PAGCOR remits P4.59-B cash dividends to state treasury

DT·25 March 2024, 5:46 pm·1 min read

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PAGCOR remits P4.59-B cash dividends to state treasury — PAGCOR Chairman and CEO Alejandro H. Tengco (right) hands over a facsimile check to Deputy National Treasurer Eduardo Anthony Mariño III during a simple dividend turnover ceremony at the new PAGCOR Corporate Office in Pasay City. The check amounting to nearly P4.6 billion is the agency’s latest cash dividend to the government and represents 75% of PAGCOR’s net earnings in calendar year 2023. The turnover is also in accordance with Republic Act No. 7656 or the Dividend Law mandating government-owned and controlled corporations to remit part of their earnings to the Treasury.

The Philippine Amusement and Gaming Corporation (PAGCOR) today remitted a total of Php4.59 billion in cash dividends to the National Treasury to help fund the national government’s efforts in ensuring the country’s sustained economic growth and development.

The latest remittance represents 75 percent of PAGCOR’s net income in calendar year 2023. It is higher than the usual 50 percent remittance pursuant to the request of Finance Secretary Ralph Recto to PAGCOR to advance an additional 25 percent dividend to fund government expenditures.

PAGCOR Chairman and CEO Alejandro H. Tengco said the state gaming firm’s robust earnings from gaming operations enabled it to book Php79.37 billion in gross revenues and net earnings of Php6.13 billion in 2023 as dividend base, paving the way for a higher dividend rate declaration.

“Our remarkable income performance in 2023 set the stage for this higher dividend contribution to the national government, and this epitomizes not just financial success but our unwavering commitment to national development,” Chairman Tengco said.

The dividend declaration consists of Php3.06 billion or 50% of PAGCOR’s 2023 net earnings plus an advanced 25 percent or Php1.53 billion which may be applied to future dividend remittances.

The dividend check was received by Deputy National Treasurer Eduardo Anthony Mariño III during simple ceremonies at the new PAGCOR Executive Office in Pasay City.

Mariño said the higher remittance from PAGCOR would help set in motion the administration’s socioeconomic agenda as the country is coming from a challenging year where it found difficulty achieving growth targets due to inflation.

“Every peso of this latest remittance from PAGCOR is directly translatable to additional expenditure which can help accelerate growth. This would certainly empower the national government in initiating transformative change this year,” he explained.

The remittance by government owned and controlled corporations or GOCCs of at least 50 percent of their net earnings to the National Government is mandated under Republic Act (RA) No. 7656, otherwise known as the Dividends Law.