ABS-CBN Corp said it lost nearly P4 billion in the first six months of the year, reflecting the twin blows of the COVID-19 pandemic and the denial of its franchise renewal that sapped TV ad revenues.
Off the air since May 5, Lopez-owned ABS-CBN is shifting its popular entertainment and news programs to digital: its own iWant, Facebook and YouTube. A retrenchment program to cut further losses is schedule to start at the end of August.
ABS-CBN told the stock exchange it posted a net loss of P3.17 billion in the quarter ended June, bringing net losses in the first half to P3.93 billion. It's a reversal from the net income of P1.5 billion net income in January to June last year. Consolidated revenues from advertising and consumer sales fell 36% to P7.5 billion.
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Of the company's four segments, only cable, satellite and broadband turned in a profit in the first half, at P115 million.
"Given the reduced operations, the company is reviewing its current business models, structures, processes and systems, for a more agile, efficient and effective organization," ABS-CBN said.