Pagcor posts record P3.71B profit in MayBy Daxim L. Lucas
Philippine Daily Inquirer
The Philippine Amusement and Gaming Corp. (Pagcor) reported a record operating profit in May—marking the 11th consecutive month of historic highs—despite growing competition from local and international gaming outfits.
In a statement, the state gaming regulator and operator said it posted a gross income of P3.71 billion last month.
The amount was higher by P680 million, representing a 22-percent increase, than the P3.03 billion reported during the same month last year.
“Our May performance is the third time this year to have posted a new revenue record,” Pagcor chairman and CEO Cristino Naguiat Jr. said. “We earned P3.56 billion in February and P3.67 billion last March.”
He attributed the agency’s performance to its “buoyant” gaming operations, saying it “derived 64 percent or P2.36 billion of [its] May income from Pagcor’s gaming operations, particularly from the winnings of gaming facilities nationwide.”
“Gaming action in our tables and slot machines remains upbeat,” he said. “In fact, our earnings from Pagcor’s own gaming operations last May increased by almost P350 million, or 17 percent, compared to our P2 billion gaming income in May 2011.”
Pagcor also generated P1.35 billion from other income sources like its regulation of licensed casinos, bingo franchisees, e-games and poker operations.
Naguiat said the “dynamic performance” of the agency’s branches allowed it to remit more funds to the state’s coffers to help fund the national government’s socio-civic programs.
Of the P3.71-billion income generated last May, some P1.61 billion was allocated as part of Pagcor’s contribution to “nation-building,” the agency chief said. “This is higher by P245 million, or 18 percent more than the P1.36 billion remittance we made in May 2011,” he explained.
Of this amount, P118 million was paid as franchise tax to the Bureau of Internal Revenue; P1.12 billion to the National Treasury, representing 50 percent government’s share from Pagcor’s gross income; P200 million to the President’s Social Fund; P56 million to the Philippine Sports Commission in support of the country’s sports program; P40 million to Pagcor’s casino-host cities for their community development programs; P70 million for socio-civic projects; and P6.64 million to the Board of Claims to help victims of injustice.
“We are definitely performing far better compared to last year,” Naguiat said. “With this upward income trend, we are optimistic that we will surpass our achievements in 2011 and reach our operational targets this year.”
The agency expects to generate P44 billion for 2012, about 70 percent, or P31 billion, of which is expected to come from its own gaming operations.
“We are happy to report that from January to May 2012, we have been above target in terms of our gaming income projection,” he said. “We hope to maintain this bullish performance for the rest of the year through more aggressive marketing and entertainment programs, improved gaming mix and delivery of better customer service.”
From January to May this year, Pagcor’s total income reached P17.43 billion. This is higher by P3.26 billion than the P14.16 billion earnings generated by the agency from January to May 2011.
Pagcor’s increased revenues during the first five months of 2012 also led to bigger government contributions.
Its contributions to its mandated beneficiaries during the first five months of 2012 reached P8.86 billion, higher by P2.37 billion than last year’s P6.54 billion.
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