Metro Manila, Philippines — The Philippine Amusement and Gaming Corporation (PAGCOR) expects its income to fall by 18% in 2026 as weaker gaming activity weighs on revenues, its chairman said Monday, August 24.
During House deliberations on PAGCOR’s proposed 2027 budget, Chairman Alejandro Tengco said income is projected to decline to ₱86.95 billion in 2026 from ₱106 billion in 2025.
Tengco attributed the decline partly to the delinking of e-wallets from online gaming accounts late last year, which contributed to a roughly 40% drop in gaming activity.
Gaming activity began recovering in early 2026 but was later affected by the Middle East crisis, which weakened spending among PAGCOR’s online gaming customers, while land-based casinos also recorded weak revenues.
However, Tengco said gaming activity rose by about 10% in July and remained at that level in August, while tourist patronage at integrated casino resorts has also started to improve.
₱37B PSC obligation adds pressure
Tengco also said PAGCOR is facing a roughly ₱37-billion retroactive obligation to the Philippine Sports Commission (PSC) following a Supreme Court ruling requiring the agency to remit 5% of its gross income to the commission.
The obligation covers remittances dating back to 1993, with PAGCOR given 10 years to settle the amount. Tengco said the agency is currently in talks with the PSC over the payment.
The ruling, which became final in 2025, also increased PAGCOR’s regular monthly contributions to the PSC from an average of about ₱190 million to at least ₱300 million.
“Double whammy ang effect para sa PAGCOR,” Tengco said, adding that the higher remittances and retroactive obligation could affect the agency’s other projects and assistance programs.
