PLDT forecasts 2.7% rise in core profit in FY2013

7 May 2013

Philippine Long Distance Telephone Company (PLDT) is forecasting that core net profit in full year 2013 will rise by 2.7%, reversing a 4.4% decline in 2012, on the back of an anticipated rise in internet and broadband revenue, Reuters reports. The Filipino telecoms giant issued the forecast after announcing that net income for the first three months of this year fell 8.0% year-on-year, partly the result of lower foreign exchange and derivative gains (related to the strong peso) and expenses arising from job cuts. The carrier booked net profit of PHP9.20 billion (USD224.8 million) in the period under review, compared to the (revised) PHP9.96 billion reported in Q1 2012. PLDT said that consolidated free cash flow remained stable at PHP7.1 billion at end-March 2013, albeit the figure was PHP5.0 billion lower year-on-year. Consolidated CAPEX in 1Q13 reached PHP3.1 billion, with full-year capital expenditure expected to reach PHP29.0 billion – PHP7.4 billion lower than the CAPEX spend for 2012.