Pagcor has kicked off 2025 with strong results, reporting PHP28.07 billion ($502.8 million) in revenue for the first quarter. The main push came from the online gambling sector, which continues to grow even as the regulator moves away from offshore gaming.
Good to know
- Online games and bingo made up more than half of total gaming revenue
- Revenue rose despite the shutdown of offshore gaming
- Lower fee rates helped attract more licensed operators
Online gambling, including electronic games and bingo, was responsible for PHP14.32 billion of the total—about 56%. That left licensed land-based casinos with a 32.6% share at PHP8.32 billion, while casinos operated directly by Pagcor brought in PHP2.88 billion, equal to 11.3%.
Even without the contribution of POGOs—Philippine Offshore Gaming Operations, which were halted in December 2024—Pagcor still posted an 11.2% increase in revenue from the same quarter last year.
Lower expenses boost bottom line
The agency not only earned more but also spent less. Operating costs fell by 15.5% to PHP6.21 billion. That helped lift net income to PHP4.22 billion, up 23% from last year’s Q1 result.
Chairman and CEO Alejandro Tengco credited improved internal practices and reforms for the turnaround. “This solid performance reflects Pagcor’s commitment to responsible governance and fiscal discipline,” he said.
As a result of stronger financials, Pagcor was able to allocate PHP18.9 billion to nation-building programs—up 21.5% year-on-year.
Fee reductions attract new licensees
To help bring more operators into the legal market, Pagcor has lowered its tax rates for online gambling twice in the past year. The most recent cut, in effect since January 1, dropped the rate from 35% to 30%.
Tengco noted that these reductions are helping to curb illegal gambling while drawing more licensed service providers into the fold. The number of accredited providers jumped from 49 in 2023 to 174 by the end of 2024.
In the full-year 2024, now-discontinued POGOs generated PHP2.99 billion. Their exit was followed by Pagcor’s continued push to streamline its licensing model and boost domestic digital gambling activity.
Tengco said the gradual fee reductions have encouraged more companies to sign up. By the end of 2024, Pagcor had accredited 174 licensed service providers—up from just 49 in 2023.
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