Pacific Online Systems Corporation, a gaming unit of Belle Corporation, has been awarded the P4.09 billion contract for the 5-year Lease for Web-Based Application Betting Platform for E-Lotto by the Philippine Philippine Charity Sweepstakes Office (PCSO).
In a disclosure to the Philippine Stock Exchange, Pacific Online said it received on June 19, 2024, the notice from the PCSO informing the Corporation that the PCSO Board of Directors has approved the recommendation of the Special Bids and Awards Committee declaring the Corporation as the Single Calculated and Responsive Bid for the Project.
With the issuance of the Notice of Award, Pacific Online will now be complying with the post-Notice of Award requirements of the PCSO; thereafter, the contract between the Corporation and PCSO covering the terms and conditions of the Project will be executed.
Pacific Online disclosed last May 30, 2024, that it was the sole bidder for the 5-year lease of the E-Lotto platform.
As the Single Calculated Bid, the bid submitted by the corporation was subjected to post-qualification review by the PCSO-SBAC.
The lottery equipment lease agreement between Pacific Online with the PCSO expired effective Oct. 1, 2023. In its place, PinoyLotto, a joint operations company owned by Pacific Online, Philippine Gaming Management Corporation, and International Lottery & Totalizator Systems, Inc. (ILTS) has started nationwide operations in providing lottery equipment to PCSO.
On Aug. 30, 2023, Pacific Online signed a Memorandum of Agreement with PCSO in connection with the latter's implementation of a One-Year Trial Run for a Web-Based Application Betting Platform (WABP).
Through the WABP, the PCSO aims to develop and promote more marketable, adaptable, resilient, and trendy betting platforms, considering the evolution of the gaming market and the advancements in technology.
The MOA covered a trial period for the WABP for one year, subject to renewal, during which Pacific Online will be acting as PCSO's exclusive agent. The trial period started on December 15, 2023.
Pacific Online reported an 86 percent fall in net income to P13.4 million for the first three months of 2024 from P93.5 million for the same period in 2023 due to the drop in its revenues.
Consolidated revenues dipped five percent to P138.9 million for the first quarter of 2024 from P146.5 million in the same period last year mainly due to the transition from the legacy system to the nationwide lottery system under its joint operation, PinoyLotto Technologies Corp.
In 2024, Pacific Online also incurred other expenses pertaining to interest expense in relation to the loans availed by PinoyLotto to fund its capital expenditures and nationwide operations.