PhilWeb posts 3-fold increase in net profit

Listed information technology and gaming firm PhilWeb Corp. reported a more than three-fold increase in its net profit for the first nine months of the year to P121.7 million from only P42.3 million in the same period last year due to the continued strong growth of its core gaming operations.

In a statement, PhilWeb said revenues for the period January to September this year more than doubled to P193.5 million as against P91.5 million the same period a year earlier.

Philweb president Dennis O. Valdes said the significant jump in its net earnings and revenues was largely due to higher volume increases in the company’s core Internet casino and sports betting businesses.

“Not only have we increased the number of our internet casino stations and the number of terminals within those stations, but we continue to realize scale benefits and efficiencies, resulting in better margins,” Valdes said.

Valdes said the company’s year-to-date net income margin is at 62 percent.

He expects Philweb to sustain its income growth for the remainder of the year through the expansion or introduction of more product lines.

“The company is by no means content to simply grow our existing business lines. We expect to make more dramatic announcements within the year, concerning new business sectors in which we have been consolidating deals for the past year,” Valdes said.

With a war chest of about $10 million, Philweb is poised for strong growth, Valdes said.

Last Sept 10., PhilWeb launched TXTINGO, the first large-scale mobile phone betting game where bets are deductible from load. The game is presently available exclusively to Smart and Talk N Text subscribers.

During the period under review, Philweb incorporated new subsidiaries – PhilWeb Gaming Solutions Corp., a company that develops customized promotional gaming solutions for outside clients; PhilWeb Leisure and Tourism Corp, which will venture into leisure and tourism activities; and PhilWeb Tourism and Entertainment Corp., which will build facilities in this sector.