Pagcor profit surges over six-fold in 2018

MANILA, Philippines — The net income of state-run Philippine Amusement Gaming Corp. (Pagcor) surged more than six times in 2018 following the sale of its big-ticket asset located in the Entertainment City in Parañaque City.

According to the latest data posted on its website, Pagcor’s net income in 2018 soared by 536.62 percent to P31.49 billion from the P4.95 billion recorded in 2017.

This was also more than 11 times higher than the gaming regulator’s net income goal of P2.78 billion for the year.

Pagcor chairman Andrea Domingo, in a text message, attributed the increase to the growth in gaming revenues, as well as the sale of the gaming regulator’s real estate property to Bloomberry Resorts Corp.

Last year, Pagcor approved Bloomberry’s purchase of its 16-hectare property in Entertainment City for P32.72 billion.

Income from gaming operations also grew by 18.34 percent to P67.85 billion compared to P57.34 billion in 2017.

The gaming regulator remitted P35.62 billion of the amount to the government in the form of gaming taxes and contributions. Of the amount, P32.17 billion went to the national treasury, while P60 million was given to the Dangerous Drugs Board.

Pagcor, as a state corporation, is mandated to remit 50 percent of its gross income to the national government.

As a result, Pagcor reported a total revenue – net of gaming taxes and contributions – of P68.5 billion, 130.22 percent higher than the previous year’s level of P29.76 billion.

Meanwhile, Pagcor’s total expenses also amounted to P36.86 billion, 49.09 percent up from P24.73 billion last year.

The bulk or P20.61 billion of the amount came in the form of subsidies to the government agencies and local government units, as well as donations, as part of Pagcor’s corporate social responsibility projects.

Operating expenses also amounted to P13.69 billion, while contributions, as mandated by special laws, reached P2.56 billion.

The state corporation posted a total assets of P75.71 billion as of end-December 2018, while total liabilities and equities reached P43.84 billion and P31.88 billion, respectively.