Tiger Resort, Leisure and Entertainment Inc, the operator of the Okada Integrated Resort in Manila, Philippines, reported on July 15, 2024 that, Gross gaming revenue (GGR) fell significantly in the second quarter of 2024.
GGR for the three months ended June 30, 2024 was Php 11.3 billion (US$194 million), the same as last year A decrease of 21.8% compared with the same period. This decrease was primarily due to significant declines in the VIP table and gaming machine segment.
The data, detailed in a document released on July 12, shows VIP table GGR at Okada Manila A significant year-on-year decrease of 34.5% to Php 2.9 billion (USD 49.7 million). Likewise, gaming console revenue also declined significantly by 21.8%, totaling Php 2.97 billion (US$50.9 million). The mass gaming table business saw a smaller decline of 3.4%, with revenue of Php2.97 billion (US$50.9 million).
Despite the decline in gaming revenue, Manila Okada’s non-gaming revenue showed a positive trend, growing 9.7% year-on-year to PHP 1.0 billion Pesos ($17.1 million). The rise in non-gaming revenue reflects the resort's efforts to diversify its revenue streams amid challenges in the gaming industry.
Second quarter adjusted segment EBITDA (earnings before interest, taxes, depreciation, and amortization) fell 30.0% year-on-year to Php 2.15 billion pesos ($36.8 million). The decline in EBITDA came despite an increase in total hotel visitors, from 1.42 million in the same period last year to 1.45 million in the second quarter of 2024.
For the first half of 2024, Okada Manila reported total GGR of Php 17.61 billion (USD 301 million), up from 2023 It dropped 23.0% in the first half of the year. Adjusted segment EBITDA also declined significantly in the first six months, down 30.0% year-on-year to Php 4.45 billion (US$76.2 million).
Manila Okada’s quarterly GGR has been trending downward since the end of the third quarter of 2023. After a significant year-over-year growth of 29.7% in the third quarter of 2023, the property declined by 11.2% in the fourth quarter of 2023 and by 24.1% in the first quarter of 2024.
In addition, Tiger Resort, the promoter of Okada Manila, announced the termination of its term sheet with PH Resorts Group Holdings Inc. earlier this month. Under the agreement, Tiger Resort will invest in the stalled Emerald Bay casino resort project in Mactan Island, Cebu.
