The integrated resort expects VIP revenue to overtake current gaming revenue.
The Philippines.- During a presentation at the ASEAN Gaming Summit, Trevor Hammond, vice president of gaming operations at NUSTAR Resort and Casino, said gaming revenues could represent 80 per cent of overall revenue once the project is completed.
The integrated resort in Cebu had a soft opening in May after several delays due to the Covid-19 pandemic. It will eventually have three hotel towers. Tower 1 will be super high-end, Tower 2 will be five-star and Tower 3 will be for the MICE market. The final casino will cover 21,000 square metres and include 1,500 slot machines and 500 tables.
Hammond said: “The mall itself and the restaurants do very well, but in revenue-generation terms could not be compared to the potential of VIP and premium mass gambling.”
Currently, casino revenue is split about 50-50 between gaming tables and slot machines as the IR has no VIP gambling operations. However, Hammond said that once the VIP lounges open, revenue from that segment would overtake that from the existing operation.
Philippines GGR may not return to pre-pandemic levels until 2026
Daniel Cecilio, licensing and regulatory group chief of the Philippine Amusement and Gaming Corporation (PAGCOR) has told Reuters he believes gaming revenue in the Philippines will recover to pre-pandemic levels, or surpass them, by 2026 as player confidence slowly returns.
Cecilio predicts that annual GGR could reach PHP256bn or more by 2026, with land-based casinos contributing PHP146bn. He said the industry’s recovery will be driven by pent-up demand and a return to confidence among domestic and foreign players.