Since March 2020, when the COVID-19 boom began, gaming companies have seen hard times. Operators were shut down and then restricted on what they could offer for months on end. As COVID-19 restrictions have eased around the world over the last few months, the recovery process has been boosted. In the Philippines, restrictions are loosened, with Philippine Amusement and Gaming Corp. (PAGCOR) expected to see a big boost in earnings this year.
PAGCOR chairperson and Chief Executive Officer Andrea Domingo said earlier this week that gross gaming revenues should almost double in 2022 due to restriction changes. The year began with a few issues, as COVID-19 cases were on the rise. January and February were subject to restrictions, but it seems that now operations have rebounded.
What’s to Come?
Domingo attended the Kapihan sa Manila Bay virtual forum where and expected revenues. During the forum, Domingo said that it is possible that the operator will reach P25-P30 by June. At this pace, the amount could reach P60 to P65 by the year’s end. If the operator reaches its estimates, it would be almost twice as much as what was earned in 2021.
Data shows that the agency was able to generate around P18 billion in revenues in the year ending on April 25. This was achieved with operations at 90 to 100%. The amount is expected to increase during the second half of 2022.
Additional Details from the Forum
More information was provided during the forum on the company’s status and future plans. Domingo said that is looking to obtain an exemption from the election spending ban. This is a resolution by the Commission on Elections that orders social welfare project programs and services to have a certificate of exemption to continue. They hope to be exempted from the new rule.
According to Domingo, the President is no longer asking PAGCOR for socioeconomic project funds in 2002. Instead, the President wants funds to go to the National Treasury and the company has done so. The company has already contributed P6 billion to the government via advanced dividends to help with the COVID-19 pandemic.
Recent Licensing Approvals
As PAGCOR continues operations in the Philippines, the company has continued to provide licensing to new companies. Just last month, it was announced that the International Entertainment Corporation is working on the terms of its license to bring a casino hotel to Manila.
The company actually received licensing last year, but the plan for the property was delayed due to negotiations surrounding the terms of the 15 year deal.