BROADCAST and entertainment giant ABS-CBN Corp. (ABS-CBN) recorded a P2.6 billion net income in 2015, exceeding its target for the said year.
“We are happy to report that we exceeded our revenue and net income targets for 2015,” said Aldrin Cerrado, the network’s chief financial officer (CFO).
The network has exceeded its target of P2.4-billion net income, attributing the growth to revenues generated by the company’s TV and studio businesses.
“Revenues from our TV and studio business grew by over 11 percent compared to the previous year,” Cerrado said in a briefing in Makati City on Friday.
ABS-CBN’s Star Cinema produced movies like “Crazy Beautiful You,” “The Love Affair,” and “A Second Chance,” which generated more than a billion pesos in ticket sales locally and internationally.
The company’s EBITDA and net income margins for this segment improved to 25.9 percent and 13.9 percent, respectively.
ABS-CBN’s total assets rose to P70.424 billion from P67.237 billion, while its equity base rose to P28.715 billion from P26.875 billion.
TV production’s primetime shows “Pangako Sa ‘Yo,” “On the Wings of Love,” and FPJ’s “Ang Probinsyano” generated significant advertising revenues.
“We received a further boost in revenues after we adopted a new pricing scheme in May of last year from a fixed cost per spot, to a cost per individual rating point system,” Cerrado said.
ABS-CBN claimed leadership in terms of national total day audience share, which jumped to 43 percent as of December 31, 2015, citing data from Kantar Media.
Total assets rose to P70.424 billion from P67.237 billion, while its equity base rose to P28.715 billion from P26.875 billion.
“We are confident that our company will deliver even stronger results this year. Our digital TV initiative has done very well, recently breaching the 1 million mark in terms of sales of ABS-CBN TVplus boxes,” Ron Valdueza, ABS-CBN Group CFO, said.
“SkyCable increased its broadband subscriber count by over 40 percent and has maintained healthy average revenue per user of about P1,100. It recently obtained a license to operate direct-to-home service, which will expand its reach around the country.
Sky is expected to roll out its DTH service within the year,” said Valdueza.
Cerrado told reporters at the sidelines of the briefing that ABS-CBN is moving within its set profit guidance of P3.3 billion to P3.6 billion this year.
He said advertising, movies and the elections are the drivers for growth.