TRAVELLERS International Hotel Group Inc., owner and operator of integrated entertainment complex Resorts World Manila, more than doubled its net income last year on the back of strong growth in its gaming and hotel revenues.
In a statement, the company said it booked P5.44 billion net income in 2014 against the P2.73 billion recorded a year earlier.
Operating revenue fell to P28.37 billion in 2014 from P30 billion previously, although this was offset by reduced operating expenses, which decreased to P25.16 billion from P28.76 billion in 2013. The operating expenses included the P5.9 billion it spent last year for Phase 2 and 3 of Resorts World Manila.
Its net cash stood at P4.4 billion as of the end of last year.
“Creating shareholder value was our main objective for 2014, which we achieved through quality earnings and operating efficiencies,” said Travellers president Kingson Sian.
The company said performance growth was observed across all segments except in the VIP segment, that is why the firm is being “more prudent” in that area.
Travellers’ blended win rate recovered and improved in the second half as the number of gaming tables was at 291, slot machines at 1,837, and ETG machines at 210.
The occupancy rates of Resorts World Manila’s three hotels went up to 89 percent from 71 percent in 2013. Revenues from hotel, food, beverage and others reached P3.19 billion, riding on the flow of gamers, tourists and patrons of the entertainment complex.
Other launches in the pipeline include the Marriott Grand Ballroom, slated for opening in July this year, additional rooms for the Mariott West Wing by end-2015, as well as the Phase 3 complex which will be scheduled for turnover by the end of 2017.
“Travellers is confident in its ability to deliver sustainable growth, and shall continue to focus on delivering quality earnings to its shareholders,” Sian said.
In September last year, the company subscribed to a 95-percent stake in Resorts World Bayshore City Inc., which will develop the 31-hectare Resorts World Bayshore at the Pagcor Entertainment City in Pasig City along with the other three entertainment complexes in the area.
Resorts World Bayshore began construction in December last year and is set to open by the fourth quarter of 2018.
Incorporated in 2009, Travellers International is primarily engaged in hotels, restaurants, leisure parks, entertainment centers and other related businesses like holding investments in casinos and other gaming activities.
The first complex to start operations at the Entertainment City was Solaire Resort & Casino of Bloomberry Resorts Corp. which opened in March last year, while City of Dreams Manila of Melco Crown (Philippines) Resorts Corp., Premium Leisure Corp. and Belle Corp was launched just last February.
The other complex rising in the area is The Manila Bay Resorts of Tiger Resorts and Entertainment Inc. (a subsidiary of Japan-based Universal Entertainment Corp.).