Dreams posts operating profit of $22M in Q2; growth of 24% over pre-pandemic 2019

Dreams, one of the leading casino operators in Chile and Latin America, has released its financial report for the second quarter of 2022, in which the company reported an operating profit or EBITDA of 20.65 billion Chilean pesos, which is equivalent to $22.1 million.

According to the report, such an amount is 4,036 million pesos ($4.3 million) higher than that posted in 2019, meaning an increase of 24% compared to the pre-pandemic year. Additionally, Dreams pointed out that in this second quarter there was an EBITDA margin of 30.9%, which implied growth of 3.4 percentage points over 2019.

In the report, officials also reported revenues of 66,815 million pesos, about $71.5 million, which represents a growth of 11% over the year before the pandemic, when the company recorded revenues of 60,312 million pesos.

In this regard, Dreams stated that "high growth rates were maintained in casinos in Chile and Mendoza during the quarter, partially offset by casinos in Peru, where the level of activity has not recovered yet, obtaining lower figures than in 2019."

In terms of gross profit, the company reached a figure of 31,613 million pesos ($33.8 million), 30% higher than in 2019, when they reached 24,327 million pesos. Meanwhile, it also reported an operating result of 13,585 million pesos ($ 14.5 million), 66% higher than in the year prior to the pandemic, when it reached 8,182 million pesos.

In evaluating the financial performance by segments, the company pointed out that "the quarterly income of casinos grew by 17%, representing 83% of consolidated income" and "reflecting the continued interest of our high-value customers." The business added that "the lower activity in Peru continues as a result of a slow reactivation after the pandemic and cost of living increases due to management and local political contingencies."

Dreams also stated that "the hotels segment grew 48%, representing again 10% of the consolidated income for the quarter", and that this improvement was driven by Chile and "by a level of activity in Mendoza, which is recovering dynamically due to greater local and foreign demand, and the capacity to maintain rates."

Finally, when referring to the performance of its activities by country, officials pointed out that "a favorable level of activity is maintained in Casinos Chile and Argentina, which resulted in revenues higher by 5,408 million" than those of 2019. They also highlighted that "Chile represented 78% of total revenues in the quarter."

See Dreams' full Q2 results here.