Belle’s mid-year 2017 net profit up by 93%

Belle Corporation realized consolidated net income of R1.77 billion for the six months ended June 30, 2017, which is 93 percent above its consolidated net income of R917 million for the six months ended June 30, 2016.

In a statement, Bell said that excluding capital gains on sales of non-core investments of R139 million in 2017 and R4 million in 2016, its recurring net income of R1.66 billion for the first half of 2017 was higher by 82% over recurring net income of R913 million for the first half of 2016.

It added that its operating growth was fueled primarily by growth in its revenues from City of Dreams Manila. Its share in the gaming income of City of Dreams Manila, through its 78.7 percentowned subsidiary, Premium Leisure Corporation (PLC), more than doubled to R1.46 billion for the first half of 2017, from R702 million for the first half of 2016.

This was attributable to the continued growth of gaming operations at City of Dreams Manila. PLC has an operating agreement with the Philippine affiliate of Melco Resorts and Entertainment Limited (Melco) that accords PLC a share of gaming revenues or earnings at City of Dreams Manila.

Belle also realized increased revenues from its real estate businesses. Total real estaterelated revenues increased by 10 percent, from R1.45 billion for the first half of 2016 to R1.60 billion for the first half of 2017.

Of its first quarter 2017 real estate-related revenues, R1.12 billion was derived from Belle’s lease of the land and buildings comprising City of Dreams Manila to Melco, with the balance of R478 million coming from sales of real estate products and property management activities at its Tagaytay Highlands and Midlands residential and leisure complexes south of Metro Manila.

Belle’s principal assets include land and buildings located at Pagcor Entertainment City in Paranaque City, which are being leased on a long-term basis to Melco. Most of this property is the site of the City of Dreams Manila gaming and resort operations, which encompasses 6.2 hectares of land and more than 30 hectares in building gross floor area. Belle also realizes a share in earnings from City of Dreams’ gaming operations through its 78.7 percentowned subsidiary, PLC.

City of Dreams Manila includes approximately two hectares of gaming space, more than 900 hotel rooms operated under three hotel brands (namely Crown, Hyatt and Nobu), the DreamPlay indoor family amusement park, and approximately two hectares of restaurant and retail space. Belle also owns approximately one hectare of presently undeveloped land across the City of Dreams Manila site.