Philippines’ GGR dips 16% in Q1 as global tensions weigh on sector
The Philippine gaming industry posted gross gaming revenues (GGR) of PHP87.60 billion ($1.4 billion) in the first quarter of 2026, marking a 15.87 per cent decline from the PHP104.12 billion ($1.7 billion) generated during the same period last year, according to the Philippine Amusement and Gaming Corporation (PAGCOR).
PAGCOR attributed the downturn to weaker performance across the electronic gaming segment, including E-Games, E-Bingo, bingo and poker operations, which recorded a combined 22.43 per cent year-on-year drop in revenues between January and March.
“We attribute the first quarter dip to several factors, including softer discretionary spending amid geopolitical tensions in the Middle East, and rising inflationary pressures,” Alejandro Tengco, PAGCOR Chairman and CEO, said.
The decline comes as the global gaming sector grapples with volatility linked to escalating tensions in the Middle East. Earlier this year, Tengco warned that rising oil prices and travel disruptions were beginning to affect gaming jurisdictions globally, including the Philippines. He noted at the time that even mature gaming markets such as Singapore, Macau and the United States were not insulated from the impact of the energy crisis and geopolitical instability.
Land-based casino delivers bulk of 1Q revenue
Licensed casinos remained the country’s largest gaming revenue contributor during the first quarter, generating PHP44.52 billion ($720.8 million) and accounting for 50.83 per cent of total GGR. Meanwhile, the electronic gaming sector generated PHP 39.90 billion ($646 million) in revenue, representing 45.55 per cent of the market. PAGCOR-operated casinos generated PHP3.17 billion ($51.3 million), equivalent to 3.62 per cent of industry-wide GGR.
Despite the softer quarter, Tengco maintained an optimistic outlook for the sector, citing ongoing investments in integrated resorts, digital gaming platforms and responsible gaming initiatives.
“We remain hopeful that once the geopolitical tensions stabilise, consumer confidence and discretionary spending will also gradually recover, which should help support improved industry performance,” he said.
Philippines remains a key regulated market in Asia
According to the SiGMA World Asia Market Report 2026, the Philippines remains one of the strongest regulated gaming jurisdictions in the region despite short-term market pressures.
The report, based on data from iGaming market intelligence provider Blask covering April 2025 to March 2026, described the Philippines as Asia’s “regulated powerhouse.” The report said it is driven by its digital-first population, English proficiency and structured licensing environment.
The study found that the country recorded a monthly gaming revenue peak of over $1 billion in the past year, reinforcing its role as one of Asia’s most mature regulated gaming markets.
Across 28 Asian markets analysed, the report estimated total regional gaming revenues of $45.5 billion, supported by 155.7 million active players.
Industry figures interviewed for the report said Asia’s gaming ecosystem continues to expand faster than regulation in many jurisdictions. Joe Pisano said the region should no longer be viewed as an emerging market. “Asia is not an emerging gaming market; it is an existing market that is still formalising,” Pisano said.
For the Philippines, analysts believe the country’s regulated framework and established operator ecosystem continue to provide resilience even during periods of economic pressure.
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