PAGCOR Revenue Falls 23.4% as Electronic Gaming Earnings Decline

The Philippine Amusement and Gaming Corporation (PAGCOR) reported revenue of PHP64.41 billion, approximately $1.01 billion, for January-September 2026, down 23.4% from PHP84.09 billion a year earlier.

Net income fell more sharply, declining 84.9% to PHP2.17 billion, approximately $34 million. The state-owned regulator and casino operator attributed the results to weaker gaming earnings and increased mandatory remittances to the Philippine Sports Commission. 

Electronic Gaming Drives the Decline

Revenue received by PAGCOR from electronic gaming fell 37.2% to PHP27.63 billion, from PHP44.03 billion in the corresponding period of 2025. Despite the decline, the segment remained its largest source of gaming revenue.

The category encompasses e-games, e-bingo and bingo grantees, making it broader than online casino alone. These figures describe PAGCOR’s income from the segment, rather than the entire Philippine industry’s gross gaming revenue. 

Income from licensed casinos declined 3.2% to PHP23.10 billion. PAGCOR-operated Casino Filipino venues generated PHP7.28 billion, down 8%, while poker operations contributed PHP105.86 million, a decrease of 4.6%.

Across gaming operations, revenue fell 23.4% to PHP58.13 billion. Earnings from related services dropped 38.6% to PHP3.04 billion, while other income remained broadly stable at PHP3.23 billion. 

Higher Sports Contributions Weigh on Profit

PAGCOR linked the steeper decline in net profit partly to a Supreme Court ruling requiring it to remit 5% of gross revenue to the Philippine Sports Commission. According to the corporation, the requirement nearly doubled its previous remittance level.

This obligation affected PAGCOR’s profitability separately from the factors weighing on electronic gaming activity. Its payments to the sports body reached PHP3.01 billion during the reporting period.

Total contributions to government programmes and statutory obligations amounted to PHP45.28 billion, including PHP27.61 billion transferred to the National Treasury and PHP2.90 billion in franchise taxes. 

Year-End Recovery Remains the Focus

In August, chairman and chief executive Alejandro Tengco forecast an approximately 18% decline in full-year revenue to PHP86.95 billion, roughly $1.36 billion.

He cited the removal of direct gambling access from electronic wallets and pressure on consumer spending associated with Middle East tensions. At that time, Tengco said gaming activity was showing signs of improvement and expressed hope that the year-end peak season would help offset weaker first-half performance.