VIP games in Tigre de Cristal are no longer popular
Summit Ascent Holdings, which owns a controlling stake in the seaside casino Tigre de Cristal, has submitted a report for the first half of 2018. The results showed that the VIP casino market significantly decreased - by 22.5%, to $828 million.
The percentage of winnings in the casino fell by 0.74 points - to 2.9%. Games for VIP-tables were had decrease by 4 points on an annual basis. Net revenue of the sector decreased by 44.5% - to $5.2 million.
Despite the decline of the VIP-market, the representatives of the holding are optimistic. Summit Ascent stressed: since the beginning of this year, a lot of players have applied for participation in the loyalty program to get substantial discounts on VIP games.
However, most customers were denied in their request. This served as a launching pad for the reformatting of the Summit Ascent business and further development of the premium sector.
Total revenue of Tigre de Cristal grew by 2% year-on-year to $26.5 million. Adjusted profit increased by 17% to $8.5 million. Revenue fell by $637 million compared to the first half of 2017.
The mass market of Tigre de Cristal grew by more than a third to $44.3 million. Net profit increased by 47.3% to $10.7 million.
The revenue from the seaside hotel declined by 22% to $2.1 million. The site's attendance remained virtually unchanged compared to the results of 2017: 76% of the weekends and 45% on weekdays. The number of foreign tourists increased by 33%.
Summit Ascent also stressed that in the spring of 2019 the construction of the second stage of the casino complex will be started. The official opening of the second stage is planned for the III-IV quarter of 2020.
Summit Ascent owns a 60% stake in Tigre de Cristal. The actual owner of the facility is Oriental Regent Ltd. The operations of the casino are carried out by the subsidiary Summit Ascent - G1 Entertainment. G1 receives 3% of the proceeds of the casino.
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