THE Philippines’ largest media conglomerate ABS-CBN Broadcasting Corp. said its net income fell 14 percent in the first quarter of the year to P242 million from P280 million in the same period last year.

                Rolando Valdueza, chief finance officer of the company, said Thursday the lower net profit was due to the absence of gains recorded during the period. Last year ABS-CBN registered an income of P84 million, representing gains from Direct TV license fees and political advertisements.

                Despite the decline, he said the company remains upbeat on its financial performance this year as they continue to see an improvement in airtime revenues. The network executive said that from January to April this year, ABS-CBN’s net income amounted to P409 million versus P397 million in the same period a year ago. “April was a very good month where we see increase in ad minutes,” he said.

                Gross revenues for the period rose 3 percent to P4.3 billion,  driven by higher airtime revenues and direct sales, which improved 4 percent and 7 percent, respectively. Excluding license fees, consolidated revenues grew 5 percent year-on-year. As of end-March, total subscriber base of ABS-CBN Global increased 15 percent.  

                As this developed, ABS-CBN refuted GMA Network Inc.’s allegations that its application to operate digital TV-terrestrial (DT-T) service is misleading.

                In a statement, ABS-CBN said the National Telecommunications Commission (NTC) allows a broadcast firm to continue its analog television operation simultaneous with a DT-T service.

                “There is nothing misleading in ABS-CBN’s digital TV application with the NTC. ABS-CBN’s plan to continue the operations of Channel 23 as an analog service simultaneously with the network’s digital service, is intended not merely to comply with the draft DT-T rules, but also because undertaking and maintaining such broadcasts is a service to the Filipino public,” said ABS-CBN.

                Rival GMA Network Inc., meanwhile, reported a net income of P454 million in the first quarter versus P428 million in the same period last year as revenues rose to P2.56 billion.

                Of the total revenues, television and radio airtime accounted for P2.39 billion,  while production accounted for P168.9 million.

                Despite the absence of political ads and early onset of Holy Week this year as compared with last year, it said airtime revenues inched up 1  percent. Its international operations in the first quarter recorded P118 million in cumulative revenues, up 19 percent from P99 million last year.  With Lenie Lectura

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THE Philippines’ largest media conglomerate ABS-CBN Broadcasting Corp. said its net income fell 14 percent in the first quarter of the year to P242 million from P280 million in the same period last year.

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