PLDT’s net income climbs 38% to P21.9b
PLDT Inc., the biggest telecommunications company, said Thursday nine-month net income surged 38 percent to P21.9 billion, boosted by the gains from the sale of assets.
Excluding gains from the sale of shares in Beacon Electric (P6.9 billion) and SPi technologies (P1.4 billion), recurring core net income climbed five percent to P17.4 billion, or in line with the full year guidance of P22 billion.
Consolidated service revenue fell four percent in the first nine months of the year to P107.3 billion.
PLDT Home and Enterprise continue to set the pace for service revenues, posting double-digit growth rates in the first three quarters of the year.
Home revenues rose 12 percent to P24.3 billion, while enterprise revenues increased 11 percent to P25.3 billion.
The group’s wireless individual business, meanwhile, posted P44.2 billion in service revenues, down 14 percent from the same period last year.
PLDT chairman and chief executive Manuel Pangilinan said in a press briefing while there would be slight improvement in the cellular business, the company would rely mainly on the growth of its fixed line business and cost containment next year.
“PLDT for 2018 will rely mainly on fixed line for growth because we wan to keep pushing the envelope in term of our advantage in the fixed line business,” Pangilinan said.
Jenniffer B. Austria
Pangilinan said the company was prepared to spend in the continued rollout of its network to manage cost.
Should the company decide to increase capital spending, Pangilinan said the it would consider selling some assets.
Two of the company’s assets that could be on the selling block are the company’s P15-billion receivables from the sale of Beacon shares to Metro Pacific Investments Corp. It also may consider selling its six percent stake in Rocket, which is currently worth P12 billion.
“We should calibrate if we decide to raise beyond normal capital expenditure of P46 billion we will probably dispose or discount the Rocket shares or rediscount our outstanding receivables from MPIC to get the kind of cash need to take care of incremental capex,” Pangilinan said.