Leisure & Resorts World posts P280-M profit

MANILA, Philippines - Hotel and recreation firm Leisure & Resorts World Corp. (LRWC) is back in the black, driven by its strong bingo gaming business.

In a regulatory filing, LRWC said its consolidated net income hit P280 million last year, turning around from a net loss of P36.37 million the previous year.

LRWC subsidiary AB Leisure Exponent Inc. (ABLE) posted a net income of P148 million, up 42 percent from P104.14 million in 2011, LRWC said.

ABLE is into professional bingo gaming through Bingo Bonanza Corp. As of end-2011, ABLE and its subsidiaries operated a total of 60 bingo parlors located in major shopping malls in Metro Manila and in key provincial cities.

Another subsidiary, First Cagayan Leisure and Resorts Corp., grew its earnings nearly 70 percent to P154 million.

First Cagayan has an existing license agreement with the Cagayan Economic Zone Authority to develop, operate and conduct Internet and gaming enterprises and facilities in the Cagayan Special Economic Zone.

LRWC also benefited from new businesses in its portfolio.

For instance, the LRWC-managed Midas Hotel and Casino recorded a 39-percent jump in hotel room revenues in December 2012 compared with the previous month.

“The December net win for the slot machines and table games were over 70 percent above November revenues,” LRWC said, adding that these net win figures were the highest since the opening of the casino in May 2012.

Meanwhile, the board of directors of LRWC approved the investment in Techzone Philippines through its subsidiary LR Land Developers Inc.

“Techzone is constructing a modernized and state-of-the-art business process outsourcing building facility in Makati City,” LRWC said.

The Techzone project will have 75,000 square meters (sqm) of gross floor area. Of the total area, 42,000 sqm will be allotted for commercial office space.

In January, LRWC announced a 200-million stock dividend and a plan to raise P1.75 billion through preferred shares.