Philippine President Rodrigo Duterte’s war on eGame cafés has proved costly for Philippine-based gaming technology provider PhilWeb Corp., latest data showed.

In a regulatory filing, PhilWeb reported a 62.8 percent drop in its net income to P229 million (US$4.59 million) in the third quarter of 2016 as a result of the closure of its e-Game cafes following the non-renewal of its gaming license.

Third-quarter revenues also declined 16.34 percent to P1.02 billion (US$ 20.43 million).

PhilWeb has winded up its Philippine operations in August after the local regulator confirmed that the company’s operating license wouldn’t be renewed. Prior to the expiration of its license, PhilWeb had a services contract to supply gambling terminal software to 286 PAGCOR-licensed eGames cafes, which offer a variety of slots, video poker and other digital casino gaming options.