S&P assigns DigiPlus ‘B+’ rating, sees stable outlook

DigiPlus Interactive Corp. has secured a “B+” long-term issuer credit rating from S&P Global Ratings, with the debt watcher expecting the gaming company to maintain its leading position in the Philippine online gaming market despite regulatory risks.

In a report attached to a DigiPlus disclosure, S&P gave the company a stable outlook, citing expectations that it would gradually recover from regulations that require the delinking of e-wallets from online gambling platforms.

“The stable rating outlook reflects our expectation that the company will gradually recover from recent regulations on e-wallet delinking and explore investment opportunities with an adjusted debt-to-earnings before interest, taxes, depreciation and amortization ratio of about 1x over the next 12 months,” S&P said.

S&P expects DigiPlus to maintain a 40-percent to 50-percent share of the Philippine online gaming market over the next two years.

This compares with an estimated 15-percent to 20-percent share for its next-largest competitor.

Still, S&P flagged the country’s evolving regulatory environment as one of DigiPlus’ biggest risks.

The ratings agency noted that the e-wallet delinking order significantly disrupted the industry, with DigiPlus’ revenues falling 23 percent quarter-on-quarter in the third quarter of 2025.

It also cited pending Senate measures that could further tighten player protection rules or potentially ban online gambling.

DigiPlus remains heavily exposed to the sector, with online gaming accounting for more than 90 percent of its revenues and profits.

See Also

Peso skids to new low vs strong greenback

S&P nevertheless expects the company’s strong branding, product offerings, balance sheet and liquidity to help it navigate tighter regulation.

Ebb before flow

The ratings agency sees DigiPlus’ revenues declining by about 17 percent in 2026 before recovering in 2027. It expects total revenue growth of 17 percent next year following the consolidation of International Entertainment Corp. (IEC).

DigiPlus is pursuing diversification through land-based casinos and overseas online gaming. Its plans include a land-based casino investment through IEC and online gaming platforms in Brazil and South Africa.

The stable outlook reflects S&P’s expectation that DigiPlus will resume revenue and Ebitda growth over the next 12 months while maintaining adjusted leverage at around 1x in 2026 and 2027.