DIGIPLUS Interactive Corp. has secured a P3-billion loan from Asia United Bank Corp. that the listed gaming company will mainly use as capital expenditure to expand its operations, it said on Wednesday.
“We aim to capitalize on this positive momentum by revolutionizing our users’ experience by investing in new technologies, introducing new and innovative products, and enhancing our quality of service,” DigiPlus President Andy Tsui said in a statement.
“This loan financing is a significant milestone as we look to ground our leading position in the retail gaming industry of the country,” Mr. Tsui added.
The company’s capital spending budget will be used mainly for the expansion of its newly launched digital platform, BingoPlus, and its onsite gaming operations.
“BingoPlus has become a community and entertainment hub and a source of revenue for government in funding social and educational programs,” the company said.
The platform saw significant growth with more than 1,700 jackpot winners since its inception
In a separate disclosure, the company reported a net income of P686.86 million, a reversal of the P894.62-million loss it incurred the prior year, driven by the resumption of on-site operations and the launch of the new platform.
“What we accomplished in 2022 is remarkable,” Mr. Tsui said in an earlier statement, adding that the company “re-aligned its new business strategy and returned to profitable operations. We believe that there is strong momentum in our future business growth and the outlook is positive.”
It reported that revenues more than tripled to P8.91 billion from P2.81 billion in 2021 driven by its retail games business, which contributed 91.7% or P8.16 billion of the total.
“The retail business is expected to keep its profitable operations as it gains the favor of the social gamers, bingo-loving Filipinos,” the company said.
DigiPlus is planning to expand site operations to different areas, acquire more machines, and expand its game offering.
“DigiPlus also completed a round of private placement value up to Php1.85 billion just in the first quarter of 2023 to support its operational plans and strategies,” it added.
DigiPlus shares closed 3.35% higher on Wednesday at P2.78 apiece. — Adrian H. Halili