Okada Manila targets Asian tourists to offset revenue decline


Tiger Resort, Leisure and Entertainment Inc. (TRLEI), the local unit of Japan’s Universal Entertainment Corporation and owner of the Okada Manila integrated resort, is looking to attract more tourists from Japan, South Korea, and Southeast Asian countries to boost both gaming and hotel revenues.

In a disclosure, the firm noted that Department of Tourism data shows the number of foreign tourists is increasing steadily, and double-digit growth is expected in 2024.

To capitalize on this, TRLEI said Okada Manila is recruiting and training personnel to strengthen marketing capabilities in the gaming business.

“One goal is to attract more people living in areas of the Philippines other than Luzon Island, where Manila is located, to serve a broader range of guests who live in the Philippines. Measures to strengthen marketing activities also aim to attract tourists from Japan, South Korea, and Southeast Asian countries,” it added.

In operations other than gaming, TRLEI said there are regular hotel, food, and beverage events, as well as numerous major events utilizing the hotel's facilities to increase the number of guests.

“In September 2024, we received the TTG Travel Award in the Meetings and Conventions Hotel category among hotel facilities in Asia. We will continue to enhance the overall appeal of our facilities by integrating both gaming and non-gaming operations,” the firm said.

TRLEI reported a 24.5 percent drop in total revenues to P28.75 billion in the first nine months of 2024 from P38.08 billion in the same period last year. Earnings before interest, taxes, depreciation, and amortization (EBITDA) fell 44 percent to P5.57 billion from P9.95 billion in the comparative period of 2023.

For the third quarter, revenues dropped to P9.16 billion from P13.26 billion, while EBITDA went down to P1.1 billion from P3.56 billion.

TRLEI said that in the gaming category, the number of VIP guests at Okada Manila continued to decline as the slowdown of the junket business negatively affected the overall market conditions for the casino business in the Philippines. Additionally, the lower win rate of VIP rolling chip and mass table games compared to other quarters contributed to the decline of gross gaming revenue.

“Although the performance of the mass market and gaming machine sectors was down from the previous year when demand significantly rebounded following the pandemic, sales are increasing steadily in comparison with the pre-pandemic peak sales of this business in 2019,” it said.

In the hotel and food and beverage businesses, TRLEI said the number of guests is consistently high.