State-run Philippine Amusement and Gaming Corp. (Pagcor) posted a contraction in revenues in the first nine-months of the year, missing its target for the period.

Based on the Pagcor’s third-quarter budget performance report, its income from gaming operations declined by 0.21 percent to P22.28 billion in January to September from P22.32 billion in the same period last year.

Against the target of P26.7 billion, Pagcor’s gaming income at end-September was short by 16 percent or P4.18 billion.

Pagcor also contributed lower to the Bureau of the Treasury in the first three-quarters amounting to P10.54 billion, below the P12.6 billion target.

Moreover, the gaming regulator’s franchise tax paid to the Bureau of Internal Revenue reached only P1.11 billion, short against the P1.33 billion target.

Pagcor’s total gaming taxes and contributions as of September also declined from P11.72 billion to P11.69 billion.

Meanwhile, Pagcor’s expenses dropped 22 percent to P12.38 billion in January to September from P15.91 billion in the same period last year.

Based on the Pagcor’s budget report, the decline in expenses was due to lower subsidy to national government agencies amounting to P2.6 billion, down from P5.18 billion a year earlier.

However, Pagcor’s financial expenses (P418 million) and subsidy to non-government organizations (P11.05 million) accelerated year-on-year by 4,467 percent and 1,005 percent, respectively.

Subsidy to local government units also posted a hefty increase of 643 percent to P429.43 million from P58.5 million in January to September 2020.

Pagcor registered a net income of P183.9 million in January to September, a reversal of the P3.25 million net loss seen in the previous year.

Source: Manila Bulletin (