Philippines real estate firm Belle Corp saw a 12% decline in consolidated revenues to Php7.47 billion and 9% fall in net income to Php2.92 billion in 2019, hindered by challenges faced by its lottery and keno subsidiary Pacific Online Systems Corporation as well as a reduced share of gaming revenues from City of Dreams Manila.
Belle Corp pointed to Pacific Online as the primary reason for the results, where revenue fell 49% to Php990 million. Held 51% by Premium Leisure Corp, which in turn is 78.7% owned by Belle Corp, Pacific Online’s leasing of online betting equipment to the Philippine Charity Sweepstakes Office (PCSO) was negatively impacted by greater competition from the small-town lottery plus the temporary suspension of lottery and keno operations by the PCSO in 3Q19.
Belle Corp’s revenue share from its agreement with Melco Resorts & Entertainment fell 7% to Php2.98 billion, although much of the difference was recovered thanks to a 16% reduction in costs and expenses.
More positive were the company’s real estate operations, where revenue increased 11% to Php3.5 billion. The figure included Php2.67 billion from the leasing of the land and buildings that comprise City of Dreams Manila to Melco Resorts & Entertainment (Philippines), a 12% increase on 2018.
RelatedPosts
