Leisure & Resorts World Corp. (LRWC) on Tuesday said that its net income last year surged by more than a third despite a slowdown in the gaming sector.
In a disclosure to the Philippine Stock Exchange, LRWC said its net consolidated earnings in 2015 rose by 37 percent to P1.030 billion compared with the P750 million recorded the previous year.
Consolidated revenues last year, meanwhile, shot up by 40 percent to P9.5 billion from the P6.8 billion in 2014.
For the fourth quarter alone, the company saw its net profits increasing marginally by 3 percent to P229 million from the P223 million posted during the comparable period in 2014.
Earnings before interests, tax, depreciation and amortization (Ebitda) during the period likewise grew by 33 percent to P1.703 billion compared with the P1.279 Ebitda in 2014.
“Given this performance, the company is also confident in achieving similar growth rates for 2016. Its ongoing plans and continuing projects will continue to bear positive results going for 2016 and 2017,” LRWC told the PSE.
Leisure & Resorts World said that its four main business divisions, retail, online, casino, and property and investment performed better during the period in review.
The retail division’s net income went up by 30 percent to P256 million from the P198 billion earned in 2014, supported mainly by its bingo operations, which increased by 27 percent to P244 million versus the P193 million in 2014.
The firm’s eCasino outlets, still in the expansion and build-out stage, contributed P12 million to the consolidated net income.
The electronic bingo games (EBG) machines continued to drive the growth in its earnings. At present, Resorts World has more than 8,500 EBG machines installed all over the country from 7,000 last year.
LRWC’s casino division saw its earnings fall 21 percent to P85 million from 2014’s P108 million, with Prime Investment Korean Inc. (PIKI) earnings lower at P33 million from P44 million in 2014.
Hotel Enterprises Philippines Inc. brought in P38 million, lower by nearly half from P66 million contribution in 2014.
“In spite of the slowdown in the gaming sector, LRWC’s core businesses continue to show very robust growth and management believes in being able to continue this for the future,” the company said.
The firm’s property and investment division, meanwhile, generated P253 million in net income, more than three times than its P94 million contribution in 2014. This includes the 30 percent share of the net lease payments to Belle Corporation for City of Dreams Manila, which contributed P142 million in 2015.
Other sources of income from such division include LR Land bringing in P77 million and TechZone Philippines, contributing P134 million in the firm’s consolidated net income.