PhilWeb trims Q2 losses as e-bingo business grows

PhilWeb Corp. posted slimmer losses in the second quarter as revenues improved thanks to its foray into electronic bingo (e-bingo).

The listed gaming firm reported an P11.69 million net loss attributable to equity holders of the parent company in the three-month period, narrower by 28.9% from P16.44 million loss in the same period last year.

Its attributable net loss for the six months ending June was also cut by half to P22.29 million from P45.31 million in the same period last year.

The improvement was driven by a 15% rise in revenues to P125.4 million in the second quarter, driven by an increase in the number of its operating sites.

Six-month revenues likewise grew 25% to P246.1 million from P196.5 million in the same period last year.

“We are pleased that our venture into e-bingo is immediately reaping dividends for the company, and we look at continuing to aggressively expand our two-fold footprint in the electronic gaming sector in the months to come,” PhilWeb Chairman Gregorio Ma. Araneta III said in a statement.

The company said it has been operating 68 electronic casino outlets and co-managing a network of 22 electronic bingo outlets as of end June, which was the main driver of the company’s improved revenues.

The co-managed bingo outlets are from its P292-million share purchase agreement with the Palmary Corp. signed in June. A cooperation agreement was inked between the two companies at the same time, which allowed PhilWeb to expand its e-bingo business from its six outlets to merge with Palmary’s 16.

The company’s cost and expenses increased 4.2% in the second quarter to P135.8 million, and by 5.8% to P266 million in the first half, as it underwent expansion of the number of its operating locations.

“This shows that we are well on track regarding our commitment to getting PhilWeb back to its former profitability levels, during which times we were able to pay out high dividends to stockholders and generate significant share price increases as well,” Mr. Araneta added. — Denise A. Valdez