PAGCOR's 2026 Revenue Drop and Licence Freeze: What Operators Face

1What PAGCOR reported on 29 October 2026

On 29 October 2026 the Philippine Amusement and Gaming Corporation (PAGCOR) released its results for January to September 2026. According to GMA News’ report on the PAGCOR release, total revenues fell 23.41% to ₱64.41 billion, from ₱84.09 billion in the same period of 2025. Gaming revenue, which makes up most of that total, fell 23.44% to ₱58.13 billion.

The decline was uneven. Electronic gaming (the category that covers PAGCOR-licensed online and electronic games) fell 37.23%, from ₱44.03 billion to ₱27.63 billion. Revenue from licensed casinos slipped only 3.22% to ₱23.10 billion. PAGCOR’s own Casino Filipino branches fell 8% to ₱7.28 billion, and poker operations fell 4.60%. Chairman and CEO Alejandro Tengco said electronic gaming performance was the main reason for the drop.

Net income fell much further than revenue: down 84.85%, from ₱14.32 billion to ₱2.17 billion. PAGCOR attributed most of that to a Supreme Court ruling requiring it to remit 5% of its gross income to the Philippine Sports Commission (PSC). Section 2 explains the ruling.

• ₱64.41B
  Total revenue, Jan–Sep 2026 (−23.41%)
• ₱27.63B
  Electronic gaming revenue (−37.23%)
• ₱23.10B
  Licensed casino revenue (−3.22%)
• ₱2.17B
  Net income (−84.85%)

PAGCOR said it still remitted ₱45.28 billion to the government and its mandated beneficiaries over the nine months. That total includes ₱27.61 billion to the National Treasury, ₱11.19 billion for socio-civic projects, ₱3.01 billion to the PSC and ₱2.90 billion in franchise taxes.

2Why the numbers fell: e-wallets, spending and a Supreme Court ruling

PAGCOR’s October release mainly pointed to weaker electronic gaming. Earlier statements by its chairman give more detail. At a congressional budget hearing reported by The Philippine Star on 25 August 2026, Tengco said gaming activity fell by about 40% after online gaming platforms were delinked from e-wallets. That step followed a Senate request for the Bangko Sentral ng Pilipinas to act. He also cited the Middle East crisis and higher consumer prices, which he said mainly affected online players in income classes C, D and E. Our earlier article on e-wallet restrictions and BSP–PAGCOR payment measures explains how those payment changes work.

The decline had been visible all year. In Q1 2026, total industry gross gaming revenue (GGR) fell 15.87% year on year to ₱87.60 billion, and electronic gaming fell 22.43%, according to GMA News (2 June 2026). For the first half, PAGCOR’s revenues were down 26.64% and net income fell 85.29% to ₱1.58 billion, as reported by the Daily Tribune (30–31 July 2026). At the August 2026 budget hearing, PAGCOR projected 2026 total income of about ₱86.95 billion and net income of about ₱1.66 billion. Tengco also said he hoped peak-season play would make up for the weak first half.

The Philippine Sports Commission remittance

The ruling behind the drop in net income comes from a mandamus petition seeking PSC funding under Section 26 of Republic Act No. 6847, the law that created the PSC. The Supreme Court en banc ordered PAGCOR to remit 5% of its gross income to the PSC, and the decision was publicised in August 2024. According to the Daily Tribune (14 January 2026), a resolution dated 7 October 2025 denied PAGCOR’s and PCSO’s motions for reconsideration. It also held that the 5% is computed without deducting franchise tax and that PAGCOR “cannot rely on the doctrine of good faith.” At the August 2026 hearing, Tengco put the retroactive liability to the PSC at about ₱37 billion, with ongoing costs of ₱300–400 million a month (per The Philippine Star). How and when the retroactive amount will be settled could not be confirmed from public sources as of 6 November 2026.

