NUSTAR Focuses on Local Players and VIP Growth

NUSTAR Resort & Casino in Cebu continues to rely primarily on local players as it works to strengthen its VIP and junket operations, according to chief operating officer Sean Knights.

Knights said the integrated resort’s customer base remains heavily driven by the domestic market, with local visitors accounting for nearly 80% of overall visitation. Another 15% comes from domestic travelers, while international guests represent around 5% of total visitation figures.

The Cebu-based integrated resort, which opened in 2022, said its gaming mix currently stands at approximately 60% mass market and 40% VIP play. According to Knights, the mass-market segment remains particularly important because it delivers stronger operating margins, while junket operations tend to place greater pressure on profitability.

Junket operations continue rebuilding

NUSTAR currently operates 180 gaming tables and 830 slot machines across its casino floor.

Knights explained that the property has been rebuilding its junket business following the departure of two major junket operators from the local market over the past year. New operators have since entered the market, and the company plans to continue expanding its junket partnerships.

He added that the resort still has two vacant junket rooms available for future expansion, although management believes its current setup remains sufficient for present demand levels.

According to Knights, junket operations require significant scale to remain sustainable due to the costs involved and the need to manage gaming volatility.

Senior Vice President for Gaming and Integrated Resort Operations Trevor Hammond said NUSTAR currently has five active junket rooms. He noted that South Korean players represent the largest share of the property’s VIP customer base, while direct VIP operations are also supported through local and overseas agents.

International growth opportunities under review

Knights said the company continues evaluating opportunities in international markets, though some government policy changes may take time to generate measurable results.

He referenced the Philippines’ visa-free entry program for Chinese nationals, introduced in January, which allows Chinese visitors to stay in the country for up to 14 days without a visa.

According to Knights, tourism and gaming benefits linked to such policy changes often take several months to materialize, although ongoing geopolitical tensions in the Middle East could delay market recovery timelines.

South Korea remains one of the most important feeder markets for Philippine gaming operators, while India is viewed as a potential long-term growth market if direct flight connections are established.

NUSTAR is also reviewing the possible introduction of smart gaming tables, though Knights suggested current operating volumes may not yet justify the investment. He noted that the technology could improve operational data collection and gaming integrity, particularly in larger international markets.