DigiPlus protects margins as gaming revenues weaken

DigiPlus Interactive Corp. earned P8.9 billion in the first nine months of 2026, as improved cost efficiency helped cushion a 17-percent decline in net gaming revenue amid a weaker economic environment.

The reported net income included fair value gains from the company’s investment in convertible bonds issued by International Entertainment Corp. (IEC), providing an additional boost to earnings even as its core gaming business faced softer revenues.

Nine-month EBITDA reached P8.3 billion. Third-quarter EBITDA edged up 0.3 percent quarter-on-quarter to P2.9 billion, while the margin widened four percentage points to 22 percent, reflecting tighter control of advertising and promotional spending, direct gaming costs, and operating expenses.

Net gaming revenue after tax fell 17 percent year-on-year to P16.2 billion in the nine-month period. However, its margin relative to gross gaming revenue expanded five percentage points quarter-on-quarter to 40 percent, suggesting the company retained a larger share of gaming revenues after direct costs and taxes.

DigiPlus began reporting the measure in the second quarter. It deducts regulatory shares, game provider fees, marketing and promotional expenses, payment channel fees, other direct gaming costs, and applicable taxes from gaming revenues.

The company paid P13.9 billion in taxes and regulatory fees during the period, while its user base continued to grow. Average monthly active users rose 3 percent quarter-on-quarter to 5.9 million, and monthly active bettors and depositors increased 5 percent to 4.9 million.

DigiPlus ended September with P11.7 billion in cash and cash equivalents, up 11 percent from the previous quarter, despite paying P3.8 billion in dividends and investing P12.2 billion in IEC convertible notes during the first half.

President Ping Chen said the company would focus on developing content, acquiring and retaining users, and maintaining spending discipline to support sustainable growth.

Recent content initiatives include a partnership with Regal Entertainment that brought five Shake, Rattle & Roll-inspired games to BingoPlus, with releases on ArenaPlus and GameZone to follow. DigiPlus also introduced nine self-developed titles across its platforms.

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