LRWC nets P1.03 last year
April 21, 2016
By Iris Gonzales/ The Philippine Star
MANILA, Philippines – Leisure and Resorts World Corp. (LRWC) reported a consolidated net income of P1.03 billion last year, up 37 percent year on year.
For the fourth quarter, net earnings went up by only three percent to P229 million due to the continued downward trend in the gaming sector.
The retail division, which comprises AB Leisure Exponent and Total Game Zone Xtreme, booked a net income of P256 million, 30 percent higher than the previous year.
AB Leisure manages bingo outlets while Total Game Zone manages eCasino outlets.
By the end of 2015, AB Leisure had over 8,500 electronic bingo machines across the country while Total Game Zone had in excess of 1,900 eCasino terminals installed.
On the other hand, the casino division contributed P85 million last year, down from P108 million in 2014.
The casino division includes Prime Investment Korean Inc., which is authorized to engage in junket operations including operations of junket tables at Midas Hotel and Casino.
The company’s online division, meanwhile, registered a 19 percent growth in net income to P516 million last year.
This includes First Cagayan Leisure and Resorts Corp (First Cagayan), the master licensor for online gaming in the Cagayan Freeport and Special Economic Zone, and First Cagayan Converge Data Center), which provides bandwidth, co-location, telecommunication and other IT managed services to online gaming operators.
First Cagayan contributed bulk of the revenues with net earnings growing 23 percent to P442 million.
The property and investments division, meanwhile, contributed P353 million to net earnings.
The division includes AB Leisure Global Inc., which has a 30 percent economic benefit in the City of Dreams, Manila (COD).
AB Global’s 2015 net income amounted to P142 million, which includes LRWC’S 30 percent share of the net lease payments to Belle Corporation from COD as well as a share in the gaming revenues remittance from COD to Premium Leisure and Amusement, Inc. (PLAI).
Another property is LR Land Developers, Inc. (LRLDI) which leases land and a Cyberpark building to online gaming operators in Sta. Ana, Cagayan.
LR Land brought in P77 million for 2015.
LR land, a 100 percent owned company of LRWC, has a 50 percent equity in TechZone Philippines, Inc., (TPI) the joint venture company with Total Consolidated Asset and Management, Inc.
TPI’s contribution was P134 million for 2015.
Category: In The News