LRWC 2021 Year-end Results: EBITDA loss narrowed vs Year 2020
June 2, 2022
Leisure & Resorts World Corporation (LRWC), publicly listed in PSE as LR, 2021 year-end EBITDA loss sees a slight improvement of 16% as compared to the previous year.
Due to the pandemic, LRWC 2020 year-ending EBITDA was at a loss of Php96 million while 2021 year-ending EBITDA was at a loss of Php81 million. The improvement in 2021 EBITDA was due to expenses reduction being higher than decrease in revenues.
Revenue decreased by 22% from Php2.81 billion as compared to 2020’s Php3.58 billion. This was mainly because of decline in traditional bingo revenue and Cagayan Group’s hosting and licensing fees. On the other hand, decrease in total costs and operating expenses are also being observed. From 2020’s Php4.21 billion to 2021’s Php3.24 billion, a decrease of approximately 23% amounting to Php975 million was seen.
Overall, the Company’s efforts and strategic planning are evident as its net loss for the year decreased from 2020’s Php1.34 billion to 2021’s Php895 million, an improvement of 33%.
As the market recovers gradually from the pandemic, the Company is also making rigorous efforts to break through the challenges. With the launching of the Company’s newest product, BingoPlus, LRWC is positive for a better financial outlook in 2022.
BingoPlus has been giving away millions of prizes since its soft launch just 5 months ago. As of this May 30, LRWC has awarded a total of 96 bingo winners and 14 jackpot winners for a total of P161 million accumulated cash prizes. The journey has just begun and there are more in store.
Caution regarding forward-looking statements
The forward-looking statements in this press release are based on the beliefs of the management as well as assumptions made by and information currently available to the management. Our actual results, performance or achievements may differ materially from those expressed or implied by these forward-looking statements. In some cases, you can identify forward-looking statements by the use of words such as “may,” “could,” “expect,” “intend,” “plan,” “seek,” “anticipate,” “believe,” “estimate,” “predict,” “potential,” “continue,” “likely,” “will,” “would” and variations of these terms and similar expressions, or the negative of these terms or similar expressions. Such forward-looking statements are necessarily based upon estimates and assumptions that, while considered reasonable by us and our management, are inherently uncertain. Factors that may cause actual results to differ materially from current expectations include, among others, the rate and pace of economic recovery following economic downturns, levels of spending in business and leisure segments as well as consumer confidence. We caution you not to place undue reliance on any forward-looking statements, which are made as of the date of this press release. We undertake no obligation to update publicly any of these forward-looking statements to reflect actual results, new information or future events, changes in assumptions or changes in other factors affecting forward-looking statements, except to the extent required by applicable laws. If we update one or more forward-looking statements, no inference should be drawn that we will make additional updates with respect to those or other forward-looking statements.