Resorts World Manila operator's profit plunges 59 pct
MANILA, Philippines - Resorts World Manila's operator Travellers International Hotel Group said its net profit plunged to P2.74 billion in 2013, as it booked P2 billion in foreign exchange losses.
In a statement, Travellers, a joint venture of Andrew Tan's Alliance Global and Genting Hong Kong, said it had booked P2.03 billion finance costs, including marked-to-market losses on foreign exchange related to its $300 million bond.
Full-year net revenues went up 5% to P30.84 billion in 2013, while EBITDA fell 27% to P6.71 billion.
"Travellers experienced another quarter of low VIP hold which dragged revenue and EBITDA during the fourth quarter. VIP volume showed strong growth year-on-year while mass volume held steady that period," it said.
The company said gross gaming revenues rose 7% to P30 billion, while revenues from hotel, food, beverage and others jumped 17% to P2.5 billion.
On the other hand, direct costs related to gaming, hotel, food and beverage, jumped 20% to P12.1 billion, while general and administrative expenses went up 19% to P14.12 billion.
Last November, Travellers conducted its IPO, raising funds for its projects.
"The success of the IPO demonstrates the global investment community's belief in Philippine tourism and entertainment sector, and in particular, Travellers, as the vehicle to take on the strong macroeconomic growth potential of the Philippiens," TIHGI president Kingson Sian said.