The Philippine Long Distance Telephone Company (PLDT) is maintaining its revenue target of P146 billion and profit target of P41 billion for 2009, Chairman Manuel V. Pangilinan told reporters over the weekend.

Although the global recession affected the economy and natural calamities battered the country, PLDT expects the usual boost that comes in the fourth quarter from holiday spending.
However, “Even with OFW remittances holding up, we may see consumers adjusting their budgets and rethinking their spending priorities,” he revealed earlier.

Hence, “We are taking a cautious stance and revising our revenue and EBITDA (earnings before income tax, depreciation, and amortizations) guidance to P146 billion and P88-88.5 billion, respectively, or a reduction of 1% and 2% from our previous guidance of P148 billion and P90 billion.”

Still, “Our core profit guidance remains at P41 billion for the full year. Based on the nine-month results, and barring unforeseen circumstances, reported net income for the year is likely to exceed last year’s number.”

The telco netted P31 billion core earnings on P108.3 billion consolidated revenues for the first nine months of 2009, up 11% from P27.8 billion in the same period in 2008, as it piled in P361 million equity share in the earnings of Meralco, slashed 5 percent from its operating expenses and saw a 3 per cent boost in its sales fueled by the 4% growth in data and broadband revenues.

Reported net income of P30 billion likewise increased 15% from P26.2 billion in the same period, as its recurring income went up by P3.2 billion and the company registered lower losses from foreign exchange revaluation of its assets, liabilities and derivatives plus slashed statutory tax rates.
Consolidated EBITDA remained stable at P65.7 billion while EBITDA margin was 61%.

Wireless service revenues rose to P71.2 billion for the first nine months of 2009, 3% higher than the P68.8 billion recognized in the same period last year. Cellular subsidiary Smart Communications, Inc. continues to lead the industry in terms of both revenues and subscribers.

The PLDT Group’s total cellular subscriber base for the first nine months of 2009 grew to 39.1 million subscribers, a 15% growth year-on-year. For the first nine months of 2009, Smart added 3.9 million subscribers, compared with 4.1 million in the same period of 2008. Smart recorded net additions of over 1.6 million subscribers to end the period with 22.5 million subscribers while Talk ‘˜N Text added 2.2 million subscribers to end the period with 16.6 million subscribers.