The Philippine Amusement and Gaming Corporation (PAGCOR) posted a 26.64% decline in first-half revenue as lower earnings from its gaming operations weighed on financial performance.
Revenue fell to P43.32 billion (US$708.09 million) in the January-to-June period from P59.05 billion a year earlier, PAGCOR announced. Gaming operations, the state-run gaming regulator’s main revenue source, generated P38.92 billion (US$636.17 million), down 27.11% from P53.40 billion in the same period last year.
Revenue from eGames, eBingo, and bingo grantees dropped 41.85% year on year to P18.60 billion (US$304.03 million) from P32 billion. Revenue from licensed casinos and PAGCOR-operated casinos declined by 3.85% and 8.67%, respectively.
“Our first-half revenue results reflect the continuing impact of geopolitical tensions in the Middle East, which dampened consumer spending during the first quarter and affected overall industry performance,” said PAGCOR chairman and CEO Alejandro Tengco.
Tengco said market conditions improved in the second quarter, but uncertainties remain amid higher global fuel prices.
“Nevertheless, we remain focused on strengthening industry performance through sound regulation and close collaboration with our stakeholders to ensure that the gaming sector continues to generate meaningful revenues for nation-building,” the PAGCOR CEO added.
Net operating income declined to P31.75 billion (US$518.97 million), whilst net income plunged 85.29% to P1.58 billion (US$25.83 million).
Tengco attributed the sharp decline in net income to higher mandatory remittances to the Philippine Sports Commission (PSC) following a Supreme Court ruling requiring PAGCOR to remit 5% of its gross income to the agency, replacing the previous computation method.
PAGCOR remitted P2.01 billion (US$32.85 million) to the PSC in the first half, up 58.68% from P1.26 billion a year earlier.
Despite the revenue decline, PAGCOR contributed P30.16 billion (US$492.98 million) to government coffers during the first six months of 2026.