Alejandro Tengco, the PAGCOR’s chair and chief executive officer, emphasized that the two properties’ operations were no longer feasible
The Philippine Amusement and Gaming Corporation (PAGCOR) announced that it will be closing two underperforming casinos, in line with its rationalization plan.
The Two Sites Were Not Profitable
On February 3, the PAGCOR confirmed that the Casino Filipino site in Talisay, Cebu has already been closed off. In the meantime, the agency noted that it is also preparing to put an end to the Casino Filipino property in Tagum, Davao del Norte.
The PAGCOR’s reason for shuttering the two venues is that both have been recording significant losses over the past few years. The Casino Filipino in Talisay, for context, was operated by Casino Filipino Cebu. According to official data, it incurred net losses of PHP 39.32 million ($670K) in 2023 alone. These unfavorable results worsened in 2024 when the property posted PHP 49.56 million ($850K) in losses.
Casino Filipino Tagum, which was operated by Casino Filipino Grand Regal, on the other hand, recorded a PHP 31.56 million ($540K) net loss in 2023. This loss was exacerbated in 2024 when the property reported PHP 36.93 million ($630K) in losses.
Alejandro Tengco, the PAGCOR’s chair and chief executive officer, emphasized that the two properties’ operations were no longer feasible. Considering the financial strain, shutting the two properties down seemed to be the most logical choice. This decision aligned with the agency’s ongoing rationalization plan.
All Employees Will Be Redeployed
Tengco emphasized that even though the PAGCOR’s decision was driven by the financial losses of the two venues, no employee will be displaced. He underscored the agency’s commitment to safeguarding the welfare of all affected employees.
Tengco promised that existing casino employees would be reassigned and backed with comprehensive support programs. The 42 employees from the now-shuttered Casino Filipino Talisay will be transferred to various branches under Casino Filipino Cebu. In the meantime, the 33 workers at Casino Filipino Tagum will be redeployed across various sites under the Casino Filipino Grand Regal in Davao.
The PAGCOR chair promised that the HR department will make sure this process is as smooth as possible.
Our Human Resource and Development Group is actively working with affected employees to facilitate a smooth transition, ensuring that each individual receives guidance and assistance in their reassignment.
Alejandro Tengco
PAGCOR Posted Strong 2024 Financials
The decision to shut down the two Casino Filipino properties in question comes several days after the PAGCOR published its financial report for 2024. The agency revealed all-time high revenue figures, which it attributed to the growing interest in online gaming products.
The figures showed that the Philippines has not only recovered from the effects of the COVID-19 pandemic but has also exceeded its pre-COVID financials.
The rationalization plan will further streamline the PAGCOR’s casino operation, allowing it to further bolster its financials and remain able to support its employees.
However, the Philippine gaming sector continues to face competition from illicit offshore operators. Because of that, lawmakers vowed to protect the country from illegal gambling and ensure the country’s permanent removal from international watchlists.
