City of Dreams Manila, an integrated casino resort launched in December 2014 in the Philippine capital, is expected to report a significant revenue growth this year as the complex seems to have started reaping the benefits from the gaming options offered at the venue during its first full year of operations, Willy Ocier, Vice Chairman of Belle Corporation told local media.
Belle Corporation is the Philippine partner of Melco Crown (Philippines) Resorts Corporation, known to be the actual owner of the luxury hotel and casino resort, which is the second one of its kind to open doors as part of the multi-billion-dollar Entertainment City project. Under the Philippine law, international gambling operators should work together with a local partner in order to be allowed to operate in the country.
Mr. Ocier said in an interview for local media that the prospects for the current calendar year for the country’s gambling sector are positive. He also pointed out that City of Dreams Manila would post a considerable growth, although he could not provide exact percentage, and he explained that this was to a great extent due to the fact that the complex is now fully operational.
The official further noted that management performance was also one of the reasons to contribute to the resort’s growth. In addition, the company has recently been able to control costs much more effectively, which, too, secured its positive results.
The Ninoy Aquino International Airport Expressway is expected to be completed in 2016 and this, too, is expected to boost City of Dreams Manila’s performance as well as that of Solaire Resort and Casino, the other integrated resort that has opened doors within Entertainment City. The expressway would provide a direct link from the airport to Entertainment City.
Melco Crown (Philippines) said that casino revenue from the complex was up 108% year-on-year during the first quarter of 2016 to reach PHP4.05 billion. In comparison, the amount of PHP1.5 billion was generated during the same period of the previous year.
Overall net operation revenue totaled PHP4.53 billion during the period in review, up from the PHP2.34 billion reported for the first quarter of 2015. Casino revenue accounted for 89% of the overall figure generated. Non-casino revenue amounted to PHP482 million.
Net loss for the period dropped to PHP1.13 billion as compared to PHP3.08 billion reported for the same three months of 2015.
The increase in total net operating revenue was contributed to ramped up operations since the resort’s launch in late 2014. As for the decrease in net loss, it was mainly due to the growth in revenue as well as to lower expenses, Melco Crown (Philippines) said.
