Universal Entertainment Posts Record $1.5B Loss as Okada Manila Struggles

A bold bet on luxury tourism backfired. Now, Universal Entertainment scrambles to revive Okada Manila—but can mass-market gambles turn the tide?

, and Administrator

2026 February 17 . 7:22 AM

1 min read

The image shows an old Japanese banknote with Chinese writing on it. The text reads "Asia Banking... — The image shows an old Japanese banknote with Chinese writing on it. The text reads "Asia Banking Corporation" and there is a logo in the center of the note.

Universal Entertainment Posts Record $1.5B Loss as Okada Manila Struggles

Universal Entertainment Corporation has reported its largest annual loss in years, totalling ¥213.5 billion (around $1.5 billion) for fiscal 2025. The steep decline follows ongoing struggles at its flagship resort, Okada Manila, which has failed to meet visitor targets since opening in 2020.

Okada Manila launched during the COVID-19 pandemic with high expectations. Universal Entertainment initially forecast rapid growth, aiming for over 800,000 monthly visitors by 2025. Instead, actual numbers have lingered at just 400,000–500,000—around 60–70% of projections. Prolonged travel restrictions, competition from other Philippine resorts, and economic slowdowns all contributed to the shortfall.

The resort's underperformance has left it unprofitable, with capacity limits and weak visitor demand persisting. Beyond Okada Manila, Universal Entertainment's pachinko and pachislot operations in Japan also saw declining demand, deepening the financial strain.

In response, the company is shifting focus to mass-market growth at Okada Manila. Plans include expanding loyalty programmes, partnering with regional travel agents, and opening more international marketing offices. These steps aim to boost visitor numbers and stabilise profits over time.

Universal Entertainment's net loss of ¥213.5 billion highlights the challenges facing its key businesses. With Okada Manila still below expected visitor levels, the company's recovery now hinges on its new mass-market strategy and international outreach. Success will depend on reversing the current downturn in both resort and gaming sectors.