PLDT profit slips 1.77% to P8.87 billion as rising costs offset revenue growth

PLDT, INC. posted a 1.77% decline in first-quarter attributable net income to P8.87 billion from a year earlier, as higher expenses outweighed modest revenue growth.

Revenue rose 2.23% to P56.51 billion, the company said in a statement on Thursday. Service revenue accounted for the bulk of the total at P54.91 billion, while nonservice sales contributed P1.61 billion.

“We are moving in the right direction,” PLDT Chairman Manuel V. Pangilinan said. “The fundamentals are sound and the momentum is there, but our team is capable of more.”

He added that the company expects stronger execution as it continues to build on its performance.

Wireless services remained the main revenue driver led by Smart Communications, Inc. at P21 billion, while the home business segment contributed P15 billion.

PLDT said Smart’s mobile subscriber base continued to recover, supported by sustained demand for data services and growing uptake of fixed wireless access.

On the enterprise side, data usage trends remained strong, reflecting steady connectivity demand across consumer and business segments.

Total expenses rose 5.43% to P42.75 billion a year earlier. General operating costs accounted for the largest share at P18.2 billion, contributing to the overall increase in spending.

Core income, which excludes one-off items such as asset sales and certain investment impacts, declined 2.28% to P8.58 billion.

Maya Innovations Holdings contributed P285 million to PLDT’s core earnings during the quarter.

PLDT also reported continued growth in data consumption. Total traffic increased 10% to 1,583 petabytes, reflecting higher engagement across mobile, broadband and enterprise services.

The number of data users rose to 44.1 million from 43.2 million.

The company maintained its capital expenditure program, with first-quarter spending reaching P10 billion, slightly lower than P10.8 billion a year earlier.

For 2026, PLDT has set a capital expenditure budget in the mid-P50-billion range, lower than the roughly P60 billion spent in 2025, as it continues to prioritize efficiency and network optimization.

Separately, PLDT is moving to fully acquire Radius Telecoms, Inc. from Paragon Vertical Corp. for P2.94 billion.

The company’s board has approved the purchase of the remaining 65.1% equity interest, or 4.65 million common shares, giving PLDT full ownership of the company.

PLDT holds a 34.9% stake in Radius, which provides fiber infrastructure services to enterprise buildings, residential multi-dwelling units and gated communities.

Paragon Vertical is a wholly owned unit of e-Meralco Ventures, Inc., which is under Manila Electric Co.

PLDT shares rose 1.23% or P15 to close at P1,236 each on the Philippine Stock Exchange.

Hastings Holdings, Inc., a unit of the PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., holds a majority stake in BusinessWorld through the Philippine Star Group, which it controls. — Ashley Erika O. Jose