Shares of the Manuel Pangilinan-led Philippine Long Distance Telephone Co. (PLDT) slumped by more than 5 percent on Wednesday in reaction to the company’s poor third-quarter earnings performance.
PLDT’s third-quarter results showed a 3 percent drop in net profit to P27.96 billion as of end-September from P28.96 billion the company recorded in the third quarter of 2013.
The stock lost as much as 5.27 percent after midday and before recovering slightly to trim its losses to 5.02 percent by the close of trade at P2,990.
Astro del Castillo, managing director of First Grade Finance Inc., said in a phone interview that the decline of the telco giant’s shares was caused by “disappointment” over its weak third-quarter earnings results.
“Investors were disappointed at the results of PLDT’s third-quarter financials,” Del Castillo said.
“Aside from the financials, the telco also downgraded its full-year profit target from the previous P39.5 billion to P37 billion on stiff competition in the mobile data segment,” he added.
On Tuesday, PLDT lost 122 points or 3.7 percent to close at P3,148.