Rising compliance requirements are reshaping the Philippine online gaming sector, with listed operators reporting uneven 1Q26 results as stricter rules raise the cost of running licensed digital gaming platforms.
The assessment was made in a new report by Diego Cruz for Arden Consult, which examined DigiPlus Interactive, Bloomberry Resorts, PhilWeb Corporation and DFNN following the August 2025 delinking of online gaming platforms from in-app e-wallet access points.
Cruz wrote that the e-wallet delinking was only part of the explanation for the sector’s performance, with tighter know-your-customer rules, advertising limits, anti-money laundering requirements, supplier accreditation and other measures also increasing the operating burden for licensed operators.
The report included a disclosure that Arden Consult’s CEO and head of legal and regulatory, Atty. Marie Antonette Quiogue, sits on the board of PhilWeb Corporation as an independent director. Arden said the analysis represented the author’s views and was based on public disclosures.
‘The single-cause explanation is incomplete,’ Cruz wrote, noting that PhilWeb outperformed peers despite operating under the same regulatory environment.
E-wallet delinking adds friction, not a payments ban
The Bangko Sentral ng Pilipinas on August 14th, 2025 instructed supervised digital wallet providers, including GCash and Maya, to remove in-app icons, links and access points directing users to licensed online gambling platforms within 48 hours. Full disconnection was completed by August 17th, according to the report.
PAGCOR later reported that online gaming transactions fell by about 50 percent after the measure. The regulator’s monthly income from its share of licensed online gaming gross gaming revenue dropped from around PHP5.7 billion ($92.9 million) in May 2025 to about PHP2.9 billion ($47.3 million) by September, making its original PHP60 billion ($978 million) full-year GGR target for 2025 unlikely to be met.
However, the report said the order did not amount to a payments ban. Players could still fund existing accounts through e-wallets, but had to leave the wallet app and access operators’ sites directly, adding friction to the process.
Listed operators show uneven 1Q26 impact
DigiPlus was identified as the listed operator most directly exposed to the suspension, given its consumer-facing brands BingoPlus, ArenaPlus and GameZone. Its 1Q26 revenue fell 25 percent year-on-year to about PHP17.2 billion ($280.4 million), while EBITDA declined 42 percent to about PHP2.6 billion ($42.4 million). Net income fell 33 percent to about PHP2.8 billion ($45.6 million).
‘Our first-quarter performance reflects the softness following the delinking of licensed gaming platforms from e-wallet access points, which has affected user activity and transaction flows,’ DigiPlus Chairman Eusebio Tanco said in remarks cited by the report.
Bloomberry’s 1Q26 result was described as more mixed. The Solaire operator posted a net loss of about PHP116 million ($1.9 million), compared with a profit of about PHP3.3 billion ($53.8 million) a year earlier. The report cited VIP rolling chip volume down 39 percent, mass table revenue down 21 percent and electronic gaming machine coin-in down 22 percent, alongside softer VIP and premium mass demand.
At the same time, Arden said Bloomberry’s online platform revenue doubled within a single quarter. The group shut down MegaFUNalo! on May 1st, 2026 and replaced it with FUNaloMax, which the report said showed continued commitment to online gaming.
DFNN’s weaker performance was attributed to a combination of lower online gaming commission income and company-specific cost pressures. Its fiscal 2025 net loss widened 36 percent to about PHP411 million ($6.7 million), while general and administrative expenses rose almost 74 percent year-on-year.
PhilWeb stands apart under managed services model
PhilWeb was described as the outlier. The company reported 1Q26 revenue of about PHP233.1 million ($3.8 million), up 30 percent year-on-year and 33 percent quarter-on-quarter. EBITDA swung to a gain of about PHP23 million ($375,000), from a loss of about PHP3 million ($49,000), while net income reached about PHP14 million ($228,000), compared with a PHP26 million ($424,000) loss a year earlier.
The report said PhilWeb’s growth was driven by its managed services model, under which land-based casino operators bring PAGCOR licenses, brands and player-facing operations, while PhilWeb provides online platform technology, content, customer service, marketing and operational support in exchange for a share of gaming revenue.
PhilWeb’s Online e-Gaming Solutions segment generated about PHP79.3 million ($1.3 million) in 1Q26 revenue, or around 34 percent of group revenue, from essentially no contribution a year earlier. Publicly named platform clients include FBM Philippines, Hann Resorts in Clark, Tiger Resort, Newport World Resorts, NUSTAR Online and PT Gaming.
Cruz wrote that the growing compliance burden is pushing some operators toward specialist providers. New requirements include real-time selfie verification, tighter AML monitoring, advertising pre-clearance, supplier accreditation, responsible gaming tools and potential deposit restrictions.
‘The complexity is not a headwind. It is the sales pitch,’ the report said.
Arden said 2Q26 earnings would provide the next major signal on whether operator-level recovery is flowing through to listed companies. It also noted that future regulatory decisions, including any reinstatement of e-wallet mini-app access or movement on proposed online gambling bans, could alter the operating environment for licensed participants.
