In the latest financial quarter, the Philippine gaming sector recorded a remarkable increase in gross gaming revenue (GGR), climbing by 37.52% to reach P94.61 billion. This surge, as reported by the Philippine Amusement and Gaming Corp. (PAGCOR), is primarily attributed to the substantial growth in the electronic gaming segment, which alone generated P35.71 billion, a stark rise from P6.32 billion in the same period last year.
Comprehensive growth across gaming sectors:
Alejandro H. Tengco, PAGCOR’s Chairman and Chief Executive Officer, articulated his positive outlook, anticipating that by the year’s end, the electronic gaming sector could produce as much as P78 billion in license fees. This projection is part of a broader strategy to achieve a P100-billion revenue target for 2024. As BusinessWorld Online reports, despite a slight downturn, licensed casinos continued to be a major contributor to the third quarter’s GGR, bringing in P50.72 billion, down 2.27% from last year’s record of P51.90 billion. However, Casino Filipino venues saw a more significant revenue decline of 26.32%, totaling P3.64 billion. Bingo operations also experienced a downturn, with revenues decreasing by 19.43% to P4.52 billion.
This fiscal performance is indicative of the growing influence of technology in the gaming and entertainment sectors, as highlighted by Tengco. He noted, “This impressive performance is a strong indication that the use of modern technology and mobile gadgets in gaming and amusement will continue to play a pivotal role in shaping the future of gaming.” His statement reflects a broader trend where digital platforms are increasingly integrating into daily activities such as shopping and entertainment, suggesting a promising trajectory for the e-gaming sector.
Economic contributions and regulatory changes:
The overall health of the Philippine gaming industry appears robust, as evidenced by the revenues accrued over the nine-month period totaling P266 billion, reaching nearly 80% of PAGCOR’s annual target. This growth includes a significant economic impact from the electronic gaming sector, which has compensated for the phasing out of Philippine offshore gaming operators (Pogos), once a burgeoning industry under former President Duterte. President Ferdinand Marcos Jr. has since implemented a ban on Pogos due to associated criminality and reputational risks, leading to a shift in regulatory focus and market dynamics.
The departure of Pogos, which had seen a decline in revenues from P73.3 million in 2016 to P5 billion by 2023, contrasts starkly with the gains in electronic gaming, where the adoption of modern technologies is evidently filling the revenue gap. This shift is part of a larger evolution within the gaming landscape, reflecting changing consumer behaviors and technological advancements.
As the year progresses, PAGCOR remains optimistic about reaching its revenue goals, thanks in large part to the dynamic growth of the electronic gaming sector. The industry’s ability to adapt to technological trends and integrate them into gaming experiences is key to its continued success and expansion. This adaptability not only aligns with global digital trends but also underscores the sector’s potential to significantly influence the Philippine economy through job creation, tax revenues, and enhanced tourist attraction.
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Vanja Mitic 2024-11-15 14:29:41
