Philippine Gaming Revenue Falls 15.87% Year-on-Year for Q1 2026

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Philippine gaming revenue weakened in the first quarter of 2026, with gross gaming revenue falling 15.87% year on year to PHP87.6 billion (US$1.42 billion), according to PAGCOR.

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Key Takeaways:
  • First quarter revenue drops 15.87% amid softer discretionary spending
  • Electronic gaming sector experiences largest decline of 22.43%
  • Licensed casinos remain industry leaders despite downturn, with government support via dividends

The regulator said the setback was led by a 22.43% drop in electronic gaming, while licensed casinos still supplied the largest share of industry turnover at 50.83%.

Pressure from Spending and Inflation

PAGCOR chairman and CEO Alejandro H. Tengco said the downturn reflected softer discretionary spending, adding that geopolitical tensions in the Middle East and inflationary pressure were weighing on consumers.

“We attribute the first quarter dip to several factors, including softer discretionary spending amid geopolitical tensions in the Middle East, and rising inflationary pressures,” he said.

Licensed casinos generated PHP44.52 billion (US$723 million) in the quarter, while PAGCOR-operated casinos contributed PHP3.17 billion (US$51.48 million) and the electronic segment delivered PHP39.9 billion (US$648 million). 

PAGCOR also pointed to its PHP5.67 billion (US$92.11 million) dividend remittance, saying the funds would help support government efforts to cushion economic pressure and finance social programs.

Tengco emphasised that “we remain hopeful that once the geopolitical tensions stabilize, consumer confidence and discretionary spending will also gradually recover, which should help support improved industry performance.”

This dip in revenue is reflected across the country. Okada Manila gross gaming revenue fell 17.2% year-on-year in Q1. According to the company’s preliminary filing, the property’s problem was not footfall but spend.