Good Morning. New property openings, domestic online gaming and pent-up travel demand puts the Philippines gaming industry in a perfect position for growth over the next few years. Today’s Deep Dive looks at some of the reasons why you need to keep your eye on the Philippines this year.
Don’t forget, we’re running the ASEAN Gaming Summit 2022, a three-day conference for the Asian gaming industry this year in Manila on July 25-27, 2022. Find out more at aseangaming.com
What you need to know
- Caesars Entertainment, today reported operating results for 1Q22 posting an all-time first-quarter EBITDA record.
- e-sabong was banned on President Duterte orders, prompting the loss of PHP600 million in tax revenue monthly and shelving regulation.
- SJM Holdings reported a doubling in its 1Q22 net loss and analysts said its cash burn remains a concern with a critical need to shore up liquidity.
- MGM Resorts surprised analysts to the upside with stronger-than-expected 1Q22 earnings, helped by U.S. operations, but Macau continues to lag.
- Star Entertainment’s former CEO Matt Bekier said told an inquiry in Sydney that the company was “secretive and not transparent” with regulators due to distrust between the two organizations.
- Paradise Co., which operates foreigner-only casinos in South Korea, said April sales declined 7.5 percent from the prior month, though its Jeju Grand property improved.
On the radar
- Macau court case on LVS unlikely to affect investor sentiment: J.P. Morgan.
- Victoria tax changes to trim as much as 5% from Crown EBITDA from 2024.
- IPI license revocation decision postponed to May 24.
- PAGCOR 1Q22 revenue jumps 39% as Covid restrictions ease.
- China mobility at lowest since start of pandemic in April: Fitch Ratings.
What the papers say
- India agrees on 28% GST tax for gambling, no decision calculation base.
- E-Gaming Federation pushing for centralized Indian legislation, CEO says.
- Macau arrivals stable at 25,000 on third day of May Golden Week holiday.
- What next for the Asian junket industry? By Andrew Klebanow.
The Philippines is expected to become the epicenter for gaming industry growth this year, driven by new property openings, the flourishing of domestic-remote gaming, and a surge of revenge travelers never seen before. It comes as the Philippines officially became lockdown-free in April this year, which was the first time it had done so since the start of the pandemic in 2020. Just two months earlier, the country scrapped its quarantine requirement for the fully-vaccinated foreign travelers – effectively doubling daily arrivals from 5,000 before February to 12,000 by end-March, according to the Philippines Bureau of Immigration (BIR).
- TKHS expands in Vietnam, where it sees the most growth in Asia.
- Everi buys Intuicode Gaming for maximum $27m to expand in HHR.
- VBET showcases new offerings at iGB Affiliate London.