GGRAsia – Okada Manila posts full-2018 GGR of US$522mln: Universal

Okada Manila posts full-2018 GGR of US$522mln: Universal

Jan 11, 2019 Newsdesk Latest News, Philippines, Top of the deck

Japanese gaming company Universal Entertainment Corp says its Okada Manila casino resort (pictured) in the Philippines recorded adjusted segmental earnings before interest, taxation, depreciation and amortisation (EBITDA) of PHP2.14 billion (US$41.0 million) in full year 2018.

A Philippine subsidiary, Tiger Resort, Leisure and Entertainment Inc, runs Okada Manila.

Universal Entertainment told the Jasdaq Securities Exchange on Thursday that Okada Manila generated gross gaming revenue of nearly PHP27.22 billion in the 12 months ended December 31. That included VIP GGR of PHP12.65 billion, and mass-market table GGR of PHP6.84 billion. Gaming machine revenue for full 2018 stood at PHP7.73 billion.

The company did not provide year-on-year comparisons. Okada Manila had a soft opening in late December 2016, with new amenities gradually added to the property since.

The venue, in the Philippine capital, posted non-gaming revenue of PHP1.75 billion for the period.

The property’s full-year results were included in the update on its December business performance. Okada Manila’s GGR for the month stood at PHP2.52 billion, while non-gaming revenue was PHP299 million – a new all-time monthly high for the property, according to the report. Okada Manila recorded EBITDA of PHP474.9 million for December, with the total monthly number of visitors to the property passing for the first time the half-million mark.

GGR for December at Okada Manila decreased by 13 percent compared to the previous month, due to “lower win rates” in all gaming segments – including VIP, mass table games and gaming machines – Universal Entertainment said. The firm however noted that VIP rolling, mass-table drop and gaming machine-handle volumes were all up in December as compared to the previous month.

Updates on Okada Manila’s monthly performance are a recent innovation. Universal Entertainment announced last October that it was changing the arrangements that govern its relations with investors. It said the reason was to keep them better informed.

The casino resort is at the heart of a tussle between the man it is named after, Japanese gaming veteran Kazuo Okada; and Universal Entertainment. The group’s ousted founder is trying to regain control of the company. He and it are in dispute – sometimes played out in public – about several aspects of how the group is or should be run.

On January 6, it was reported the Department of Justice of the Philippines had found cause to indict Mr Okada on three counts of swindling after he acquired “through mistake or fraud” US$3.15-million in salary and consultancy fees while he was heading Tiger Resort, Leisure and Entertainment.

Universal Entertainment has said Mr Okada’s legal issues will not affect its operations at Okada Manila.