DITO FY24 net loss: P41-B (down 109%)

DITO CME [DITO 1.26 ?3.8%; 180% avgVol] [link] posted a FY24 net loss of P41 billion (-109%). The “3rd telco” experienced a 45% increase in consolidated revenues to P16.3 billion, ending FY24 with 13.67 million subscribers (+52%) and an average revenue per user (ARPU) per month of P108 (-16%). DITO narrowly avoided suspension on Friday by submitting its Annual Report late, but before the PSE’s cutoff for suspension. DITO also released its Q1 figures, which showed a P4.6 billion net loss (+37% y/y), driven largely by a P1.0 billion bump in service revenues, coupled with P2.5 billion in foreign exchange gains. DITO said that its subscriber count grew to 13.9 million, and its monthly ARPU grew to P110.

 MB BOTTOM-LINE:  So DITO had 15 million subscribers at the end of FY22, 9 million subscribers at the end of FY23, and 13.7 million subscribers at the end of FY24. Why? I actually don’t know, because they don’t discuss it directly. Maybe someone experienced in analysing the telecommunications industry would be able to reverse engineer the “why” based on DITO’s other metrics, but that’s not me; I don’t know why. All I know is that they booked P8.3 billion in forex losses, and their interest expense is up 90% to P18.6 billion. Q1 is looking like a big improvement, but they have a long way to go.
 

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