State-run Philippine Amusement and Gaming Corp. (Pagcor) posted strong growth in gaming income in the first nine-months of the year that also surpassed its target for the period.
From January to September 2022, the government’s gaming operator and regulator reported that its income from gambling business jumped 76 percent to P39.16 billion from P22.28 billion in the same period last year.
The end-September gaming revenues also exceeded the P37 billion goal, the document showed.
Gaming income accounted for 92.6 percent of the agency’s total revenues of P242.27 billion, which increased 73 percent year-on-year from P24.36 billion.
Pagcor also reported that it generated P1.83 billion gains as well as P1.22 billion revenues from other services and business income.
Meanwhile, Pagcor stated that total expenses in the first nine-months jumped 65 percent to P16.1 billion from P9.77 billion last year. It was also above by eight percent against the P14.84 billion target.
Pagcor registered P3.47 billion profit in the first three-quarters, which accelerated from only P183.92 million last year.
The higher-than-expected gaming income comes as the Governance Commission for Government Owned or Controlled Corporations (GCG) revisits an earlier recommendation separating the commercial and regulatory functions of Pagcor.
Alex L. Quiroz, GCG chairperson said the position of the body may not be the same under the new leadership when it comes to Pagcor’s perceived conflicting functions as the government’s gaming regular and operator.
The 2018 GCG recommendation is currently being reviewed, but Quiroz said the final decision whether to privatize Pagcor’s casino operations will still depend on President Marcos.
In April 2018, GCG had recommended to former Duterte the separation of Pagcor’s two functions.
Last August, Finance Secretary Benjamin E. Diokno said the Marcos administration will be aggressive in its privatization program and first on its list the Pagcor.
Diokno said the sale of Pagcor’s gaming assets is among the options being considered by the Marcos administration to raise additional revenues.
“Pagcor’s new leadership will have to make know their plans moving forward. They should resolve the seemingly conflicting roles as an operator and regulator,” Diokno said.
“The new leadership should consider the worthiness of their move appropriate to their role,” he added.