DigiPlus sees better Q2 performance as it deals with market challenges
DigiPlus Interactive Corp., the country’s leading online games provider, is seeing an improvement in its second-quarter performance despite current regulatory and economic challenges as it continues to implement mitigating measures.
In a media briefing after the firm’s annual stockholders’ meeting (ASM) last Friday, May 29, DigiPlus’ former president Andy Tsui said the company is expecting a decent second quarter.
“Seeing that we’re achieving a stabilized result compared to the first quarter, I think we’re quite stable. We also work with a lot of initiatives to improve the profit margin, so I think we should have a very decent quarter compared to the first quarter. We haven’t come up with the final number yet still, but that’s what we’re seeing, a very stable quarter,” he noted.
Tsui also expressed confidence that the relaunch of the Brazil operation will happen next month as the company approaches the final stage of its launch plan, while the company is also in the middle of building the team that will develop its South Africa venture so it will be on time for its launch in 2027.
“We’ll first work on the Brazil project and then we will continue to work on the South Africa project in the coming year,” he said.
Newly appointed DigiPlus President Ping Chen said the company will continue to leverage its technology infrastructure as well as its understanding of the regions it ventures into to drive the company’s growth.
“We have a lot of potential. Do we want to be global? Yes, we want to be. Do we want to be a market leader in a region? Yes. Do we want to do well in offline? Yes, we do,” Chen said, referring to DigiPlus’ recent entry into the brick-and-mortar integrated resort-casino business in Manila.
He added that DigiPlus also aims to do well in Southeast Asia through the Philippines, while “we try to go out and target a country, which is similar culture to us.”
Chen noted that the gaming business is about innovations, “it’s about products and offerings. If there’s a new one building products out there, then we would work it out and try to offer it, and that’s what’s going to really drive this company to the next stage.”
Meanwhile, DigiPlus is optimistic about the prospects of its sports betting business, which ArenaPlus head Eric Su said is still in a “very young stage.”
The sportsbook business of DigiPlus, according to Su, still has a large market to tap given its five- to 10-percent share of the overall gaming revenue pie.
He noted that in countries like the United Kingdom (UK), the United States (US), Brazil, and South Africa, sports betting accounts for about 30 to 40 percent of gross gaming revenue (GGR).
“We see the potential of the market to grow probably about three to five times in the next five [years],” Su said.