PLDT net income drops 33% as higher costs and investments weigh
Telecommunications giant PLDT Inc. saw a 33 percent decline in its net income to P13.4 billion last year, weighed down by higher expenses related to its aggressive network upgrade.
“This was mainly due to non-core capex-related expenses of P16.7 billion in connection with our transformation initiatives, including accelerated depreciation and loss due to a swap of network elements in certain part of the country,” PLDT said in a statement.
Revenues slid three percent to P159.93 billion. Revenues from data, broadband and digital platforms reached P67.1 billion or 47 percent of groupwide revenues.
The wireless group registered revenues of P58.9 billion, down 11 percent from the previous year.
Smart Communications more than doubled the number of LTE base stations on its cellular network to over 8,700 and increased the number of cell sites by 60 percent to over 4,300.
“Moving forward in 2018, we continue to level up even more. We are continuing our aggressive network roll-out to bring world class internet to more parts of the country. We are developing more compelling digital services and solutions for both consumer and enterprise customers.
We are overhauling our operations so that we can serve our customers in a more personalized way, and, do this quickly and efficiently,” said Manuel V. Pangilinan, chairman and president of PLDT.
PLDT plans to double its fiber to home and hybrid fiber capacity to over 2.2 million ports. By 2019, virtually all of PLDT’s 1.2 million copper-based DSL subscribers will be migrated to fiber-fast internet.
On mobile, Smart plans to double the number of LTE base stations to about 17,700 and raise the number of LTE-equipped cell sites to over 6,800.