Philippine economy

PLDT core income surges 13% to P27.1 billion in 2019

Ralf Rivas
PLDT core income surges 13% to P27.1 billion in 2019
Manny Pangilinan says PLDT's capital expenditure will be hiked to P83 billion in 2020 to further boost services and infrastructure

MANILA, Philippines – Telecommunications giant PLDT reported a core income of P27.1 billion in 2019, a 13% increase and higher than its target of P26 billion.

On Thursday, March 5, PLDT said its top line hit P157.7 billion, the highest full-year service revenues since the P153.5 billion recorded in 2014.

PLDT chief Manny Pangilinan said the company is spending P83 billion for 2020, which would further grow data usage of customers.

“Of this amount, P64.6 billion are earmarked for network and IT projects, mainly to support the explosive growth in data traffic. In addition, P18.5 billion, inclusive of P5.5 billion carried over from 2019, are to be spent for broadband installations, which are projected to grow strongly in 2020,” Pangilinan said.

Data and broadband services continued to power revenue growth, rising by 20% to P105.2 billion. Data now accounts for 67% of total revenues.

“Our sustained network improvement efforts over the past several years have given us the crucial advantage – enabling us to offer compelling data service offers that address our customers’ passions and pain points. This has powered our current revenue growth and is positioning us well for the future, including our ongoing preparations for 5G,” said Alfredo Panlilio, Smart president and chief executive officer.

Smart has conducted several pilot deployments of 5G. It set up base stations at its office in Makati City, within the Ateneo de Manila University campus, a lifestyle hub in Quezon City, and Clark, Pampanga. (READ: Q&A: How 5G is shaping up in PH, according to PLDT’s Joachim Horn– Rappler.com

Ralf Rivas

A sociologist by heart, a journalist by profession. Ralf is Rappler's business reporter, covering macroeconomy, government finance, companies, and agriculture.