Online Bets Pay Off: Philippine Gaming Revenue Jumps 26% in First Half of 2025

The Philippines’ gaming sector just rolled a winning hand. Gross gaming revenue surged to PHP214.75 billion ($3.73 billion) in the first half of 2025 — a 26% leap from the same period last year, fuelled mostly by the rapid rise of online and electronic platforms.

The boom isn’t just about big bets — it’s about big shifts. Traditional casinos are still pulling weight, but it’s the digital tables and virtual machines that are doing the heavy lifting. A new era of gambling might just be playing out — one click at a time.

Digital Games Take the Lead, Quietly Changing the Stakes

It’s no longer the roulette wheels or card tables drawing the most money. It’s screens.

Electronic games — from virtual slots to bingo apps — generated PHP114.83 billion ($1.99 billion) in gross revenues. That’s more than 53% of the total, according to data released by the Philippine Amusement and Gaming Corporation (PAGCOR). And yes, that’s more than half.

Licensed land-based casinos? Still solid, pulling in PHP93.36 billion ($1.61 billion), particularly in hubs like Metro Manila and Clark. PAGCOR’s own casino operations lagged behind, collecting just PHP6.56 billion ($111 million).

That’s a noticeable trend: digital formats are not just competing — they’re outpacing.

Online Gambling Becomes the Taxman’s Best Friend

Online gambling, long a shadowy force in Asia’s gaming scene, is now a pillar of the Philippines’ public purse. In just the first quarter, the sector delivered PHP51 billion ($880 million) in government revenue — a staggering 50% of the total gaming haul.

And that’s before the second quarter numbers even dropped.

More than 80 licensed e-gaming operators now run legally across the country. Their licensing and regulatory fees are adding up — quickly.

• PHP25.36 billion ($440 million) went straight to the National Treasury

• PHP2.7 billion ($46.9 million) paid in franchise taxes

• PHP1.3 billion ($22.6 million) allocated to the Philippine Sports Commission

It’s money the government didn’t have before — and it’s starting to matter.

The Numbers Behind the Boom

Here’s where things get clearer. PAGCOR’s performance in H1 2025 shows just how sharp the upward curve has been.

Here’s the part officials are highlighting — loudly and often.

PAGCOR Chairman and CEO Alejandro H. Tengco didn’t mince words. He said the agency could contribute PHP25 billion ($434 million) to the Universal Health Care (UHC) fund by year-end. That’s enough to provide PHP10,000 ($174) in health benefits for more than 2.5 million Filipinos.

His words?

“This is the kind of impact we strive for: turning revenues from regulated gaming into direct public benefit.”

That tone — firm but hopeful — shows where PAGCOR’s eyes are set. Less on jackpots, more on national impact.

What This Means for the Industry — and the Region

The Philippines is slowly becoming a regional model for regulated online gaming. At least, that’s what observers are starting to say.

Countries across Southeast Asia — many still ambivalent or outright hostile to digital gambling — are watching. The Philippine model blends regulation, taxation, and social returns. It’s not perfect. But it’s working.

That gives Manila a bit of bragging rights.

There’s also this: land-based casinos are unlikely to vanish. But their dominance? That might’ve already slipped.

Future Bets Are Digital — and Local

While foreign gamblers still fuel a decent slice of casino earnings, electronic gaming is more homegrown. It’s used by locals. Played casually. Built into apps. That makes it more stable — and less reliant on high-rolling tourists.

It’s also cheaper to run. Fewer staff. Fewer physical sites. Lower security costs. Higher margins.

One official close to PAGCOR, who asked not to be named, said: “The big casinos make headlines. The small terminals make the money.”