GGRAsia – 3Q GGR at Entertainment City IRs down 2pct y-o-y: Pagcor

3Q GGR at Entertainment City IRs down 2pct y-o-y: Pagcor

Nov 18, 2024 Newsdesk Latest News, Philippines, Top of the deck

Large-scale integrated resorts (IRs) in Entertainment City, in Metro Manila, recorded gross gaming revenue (GGR) of just above PHP41.92 billion (US$714.3 million) in the three months to September 30, according to data from the country’s casino regulator, the Philippine Amusement and Gaming Corp (Pagcor).

The GGR tally for the private-sector casinos in Entertainment City was down 1.7 percent from a year earlier, showed the data. The figure was up 4.0 percent sequentially.

The Philippine gaming sector – including non-casino operations – produced GGR of PHP94.61 billion in the third quarter of 2024, up 37.5 percent from the prior-year period.

According to Pagcor, the electronic gaming segment remained the industry’s best performer in terms of growth during the reporting period, generating GGR of PHP35.71 billion.

Licensees with operations at Entertainment City reported weaker results in the third quarter.

Philippines-listed Bloomberry Resorts Corp reported a consolidated net loss of under PHP470.2 million for the three months to September 30, compared with a PHP1.95-billion profit a year earlier.

The company runs Solaire Resort & Casino in the Philippine capital Manila, and in May opened Solaire Resort North, another gaming complex in Quezon City, northeast of Manila.

The casino firm reported consolidated net revenue of PHP13.67 billion in the third quarter, down 27.2 percent from the prior-year quarter.

Third-quarter casino GGR at the Okada Manila casino, operated by a unit of Japan-based Universal Entertainment Corp, declined by 33.4 percent year-on-year. Quarterly GGR at the property has been declining in year-on-year terms since the end of the third quarter of last year, according to company information.

Last week, Universal Entertainment said it was now expecting a loss for full-year 2024. Among the reasons mentioned by the company was the “uncertain situation caused by the possibility of a continuing decline in VIP customers across the entire casino market in the Philippines”, a trend that the firm said was “expected to continue.”

Travellers International Hotel Group Inc, which runs the Newport World Resorts casino and leisure complex in the Philippine capital Manila, posted a consolidated net loss of PHP81 million for the three months to September 30. That compared with a loss of about PHP21 million a year earlier. Travellers International reported consolidated revenues and other income of nearly PHP7.33 billion in the third quarter, down 11.5 percent from a year earlier.

The City of Dreams Manila casino complex, run by a unit of Melco Resorts & Entertainment Ltd, recorded third-quarter adjusted property earnings before interest, taxation, depreciation and amortisation (EBITDA) of US$45.9 million, versus US$48.7 million in the comparable period of 2023.

That was “primarily a result of softer performance in rolling chip and mass market table games segments, partially offset by better performance in the gaming machine segment,” said Melco Resorts in early November.

The Fiesta casino licensees reported third-quarter GGR of PHP333.3 million, down 8.3 percent from the prior-year period, and a 7.0-percent decline quarter-on-quarter.

At Clark, casinos generated GGR of PHP6.06 billion in the July to September period. That compared with PHP8.88 billion in the third quarter of 2023.

Licensees within the so-called “Greenfield Zone”, a new category referring to an area within rural provinces, cities or municipalities with high potential for tourism development, posted GGR of PHP2.41 billion. Although there is no comparison from last year, the tally was up 14.5 percent sequentially, showed the data.