Gaming income at Okada Manila decreased in Q4 of 2024, primarily due to a weak VIP gaming segment.
Let's Chat About Okada Manila's Q4 2024 Woes
Hey there! It's time to dive into some casino gossip—specifically, Okada Manila's recent financial slump. Tiger Resort Leisure and Entertainment Inc. (TRLEI), the man behind the scenes, reported a 3.7% decline in gross gaming revenue (GGR) for Q4 2024 compared to the previous year. The total revenue reached PHP8.98 billion (€149.3 million), primarily due to a dip in the VIP table games segment. But there's a silver lining—a 9.1% boost compared to Q3.
VIP table games disappoint, but mass table games shine
The VIP table games segment took a 9.4% hit, with PHP3.15 billion (€52.4 million) in GGR. Despite the fall, this segment saw a sequential increase of 27.5% in Q3. On the brighter side, mass table games revenue improved slightly year-on-year, reaching PHP2.56 billion (€42.6 million). Gaming machine revenue saw a slight drop, registering PHP3.27 billion (€54.9 million).
Mixed performance in EBITDA
Segment EBITDA for the quarter dipped 10.2% compared to the same period in 2023, amounting to PHP2.10 billion (€34.9 million). However, it more than doubled from Q3, indicating some recovery despite ongoing troubles in the VIP segment.
Full-year 2024 numbers show decline
TRLEI reported a GGR of PHP34.8 billion (€578 million) for the entire year 2024, a 21.8% decrease compared to 2023. Segment EBITDA also dropped by 37.7%, settling at PHP7.66 billion (€127 million). These figures signify ongoing difficulties in Manila's casino market, particularly in enticing high-spending VIP customers.
A glimmer of hope: increased visitor numbers
Despite revenue challenges, Okada Manila welcomed over 1.71 million visitors in Q4 2024 compared to 1.60 million during the same period in 2023. This hints at some resilience in the mass-market segment while the VIP segment continues to struggle.
Broad issues faced by the industry
Okada Manila's gaming revenue decline suggests larger issues affecting the industry, such as a weakening VIP market and the slow recovery of the once-robust Chinese customer base. In the coming months, future performance is likely to depend on diversifying revenue streams and attracting more non-VIP patrons.
Meanwhile, Asiabest Gaming (ABG), a dormant firm owned by TRLEI, has surprisingly become the Philippine Stock Exchange's top performer in 2024, skyrocketing by 654% to PHP22.70 from January to November. Despite being inactive for seven years, ABG's surge started four months ago, coinciding with Okada Manila's announcement of plans for an initial public offering in 2025.
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Stay tuned for more casino news—it's always a wild ride!
(Source: GGR Asia, Inside Asian Gaming, iGamingBusiness, CasinoBeats, and GamesIndustry.biz)
In the world of Okada Manila, while the VIP table games segment experienced a decline in Q4 2024, the mass table games and gaming machine segments saw only slight variations.
Amidst the Philippines Stock Exchange, Asiabest Gaming - a dormant firm owned by TRLEI - unexpectedly rose to the top performer in 2024, inspiring curiosity about potential opportunities in the iGaming sector.