3The licensing pause: no new online gaming licences since March 2024

Alongside the revenue decline, PAGCOR has kept a moratorium on new online gaming licences. At a House appropriations hearing in August 2025, Tengco said a PAGCOR board resolution dated 1 March 2024 had suspended new licences for online gaming sites and apps, and that only applications filed before that date were being considered. The Inquirer (20 August 2025) reported his statement:

“We only entertain those who have applied prior to March 1. 2024.”

— Alejandro Tengco, as reported by INQUIRER.net, 20 August 2025

A year later the pause was still in place. Focus Gaming News (27 August 2026) reported that at the 2026 House appropriations hearing, Tengco said PAGCOR would not add new online gaming operators in the immediate future. According to that report, PAGCOR said it would first assess the performance and make-up of the current licensed market. It also said the number of licensed online gaming operators had fallen from 74 to 48, and that PAGCOR was moving against licence holders that were not operating and appeared to be holding approvals in order to sell them. The same report said PAGCOR was developing an app to help the public tell licensed sites from unregulated ones.

1. 2024-03-01
   Board resolution suspends new online gaming licences (as described by PAGCOR in August 2025).
2. 2025-08-20
   House budget hearing: PAGCOR confirms only pre-1 March 2024 applications are being considered.
3. 2025-10-07
   Supreme Court denies motions for reconsideration on the PSC remittance (reported January 2026).
4. 2026-05-26
   National Problem Gambling Helpline launched.
5. 2026-08-27
   Moratorium retained; online operators reported at 48, down from 74.
6. 2026-10-29
   Nine-month results: revenue −23.41%, e-gaming −37.23%.

Neither report states how long the moratorium will last, and we found no published PAGCOR issuance setting an end date. The licensing pause should be treated as a policy that can change. Anyone affected should check its current status directly with PAGCOR before making commercial commitments.

4Responsible-gaming measures: the national helpline and advertising orders

PAGCOR’s most concrete 2026 measure on gambling harm is the 24/7 National Problem Gambling Helpline (NPGH), reachable at (02) 8248-9568. It was launched on 26 May 2026 with Seagulls Flock Organization Inc., a non-profit working on mental health and addiction. According to GMA News (27 May 2026), callers are connected to trained counsellors for confidential support, triage, referrals and longer-term help, and families of people with gambling problems can also call.

PAGCOR then made the helpline a compliance requirement for the industry. A 9 June 2026 memorandum from its Gaming Licensing and Development Department directed licensees, suppliers, gaming system administrators, gaming venue operators and other concerned entities to replace existing responsible-gaming advertisements with standard NPGH materials. According to the Inquirer (18 June 2026) and GGRAsia (17 June 2026):

• the order covered billboards, wallscapes, digital displays and other out-of-home placements;
• replacements were due by 15 July 2026 and had to stay up until 15 September 2026;
• a status report on the replacement programme was due by 16 July 2026;
• the NPGH materials needed no Ad Standards Council clearance and were covered by an exemption certificate instead; and
• non-compliance could lead to “regulatory sanctions and other penalties.”

GGRAsia reported that this followed PAGCOR’s July 2025 order removing out-of-home gambling advertising. At a Senate Committee on Games and Amusement hearing on 11 February 2026, PAGCOR said it was studying a complete ban on online gambling advertisements on television and radio and that it would prefer a total ban if possible, as reported by iGaming Today. We could not confirm whether a broadcast advertising ban had been issued as of 6 November 2026.

5Senate scrutiny and the ban-versus-regulate debate

The revenue figures come during an ongoing debate about whether legal online gambling should be allowed to continue. On 14 August 2025, the Senate Committee on Games and Amusement, chaired by Sen. Erwin Tulfo, opened hearings on online gambling proposals. According to PTV News (15 August 2025), these included Senate Bill No. 47, the proposed “Anti-Online Gambling Act” filed by Sen. Joel Villanueva, and a total-ban bill filed by Sen. Pia Cayetano. Senators’ positions ranged from an outright ban to stricter regulation and enforcement.

