State-run Philippine Amusement and Gaming Corporation (Pagcor) announced that its revenue for 2023 reached P79.37 billion, noting the rising electronic games and licensed casinos’ earnings to its growth.
In a statement, the government-owned and -controlled corporation said its revenue in 2023 rose by 34.63 percent, higher than the revenue it posted in 2022 at P58.96 billion.
Pagcor noted that its double-digit growth was driven by gaming operations, which reached a total of P73.11 billion.
Licensed casinos in the country’s integrated resorts are the biggest drivers in the gaming operations revenue at P33.18 billion or 45.38 percent of the gaming income.
This was followed by the fast-rising electronic games, including e-bingos, specialty games and sports betting at P21.66 billion or 29.62 percent.
Pagcor-operated casinos contributed P15.12 billion or 20.68 percent and offshore gaming at P3.15 billion or 4.31 percent of total gaming revenues.
Other sources, such as services, business income, gains, and non-operating income contributed P6.26 billion to Pagcor’s overall revenue.
The gaming corporation’s net income was P6.81 billion, posting a double-digit increase of 53.27 percent from P4.44 billion in 2022.
Pagcor Chairman and CEO Alejandro H. Tengco said the state gaming firm increased its contributions to nation building (CNB) to P49.56 billion due to its higher earnings, higher than the P34.67 billion CNB in 2022.
“Our robust revenue generation in 2023 allowed us to remit more funds to the government to finance various services, including funding for the Universal Health Care program, also known as PhilHealth,” the Pagcor chief was quoted in the statement as saying.
Tengco said majority of Pagcor’s CNB amounting to P34.72 billion has been remitted to the National Treasury, while P17.36 billion will go to PhilHealth to fund the free healthcare coverage to millions of Filipinos.
The Bureau of Internal Revenue (BIR) also received P3.65 billion as 5 percent franchise tax and P285.20 million for corporate income tax paid by Pagcor.
Meanwhile, the Philippine Sports Commission was also given P1.73 billion, while athletes and coaches who won in international competitions also received a separate P92.58 million as mandated by the Sports Incentives and Benefits Act.
Pagcor will also remit P3.06 billion to the National Treasury in cash dividends and the local government units (LGUs) that host Casino Filipino branches will receive a total of P451.72 million.
Additionally, P63.12 million would be given to the Department of Justice’s Board of Claims to compensate persons who were wrongfully imprisoned.
“With the Philippine gaming industry’s full recovery from the impact of the pandemic, we are optimistic that Pagcor will sustain this growth momentum in the coming years,” Tengco said.
Last month, Pagcor posted its gross gaming revenues (GGR) for 2023, which rose by 11.22 percent to P285.27 billion, higher than the revenue posted in 2019 at P256.49 billion and breaching its pandemic-level revenues.
“The main driver really is electronic gaming. The [e-gaming sector] has brought up our revenue substantially. The growth is very exponential and I believe it will continue to grow,” Tengco told reporters earlier. (See: https://businessmirror.com.ph/2024/01/16/e-gaming-may-outpace-other-pagcor-revenue-drivers/)