BELLE Corp., a company led by the Sy family and which owns half of the City of Dreams Manila casino, said its income continued its slide during the first half of the year.
The company said in its report it had P825.2 million in net income for the period, or just half of last year’s P1.66 billion as a result of P1.2 billion in reversal provisions for the probable losses of its unit Premium Leisure.
“The company’s growth was attributable to higher revenue from its lease of the City of Dreams Manila property to Philippine entities controlled by Melco Crown Entertainment Ltd.,” the company said.
Excluding nonrecurring items, its income would have been at P425.4 million, higher than last year’s P411.1 million.
Nonrecurring items last year amounted to about P1.25 billion, comprised of P30.7 million in after tax gains on the redemption of SM Investments Corp.’s retail bond and a P1.22-billion reversal of investment loss reserves by Premium Leisure Corp., the company subsidiary.
Operating revenues reached P2.8 billion from last year’s P1.1 billion.
Total revenues for the period was at P2.75 billion or more than double the P1.68 billion last year.
Belle said the increase was a result of the consolidation of the income of Pacific Online Systems Corp., which has revenues comprised of equipment lease rentals, instant scratch ticket sales and commission income.
For the period, it also had higher sales of real estate and club shares and also higher income of Premium Leisure from the City of Dreams Manila amounting to about P360.7 million.
Belle earlier said it is spending some P3 billion to P4 billion in capital expenditures for the year.
Willy Ocier, the company vice chairman, earlier said Belle is planning to spend the amount to complete some of its developments in Tagaytay.
Ocier said it will complete the last phase of its Lakeside Fairways and its 27-hole golf course in Tagaytay Midlands in Batangas.
Last year the company spent P2.78 billion, most of which was also spent on property development.
Belle said it is now on its seventh phase of Lakeside Fairways apart from the nine holes of Tagaytay Midland golf course. Both projects are expected to attain 100-percent completion in 2015, he said.