HIGH-END real estate and gaming firm Belle Corp. said operating revenues in the first half of the year more than doubled to P2.8 billion from P1.1 billion a year ago, but non-recurring items weighed on its bottom line.
The company said net income shrank to P836 million in the first half from P1.7 billion a year ago due to a “P1.2 billion reversal of provisions for probable losses by its Premium Leisure Corp. (PLC) subsidiary in 2014.”
“Excluding this non-recurring item, Belle’s underlying net income increased by approximately P394 million (89 percent) during the first half of the year,” it said in disclosure posted on the Philippine Stock Exchange website.
As a result of the strong operations and financial position, the company’s board of directors approved the declaration of cash dividend of P0.095 per share, for a total dividend payment of approximately P1.0 billion, payable on August 28 to shareholders on record as of August 14.
The company said the more than 250 percent growth in operating revenue in the first half was largely contributed by its lease of the City of Dreams Manila,
“The company’s operating growth in 2015 was attributable to higher revenue from its lease of the City of Dreams Manila property to Philippine entities controlled by Melco Crown Entertainment Ltd. (MCE), higher income from sales of real estate and increased income from its listed subsidiaries – PLC and Pacific Online Systems Corp.,” Belle Corp. said.
“PLC’s operations during the first half of 2015 were highlighted by the grand opening of City of Dreams Manila on February 2, 2015. PLC has an operating agreement with MCE that accords it a share of gaming revenues or earnings at City of Dreams Manila,” it added.
Belle is a property developer that targets the leisure market. Its principal assets include land and buildings located at Pagcor Entertainment City in Paranaque City, which are being leased on a long-term basis to MCE. It also owns significant real estate assets in and around Tagaytay City.