The Philippine Amusement and Gaming Corporation (PAGCOR) reported total revenue of PHP64.41 billion for January–September 2026, down 23.41% year-on-year, with electronic gaming recording the sharpest decline among the main gaming segments. Net income also dropped by almost 85%, adding further pressure to the state-owned gaming regulator and operator.
PAGCOR has reported a significant decline in its financial performance for the first nine months of 2026, as weaker gaming activity weighed on revenues across several segments of the Philippine market.
According to figures released on 29 October, total revenue reached PHP64.41 billion, compared with PHP84.09 billion during the same period in 2025.
The decline was primarily driven by lower earnings from electronic gaming, which remains PAGCOR’s largest gaming revenue contributor. Revenue from this segment fell by 37.23%, from PHP44.03 billion to PHP27.63 billion.
The results highlight the challenges facing the Philippine gambling sector, particularly its online gaming segment, which has experienced a substantial slowdown compared with the previous year.
Electronic Gaming Records the Sharpest Decline
Electronic gaming generated PHP27.63 billion during the first nine months of 2026, down from PHP44.03 billion a year earlier.
The segment’s 37.23% decline was the largest among PAGCOR’s main gaming revenue categories and played a central role in the corporation’s overall financial performance.
Licensed casinos, the second-largest contributor to gaming revenue, also recorded a decrease. Revenue from this segment fell by 3.22%, reaching PHP23.10 billion compared with PHP23.87 billion in the corresponding period of 2025.
PAGCOR-operated Casino Filipino branches reported an 8% decline, with revenue decreasing from PHP7.91 billion to PHP7.28 billion.
Poker operations also moved lower, generating PHP105.86 million, down 4.60% from PHP110.97 million a year earlier.
Overall, revenue from gaming operations dropped by 23.44% to PHP58.13 billion, compared with PHP75.93 billion in the first nine months of 2025.
Net Income Falls 84.85%
The weaker revenue performance was accompanied by a substantial reduction in PAGCOR’s net income.
The corporation reported net income of PHP2.17 billion for January–September 2026, compared with PHP14.32 billion in the same period last year. This represents a year-on-year decrease of 84.85%.
PAGCOR attributed the sharp decline partly to a Supreme Court ruling requiring the corporation to remit 5% of its gross revenues to the Philippine Sports Commission (PSC), a requirement that nearly doubled its previous remittance levels to the sports agency.
Revenue from other related services also declined by 38.59% to PHP3.04 billion, while other income remained relatively stable at PHP3.23 billion, compared with PHP3.20 billion a year earlier.
PHP45.28 Billion Contributed to Nation-Building
Despite the decline in revenue and net income, PAGCOR reported PHP45.28 billion in contributions to nation-building and other statutory obligations during the nine-month period.
The largest portion, PHP27.61 billion, was transferred to the National Treasury as the government’s 50% share.
Additional contributions included:
- PHP3.01 billion to the Philippine Sports Commission.
- PHP2.90 billion in franchise taxes.
- PHP11.19 billion for socio-civic projects.
- PHP511.95 million for Casino Filipino host cities.
- PHP28.22 million in sports incentives for successful national athletes and their coaches.
- PHP15.85 million in corporate income tax.
The figures underline PAGCOR’s dual role in the Philippine gambling market: overseeing regulated gaming activities while also generating funds for public programmes and government obligations.
What the Results Mean for the Philippine Gaming Market
PAGCOR’s latest financial results provide an important indicator of the changing conditions within the Philippine gambling industry.
The particularly sharp decline in electronic gaming is likely to attract attention from operators, technology providers and other companies with exposure to the market.
For suppliers and platform providers, the figures raise questions about the performance of online gaming distribution, player activity and the wider commercial environment.
The licensed casino segment has proved comparatively more resilient, although its revenues have also moved lower. The decline across both online and land-based operations suggests that the slowdown is not limited to a single category.
PAGCOR Chairman and CEO Alejandro H. Tengco said the corporation would continue strengthening its operations and regulatory oversight while ensuring that regulated gaming revenues support government programmes and services.
The next financial reporting period will be important in determining whether the decline represents a longer-term shift in market conditions or a temporary period of weaker performance.
For now, electronic gaming remains the key segment to watch as the Philippine gambling industry moves towards the end of 2026.