Dito cuts losses to P3.4 billion in H1

MANILA, Philippines — The telco arm of Davao-based businessman Dennis Uy cut its net loss to P3.36 billion in the first half, thanks to expanding subscriber base in both mobile and fixed wireless access (FWA).

Based on its financial report, Dito CME Holdings Corp. trimmed its net loss by 72 percent in the six months to June, from P12.05 billion a year ago.

Dito CME raised revenue by 26 percent to P9.67 billion, offsetting the 16-percent jump in expenses to P16.39 billion.

Dito CME managed to cut net loss on the growing reach of youngest telco Dito Telecommunity Corp.

As of June, Dito serves 14.6 million subscribers in the mobile side and 240,000 customers in the FWA segment, as the provider is reaching more through new products.

Recently, the telco has picked up pace in its strategy to diversify portfolio and generate revenue.

In the broadband space, Dito is aiming to make its FWA segment into a billion-peso earner by 2026.

Dito targets to acquire 1.5 million subscribers for FWA services by next year, as it capitalizes on the demand for home connectivity at the height of digital adoption.

The youngest telco provider is also investing in more infrastructure for further reach, as it widened its network coverage to 957 cities and towns as of June.

Dito CME is confident in the momentum that Dito is making right now, especially as it is beating industry incumbents on service availability, consistency and quality as recognized by Opensignal.

Dito CME is far from nursing its financials to the point of profitability.

As of June, the company’s capital deficiency amounted to P82.64 billion, still blamed on the heavy spending it made for infrastructure rollout.

However, the management is optimistic about the recovery of Dito CME in the long run, as it works on raising fresh capital for capital and debt expenditures.