TV5 moves closer to break even by 2019
TV5 NETWORK, Inc. is on track to break even by 2019 as its losses are gradually narrowing, TV5 Chairman Manuel V. Pangilinan said on Friday.
“I guess so, yeah [we’ll break even by 2019], so far the numbers are looking much better than last year. The losses are down significantly,” Mr. Pangilinan said on the sidelines of a forum organized by BusinessWorld on Friday.
The country’s third-biggest broadcast firm appears to be gaining momentum after years of losses, targeting to trim its net losses by 67% this year.
Earlier this year, TV5 President Vincent P. Reyes told reporters that the network “likely exceeded by 20% to 22%” of its revenue projections and earnings before interests, taxes, depreciation and amortization (EBITDA) in 2016.
Since the network, then named ABC Development Corp., was acquired in 2009, the PLDT Group has been pouring resources into TV5 to bring it at par with its competitors ABS- CBN Corp. and GMA Network, Inc.
Mr. Pangilinan said further manpower reduction is “unlikely” for TV5 and PLDT, Inc. this year.
“[TV5] no, unlikely. [For PLDT], if anything, if there’s any manpower reduction program, it will be voluntary, not mandatory,” he said, when asked if there will be further job cuts at the two companies.
TV5 earlier implemented efforts to streamline its work force and moved to shift to a new programming strategy that will highlight its own produced content.
Meanwhile, Mr. Pangilinan said he remains optimistic that the country’s gross domestic product ( GDP) numbers will improve the coming quarters after first quarter economic data fell below expectations.
“I was slightly surprised why it was… It was, I think, within range maybe but on the lower end of the range. But I think [National Economic and Development Authority] Secretary [Ernesto M.] Pernia pointed out that historically that has been the case if you compare it year on year, obviously this year is not an election year so there’s an explanation,” he said.
“I think we’re still optimistic that the succeeding quarters will be higher than 6.4%,” he added.
The Philippine Statistics Authority reported that GDP growth eased to 6.4% in the first quarter, below the low end of the government’s 6.5-7.5% target for the year and slower compared to the 6.6% posted in the preceding quarter and 6.9% in the same period last year.
TV5 is a wholly owned subsidiary of MediaQuest Holdings, Inc. Hastings Holdings, Inc., a unit of MediaQuest Holdings, has a stake in BusinessWorld through the Philippine Star Group, which it controls.