After an intense year following a casino takeover and the ousting of the board member from whom the casino took its name, Okada Manila is reporting a 24% revenue decline in quarter 1 of 2024.
The Tiger Resort Leisure and Entertainment Company currently operates the Okada Casino in Entertainment City. Known as the biggest casino in E-city, the Okada hosts 993 rooms and multiple gaming areas. With more than 3,000 electronic games and 599 gaming tables, It is one of the Philippines’ top-grossing brick-and-mortar casinos.
Below, we will discuss what contributes to the loss of gross gaming revenue and how Okada plans to bounce back to pre-takeover numbers.
Okada Casino Revenue
In 2023, Okada Casino earned PHP 11.5 billion (200 million USD) in revenue for quarter 1 of the year. In 2024, Okada only reported earnings of PHP 8.78 billion (USD 154 million).
While all aspects of the casino report a loss compared to 2023, the VIP segment is a significant area of concern, losing 42.6% of its revenue in Q1. All casino revenue streams, including non-gaming revenue, are down.
Another area that has seen a sharp decline is the on-location online casino. When on the property, Okada patrons can access the online casino and wager from the comfort of their rooms or poolside. However, while property visitors for Q1 in 2023 and 2024 remain steady, revenue has declined.
Legal Online Casinos In The Philippines
Another reason domestic casinos like Okada are losing revenue is the easy access to legal online casinos in the Philippines. In the Philippines, online casinos from outside the country are plentiful and legal if the site is from a trusted gaming jurisdiction and is licensed by a reputable gaming regulator.
Online casinos physically located in the Philippines can offer their services online with a POGO license from the Philippine Amusement and Gaming Corporation (PAGCOR). Still, they need help to provide their services to the Philippines. However, there are some exceptions, like how patrons on the property of the Okada can access online casino games from the gaming areas in the casino.
Are Other PH Casinos Reporting A Loss For Q1 2024?
Yes, several other domestic casinos are also reporting losses for Q1 2024. However, the Okada is taking the biggest hit. One good note is that the Okada has yet to see its guest numbers drop significantly, so the potential earnings are still on site.
The second quarter of 2024 will offer a better look at how the year might shape domestic casinos in the Philippines. As the summer draws near, more tourists are likely to get out and gamble.