Philippine Gaming Revenue Falls 11.41% in Q3 2026

E-Gaming Revenue Decline Weighs on Philippine Market

PAGCOR Chairman and CEO Alejandro H. Tengco said the slowdown in electronic gaming continued to affect the overall performance of the Philippine gaming industry during the third quarter.

GGR from electronic gaming, including E-Bingo, E-Games and Bingo grantees, reached Php35.28 billion, down 22.86% from Php45.73 billion in the third quarter of 2025.

The Php10.45 billion year-on-year reduction accounted for the largest share of the industry's overall revenue decline, highlighting the impact of the electronic gaming segment on the country's gaming market.

Inflation and geopolitical uncertainty affect spending

Tengco also pointed to broader economic conditions as contributing factors behind the weaker performance. Inflationary pressures and geopolitical uncertainties continued to influence consumer spending, particularly on discretionary activities such as gaming.

"These conditions have affected spending on discretionary activities, including gaming, and contributed to the weaker performance of certain segments," he said.

The figures reflect the challenges facing the Philippine gaming industry, particularly in electronic gaming, which experienced a more pronounced contraction than other major segments.

Licensed Casinos Maintain Stable GGR Performance

In contrast to the decline in electronic gaming, licensed casinos in the Philippines recorded a relatively stable performance during the third quarter.

The segment generated Php45.38 billion in GGR, representing a marginal 0.40% decrease from Php45.56 billion in the corresponding period of 2025.

Licensed casinos accounted for 54.20% of total Philippine gaming industry revenue during the quarter, maintaining their position as the largest contributor to national GGR.

This performance highlights the different trends across the country's gaming verticals, with land-based licensed casino operations showing greater revenue stability than electronic gaming activities.

PAGCOR-operated casinos also report a slight decline

Casinos directly operated by PAGCOR generated Php3.03 billion in GGR during the third quarter, down 4.81% from Php3.18 billion recorded a year earlier.

Although this segment also experienced a year-on-year decrease, its contraction was considerably smaller than the decline reported by electronic gaming.

The results underline the differing contributions of licensed private casino operators, electronic gaming providers and government-operated gaming venues to the overall Philippine market.

PAGCOR Points to Slower Pace of Industry Contraction

Despite the year-on-year decline in total GGR, Tengco highlighted an improvement in the pace of contraction compared with the previous quarter.

In the second quarter of 2026, the Philippine gaming industry recorded a 20.33% year-on-year decrease in GGR. The 11.41% decline reported for the third quarter therefore represents a slower rate of contraction.

"We recognize the challenges facing the industry, but the slower pace of decline in the third quarter is an encouraging development," Tengco said.

The PAGCOR chairman also reaffirmed the regulator's intention to work with licensed operators to support the industry's performance while maintaining responsible gaming practices and regulatory compliance.

"We will continue to work closely with our licensees to strengthen industry performance while ensuring that gaming activities are conducted responsibly and in accordance with regulatory standards," he added.

The third-quarter results show that the Philippine gaming market continues to face pressure from weaker electronic gaming revenues and broader economic conditions. However, the relative stability of licensed casinos and the slower pace of the overall GGR decline compared with Q2 provide further context for assessing the industry's performance in 2026.