Listed gaming service provider PhilWeb Corp. saw a return to profitability in the first quarter, as efforts to diversify revenue streams and strengthen core operations have started bearing fruit.
In a stock exchange filing, PhilWeb said it booked a net profit of P13.9 million in the first three months, reversing the P25.5 million net loss recorded in the same period last year.
Its revenue rose by 30.4 percent to P233.1 million from P178.8 million.
The company attributed the positive performance primarily to its online e-gaming solutions, a business that includes online gaming platform technology, systems integration, content distribution and operational supports.
PhilWeb said online e-gaming solutions recorded revenues amounting to P79.3 million during the quarter, accounting for approximately 34 percent of total revenue.
As a result of its stronger financial performance during the period, the company said it was able to reduce its negative stockholders’ equity to P240.5 million as of end-March from P254.4 million as of Dec. 31, 2025.
‘The negative stockholders’ equity does not arise from operational underperformance but is primarily attributable to the accounting treatment of treasury shares. This distinction underscores the group’s continued financial viability and its capacity to operate as a going concern,’ PhilWeb said.
Last year, the company disclosed plans to undertake several initiatives aimed at improving revenue and raising additional capital to address negative stockholders’ equity.
PhilWeb said it continues to enhance its revenue-generating capacity through the expansion of its electronic gaming system network, with the number of sites increasing to 126 in 2025 from 94 in 2024.
The company said the expansion reflects its continued efforts to scale its nationwide footprint and enhance recurring revenue streams.
PhilWeb is also proposing an increase in its authorized capital stock to P9 billion, consisting of six billion common shares and three billion preferred shares, from P2.6 billion, consisting of 1.85 billion common shares and 750 million preferred shares.
The planned increase is intended to provide the company with greater flexibility to raise capital, support future growth initiatives and further strengthen its financial position.
The company said it would likewise continue to pursue its plan to reissue treasury shares either to the open market or to existing stockholders, subject to applicable regulatory requirements and market conditions.
‘This initiative is expected to enhance capital efficiency and support the company’s ongoing financial strengthening efforts,’ it said.