MVP sees PLDT attaining income goal of P35 billion

MANILA, Philippines — Industry leader PLDT Inc. is projected to close the year achieving its target of raising P35 billion in core income, as the telco managed to squeeze in profit growth amid market challenges.

Based on its financial report, PLDT raised its profit by one percent to P28.07 billion in the nine months to September, from P27.9 billion a year ago, as revenue grew at a pace quicker than the increase in expenses.

PLDT’s core income, measured as net income excluding non-telco ventures, inched up by two percent to P26.68 billion, signaling the steadiness of its flagship business.

PLDT chairman, president and CEO Manuel V. Pangilinan believes the telco is on track to reach its yearly guidance of P35 billion in core income.

However, he said the challenge is for PLDT to keep up with evolving consumer demands on the connectivity front.

“Today, telco is not merely a technology, it is a lifeline. Our customers expect connectivity that is instantaneous, seamless, reliable and extensive, and for products and services to work every time and everywhere,” Pangilinan said.

“With nine months of 2024 behind us, we reaffirm our guidance for telco core income at north of P35 billion,” he added.

Broken down, PLDT turned in a three-percent upswing in its revenue to P160.94 billion, buoyed by a four-percent jump in service earnings to P155 billion.

PLDT’s wireless segment accounted for the largest chunk of the revenue share, bringing in P62.1 billion, while broadband came next with P45.2 billion on steady growth from fiber services.

On the other hand, expenses rose by only two percent to P119.09 billion, as PLDT pursued several cost-cutting measures to improve its finances.

PLDT’s capital expenditures amounted to P52.3 billion in the nine months to September, still keeping within the annual guidance of P75 billion to P78 billion.

Recently, PLDT has come up with a handful of innovations to stay ahead of industry rivals. The telco entered the low-cost segment by launching its lowest fiber plan at P899 per month.

PLDT also created with Manila Electric Co. and Metro Pacific Investments Corp. a new venture called Kayana Solutions Inc., formerly DigiCo, to process customer data for the development of personalized products.

Kayana also acquired an additional 57 percent stake in Bayad Center for P2.88 billion, raising its ownership in the payment platform to 67 percent.