GGRAsia – Pagcor 1H revenue from gaming ops down 20pct y-o-y

Pagcor 1H revenue from gaming ops down 20pct y-o-y

Jul 30, 2021 Newsdesk Latest News, Philippines, Top of the deck

State-run Philippine Amusement and Gaming Corp (Pagcor) reported net income of nearly PHP79.1 million (US$1.6 million) for the first half of 2021. It compared with a net loss of almost PHP1.60 billion in the prior-year period.

Pagcor is an operator of publicly-owned casinos as well as the regulator for the country’s entire casino industry, which includes privately-developed venues. The body saw its revenue from gaming operations decline during the period, as many casinos in the Philippines have remained closed or have been operating with restrictions, as part of efforts to stem the further spread of the Covid-19 pandemic in the country.

Pagcor’s aggregate revenue from gaming operations in the first six months of 2021 decreased by 19.9 percent year-on-year to just below PHP14.78 billion, compared to approximately PHP18.44 billion in the first half of 2020.

Pagcor had posted net income of approximately PHP152.6 million for the first three months of 2021. The company said at the time that total revenue from gaming operations for the first three months of 2021 had decreased by 51.4 percent year-on-year to just above PHP8.36 billion.

In its latest information, the gaming regulator said it paid out a total of almost PHP7.76 billion in gaming taxes and contributions from its first-half 2021 gaming revenue. The deductions included nearly PHP6.99 billion directly transferred to the Bureau of the Treasury. Pagcor is required by law to pass at least 50 percent of its gross earnings to that national government body.

Pagcor’s total expenses fell by 29.4 percent year-on-year to about PHP7.99 billion in the first six months of 2021, according to a financial statement posted on its website on Thursday. The body reported net decreases in overall operating expenses, as well as in contributions to social responsibility projects and other contributions mandated by special laws.

Pagcor said regulatory fees collected from licensed casinos reached approximately PHP6.32 billion in the six months to June 30, down from PHP6.80 billion a year earlier.

Casino operations in the Metro Manila area include the large-scale private sector sites of City of Dreams Manila, Okada Manila, Resorts World Manila, and Solaire Resort and Casino.

Metro Manila’s casinos are “currently allowed to operate at limited capacity,” said Pagcor in late May, in response to an enquiry from GGRAsia.

The operator of the City of Dreams Manila resort said earlier this week that the property was closed from March 29 to April 30 as part of community quarantine measures in Metro Manila. The property resumed gaming operations on May 1, but with capacity limited to 50 percent, it said. Gaming capacity at City of Dreams Manila has been further limited to 40 percent since Monday (July 26), said its promoter on Tuesday.