Pasay—(PHStocks)—Belle Corp. (PSE: BEL) realized consolidated net income of PhP1.9 billion for the nine months ended September 30, 2016, representing an increase of PhP729 million (64%) from net income of PhP1.1 billion for the first nine months of 2015.
This performance continues Belle’s record of underlying earnings growth. Excluding extraordinary items, principally a capital gain of PhP352 million on the sale of 26 million shares of SM Prime Holdings Inc. (PSE: SMPH) in July 2016, Belle’s recurring net income of PhP1.5 billion for the first nine months of 2016 was higher by PhP373 million (33%) over the net income for the first nine months of 2015.
The Company’s operating growth in 2016 was fueled primarily by growth in its share in the gaming income of City of Dreams Manila, through its 78.7%-owned subsidiary, Premium Leisure Corp. (PSE: PLC). PLC’s gaming income share for the nine months ended September 30, 2016 doubled to PhP1.1 billion, from PhP554 million for the comparable period in 2015. This was attributable to the ramp-up in gaming operations of City of Dreams Manila, which held its grand opening in February 2015. PLC has an operating agreement with Melco Crown Entertainment Ltd (MCE) that accords it a share of gaming revenues or earnings at City of Dreams Manila. Belle also realized higher revenues from its lease of the land and buildings comprising City of Dreams Manila to MCE, with such revenues increasing by PhP57 million (4%) to PhP1.64 billion for the nine months ended September 30, 2016 from PhP1.58 billion during the comparable period in 2015.
About Belle Corporation
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 MCE. 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%-owned 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 significant real estate assets in and around Tagaytay City, a temperate mountain resort about 90 minutes south of Manila overlooking scenic Taal Lake and Mount Makiling. These assets consist of premium residential properties for sale and approximately 800 hectares of land held for future development, which are near two exclusive world-class golf clubs and one country club built by the Company.