the Philippine Charity Sweepstakes Office. The business reported a 71% revenue decline to P221.3 million.
Revenues from property likewise slid 10% to P2.37 billion due to reduced sales from the business’s possessions in Tagaytay.