Resorts World Manila operator swings to profit

THE owner and operator of Resorts World Manila (RWM) swung to profitability in the third quarter of 2018, as revenues from both the gaming and non-gaming segments improved.

In a regulatory filing, Travellers International Hotel Group, Inc. (TIHGI) generated an attributable profit of P134.25 million, versus an attributable loss of P408.9 million in the same period a year ago.

Gross revenues improved to P5.93 billion, 32% higher year-on-year.

The profit loss last year was due to the casino shooting in June 2017 within the RWM complex that left 38 people dead, including the gunman. This incident prompted the closure of the property’s casino area for 27 days.

For the nine months ending September, TIHGI’s net income attributable to the parent reached P1.82 billion, versus an attributable loss of P34.13 million, while gross revenues gained 8% to P16.99 billion.

Gross gaming revenues from January to September this year climbed 7.5% to P13.8 billion. Revenues from the non-gaming segment also added 11.3% to P3.2 billion.

TIHGI said that visitors to the RWM complex averaged at 27,500 a day in the third quarter, while the average occupancy rate inside its three hotels, namely Marriott Hotel Manila, Maxims Hotel, and Holiday Inn Express Manila Newport City, was at 79%.

The company opened the fourth hotel, the Hilton Manila, inside the complex last October, which it expects would further attract customers into the area.

“We will continue to invest in the property to be able to provide thrilling and unique experiences for our customers. We are in full swing working to complete our Phase 3 development called the Grand Wing,” TIHGI President and Chief Executive Officer Kingson Sian said in a statement.

Hilton Manila is one of three international luxury hotels included in the development of the Grand Wing, the others being Sheraton Manila Hotel and Hotel Okura Manila. This will add around 940 rooms into the RWM complex, as well as new gaming, entertainment, retail spaces, and six basement parking decks.

Shares in TIHGI closed flat at P5.14 each at the stock exchange on Tuesday. —