Online social casino to be developed by Entertainment Gaming Asia

Entertainment Gaming Asia is a Pan-Asia focused gaming company that has recently seen short-term revenue losses. After a filing on Friday, it was revealed that the company plans on developing a social casino platform for online game play to offset the losses.

Entertainment Gaming Asia currently leases electronic gaming machines in the Philippines and Cambodia, where revenues have been on a decline. The company earned only $2.3 million during the second quarter of 2016, which is a huge difference competed to the second quarter of 2015. Last year, the company earned $4.9 million, which compared to this year is a 53.7% decrease. The company saw a net loss of $799,000 for the quarter, which is down from 2015’s net loss of $1.4 million.

The filing stated that Entertainment Gaming Asia’s electronic gaming machines at NagaWorld were the reason behind the lower take. A revised lease agreement with the gaming venue caused the drop. Clarence Chung, the CEO and Chairman of EGA stated that the company’s efforts to develop the new platform for social casino gaming was progressing and plans are in place to start product testing in the third quarter.

According to Chung, the company has developed a social gaming application for mobile devices that is free to play and will be directed at the pan-Asian market. The application will use in-game-sales of virtual coins which will allow gamers to extend their play or accelerate their progress.