PLDT profit hits P12.2B in H1

DESPITE restrictions imposed to prevent the coronavirus pandemic from worsening, listed PLDT Inc. saw its net income attributable to equity holders rise by 1 percent to P12.28 billion in the first six months of 2020 from P12.20 billion in the same period last year.

In a disclosure on Thursday, the Pangilinan-led company reported that its telco core income increased by 5 percent to P13.9 billion in January to June, while total service revenues grew by 8 percent to P82.8 billion from the year-earlier amount.

Data and broadband revenues jumped by 18 percent to P59 billion, accounting for 71 percent of PLDT’s total service revenues.

Earnings before interest, taxes, depreciation and amortization also climbed by 8 percent to P43.2 billion, driven by its topline.

During a virtual briefing, PLDT Chairman Manuel V. Pangilinan expressed hope the strong growth momentum would continue into the second half as the company further targets to bolster its network to support rising demand for connectivity amid the pandemic.

Although he said in May that PLDT’s capital expenditures would be cut by 24 percent to P63 billion from the initial P83 billion, it was now looking to spend P70 billion this year “to accelerate the buildup of the network.”

Noting that the Philippine economy fell into a technical recession after it contracted by a “worrisome” 16.5 percent in the second quarter, Pangilinan admitted that it might affect PLDT’s revenues moving forward.

“[I]t will impact people’s ability to spend on telco products,” he said. “But part of our job for the balance of the year is to contain our costs, because that’s within our control. But revenues, we are uncertain of.”

PLDT shares inched up by 1.26 percent or P17 to finish at P1,370 apiece on Thursday.