PAGCOR has consistently opposed a total ban. In July 2025, Tengco told the Inquirer that “Pagcor’s current stand is not a total ban, but stricter regulation.” He argued that a ban would push players to unlicensed offshore sites that do not verify age or pay out reliably, and that the government would lose substantial revenue. These are PAGCOR’s own arguments and estimates. Supporters of a ban cite the social and financial harm from gambling addiction and the spread of illegal sites, which the government continues to block and take down, as covered in our article on illegal online gambling enforcement, site blocking and takedowns.

The committee resumed hearings on 11 February 2026, when the discussion focused on advertising, know-your-customer rules and enforcement against illegal sites. For the bills themselves, including their numbers, authors and main provisions, see our explainer on online gambling bills pending in the Philippine Congress.

Status as of 6 November 2026: our research found no enacted law that bans online gambling or replaces PAGCOR’s current regulatory framework. The proposals we reviewed are bills, committee hearings and executive statements, not law. We could not verify whether any committee report has been approved or what stage each bill has reached. Readers should check the Senate and House legislative records before relying on any assumption about where the bills stand.

6Practical implications for operators, suppliers and applicants

Licensed operators

Fewer licensed online operators, a regulator under financial pressure and a possible ban on the legislative agenda all mean that compliance standards are rising, not easing. Operators should expect closer review of GGR reporting and fee payments, advertising and promotions, age and identity verification, and whether they actually operate the licence they hold. PAGCOR’s reported action against inactive licence holders suggests that a licence held but not used is now a liability.

Suppliers, platform providers and service vendors

The June 2026 helpline directive expressly covered suppliers and gaming system administrators. B2B providers should review which PAGCOR circulars apply to them directly and include the helpline and advertising requirements in their contracts with operators. If a client operator’s licence is suspended, cancelled or not renewed, suppliers also face concentrated credit and continuity risk.

Applicants and new entrants

Based on PAGCOR’s public statements, new online gaming licence applications filed after 1 March 2024 are not being processed. Applications filed before that date are still being considered, but approval is not guaranteed. Prospective entrants should not assume a new application window will open on a set date. Acquiring an existing licensee is not a simple workaround either: PAGCOR has signalled concern about licences being held for resale, and transfers of shares or control generally need regulatory approval. Our guide to change-of-control notifications and gaming licence share transfers explains the process.

• Confirm your licence status, conditions and renewal dates in writing with PAGCOR.
• Keep records showing compliance with the June 2026 NPGH advertising directive, including the 16 July status report.
• Reconcile GGR declarations and fee remittances against platform data before regulator audits.
• Review payment flows against current BSP and PAGCOR e-wallet restrictions.
• Stress-test your business plan against two scenarios: stricter regulation, or a statutory ban with a transition period.
• For pending applicants, document the filing date and keep the application file complete and up to date.
• For investors, carry out regulatory due diligence on any target’s licence history, activity and compliance record before signing.

7What to watch next and key takeaways

Several developments could change the picture in the coming months. These include full-year 2026 results and any PAGCOR statement on the moratorium, any issuance on fees or settlement of the retroactive PSC liability, committee action on the online gambling bills in the Senate and House, and any formal decision on television and radio gambling advertising. Each of these was still pending or unconfirmed as of 6 November 2026.

• PAGCOR’s January–September 2026 revenue fell 23.41% to ₱64.41 billion, led by a 37.23% fall in electronic gaming.
• Net income fell 84.85% to ₱2.17 billion, which PAGCOR attributed to the Supreme Court-mandated 5% PSC remittance.
• No new online gaming licences have been issued under the moratorium that began on 1 March 2024. Only earlier applications are being considered, and the licensed online market was reported at 48 operators in August 2026.
• The 24/7 National Problem Gambling Helpline and the June 2026 advertising directive apply to suppliers and system administrators as well as operators.
• A total ban remains a proposal, not law, as of the research date. Plan for stricter regulation and prepare a contingency plan.

If your company holds a PAGCOR licence, supplies licensed operators, has an application pending, or is considering an acquisition in the sector, Abanto Law Firm can review your regulatory position and documentation against current PAGCOR issuances. See our gaming licensing and PAGCOR compliance services or contact our Makati office to arrange a consultation.

8Frequently asked questions