PAGCOR’s 2025 revenue slips 5% as land-based casinos weaken

Revenue decline shows shift in demand

The Philippine Amusement and Gaming Corporation reported PHP106.03 billion in total revenue for 2025. This marked a 5.09 percent decline from PHP111.72 billion recorded in 2024. Gaming operations produced PHP95.15 billion, slightly below the previous year’s PHP97.53 billion. 

Other income — such as interest, income, and service fees — added PHP10.88 billion. The results point to steady demand overall, but clear pressure in traditional casino activity. PAGCOR’s revenue base remains broad, yet growth now comes from fewer areas.

Land-based casinos post weaker results

Land-based casinos delivered the sharpest declines during the year. PAGCOR-operated casinos earned PHP10.38 billion, down 18.12 percent year on year. Licensed private casinos also saw lower income, generating PHP31.44 billion, a 4.93 percent drop. PAGCOR Chairman and CEO Alejandro Tengco linked the decline to changing player choices. 

More users now prefer online casino games over visiting physical venues. This slow shift — seen across several markets — is now strongly reflected in annual results. Traditional casinos face growing pressure as habits continue to change.

Online gaming takes the lead

Digital and electronic gaming became PAGCOR’s main revenue driver in 2025. Combined income from eGames, eBingo, and bingo grantees reached PHP53.33 billion. That amount accounted for more than half of total gaming revenue. The segment grew 9.30 percent year on year, helping balance weaker land-based earnings. 

Without this growth, overall revenue could have fallen further. Tengco said PAGCOR updated its rules — focusing on player safety, transparency, and fair play — as online use increased. The regulator appears focused on keeping pace with rising digital demand.

Offshore gaming exit impacts totals

The removal of offshore gaming also affected full-year figures. Offshore gaming had contributed nearly PHP3 billion in 2024. That income disappeared in 2025 after a government ban took effect. 

At the same time, new online casino rules raised licensing and compliance costs. Industry figures say this pressure may lead to consolidation, especially among smaller operators. The sector now faces a tougher regulatory environment with higher entry barriers. Key pressures shaping the market include:

• Declining land-based casino visits

• Rising online gaming participation

• Higher compliance costs for operators

Net income grows despite revenue drop

Despite lower revenue, PAGCOR reported net income of PHP17.47 billion in 2025. This represented a 4.18 percent increase from the previous year. The agency also contributed PHP66.95 billion to public funds, mainly through payments to the National Treasury. 

Hence, PAGCOR remained financially stable during a challenging year. The results suggest a clear direction — online gaming now anchors the industry’s future.