MANILA, Philippines – Shares of telecommunications giant PLDT fell 19.4% on Monday, December 19, erasing P61.8 billion in market value after the company disclosed its P48-billion budget overrun.

PLDT’s stock price fell to P1,192 apiece, the lowest close so far in 2022 and a few pesos away from its 52-week low of P1,187.

Comparing the latest stock price to its 52-week high of P1,984, the value of the stock is down by almost 40%.

PLDT is an index heavyweight and one of the most valuable listed companies in the country. 

The Philippine Stock Exchange index dropped 1.27% on Monday.

Last Friday, December 16, PLDT told the local bourse that it found its actual expenses for the past four years exceeded its budget by P48 billion, which is 12.7% of the total capital expenditure spend over the period.

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PLDT probing P48-billion budget overrun, revamps management

PLDT said it would implement reorganization and conduct an internal probe. Last Thursday, December 15, PLDT appointed Emmanuel Lorenzana as chief transformation and customer officer, Joseph Gendrano as chief technology officer, and Danny Yu as group controller.

In an interview with the Inquirer, tycoon Manny Pangilinan said they will impose harsh sanctions on company officers proven to have been involved in the irregularities.

“We have to set an example…. We have to send a message. We have to be firm,” Pangilinan told the Inquirer. – Rappler.com