Philippines-listed licensed online gaming operator DigiPlus Interactive Corp has a “competitive advantage” in terms of product offering and is “well positioned” to navigate the challenges amid higher scrutiny of the country’s online gaming sector.
That is according to comments on Friday by Andy Tsui, the firm’s president, at an event promoted by the Philippine Stock Exchange (PSE).
The PSE STAR event provides a platform for companies to discuss their strategies and financial updates with investors.
DigiPlus reported third quarter net income of PHP1.71 billion (US$29.0 million), down 51.4 percent year-on-year. That was on revenues of PHP19.05 billion, flat from a year earlier.
Third-quarter earnings before interest, taxation, depreciation, and amortisation (EBITDA) stood at nearly PHP2.04 billion, down 46.7 percent from a year ago.
The company said at the time of its results that its third-quarter lacklustre performance was due to the “impact of tighter regulation” for the country’s online gaming industry, “which required e-wallet providers to delink in-app access to licensed online gaming platforms”.
In August, the Philippines’ central bank ordered the delinking of online gambling platforms from electronic wallets (e-wallets).
In late October, the country’s casino regulator, the Philippine Amusement and Gaming Corp (Pagcor) said it had witnessed a “sharp decline” in its income since August, which the regulator attributed to the delinking of online gambling platforms from e-wallets and a slight decline in the number of new players.
In the Philippines, DigiPlus runs BingoPlus, described as the country’s first government-approved online bingo platform. It also operates ArenaPlus, a sportsbook, and GameZone, a platform for casual and arcade gaming. One of the group’s other units operates casino slot arcades in the country.
Priorities and expansion
In his Friday remarks, Mr Tsui said it would in likelihood take until “the first quarter, or at latest, the second quarter” next year until DigiPlus’ financial performance returns to levels seen in the second quarter, before the delinking of online gambling platforms from e-wallets.
“We are focusing now on our high-value players first,” stated the executive, as a way for the company to “maintain” its “leadership position” in the local market.
He described high-value players as the top “20 percent to 30 percent” of users of its platforms, who generate “around 70 percent to 80 percent” of the group’s revenues.
Among the initiatives being planned to improve its business performance, DigiPlus will focus on launching its self-developed local games, in a bid to “expand the user base,” noted the firm’s president.
Mr Tsui also said the company was adopting “artificial intelligence and big data technology to personalise gameplay and support responsible gaming”.
“This allows the company to launch target marketing more efficiently and customise promotions … based on the player’s back history and game preference,” he added. “Ultimately, this can enhance the player user experience as well as loyalty on our platform.”
Mr Tsui also mentioned the group’s progress regarding global expansion, including its venture into the Brazilian market.
DigiPlus paused in mid-October the operations of its gaming platform in Brazil, less than one month after it launched them.
“Because we treated it as a soft launch, it worked as a laboratory to gather some critical insights into player behaviours in Brazil, the local culture, and game preferences,” explained the executive.
“We will apply these to enhance our product localisation and strengthen our company’s long-term position in the region,” he stated.
Mr Tsui said the company was “currently focusing” on developing a self-developed, localised game for the Brazilian market, likely tobe released “in early 2026”.
In late September, the firm said it had “formally filed” three online-related licence applications with the Western Cape Gambling and Racing Board in South Africa.
On Friday, DigiPlus’ president stated: “We expect this approval to come in about six to eight months.”
