PLDT (PHI) Q1 2025 earnings summary

Executive summary

• Gross service revenues rose 2% year-over-year to PHP 53.4 billion, driven by fiber and ICT growth, with EBITDA up 2% to PHP 27.9 billion and a stable 52% margin.

• Maya achieved its first profitable quarter, contributing PHP 127 million to core income and reinforcing its leadership in digital banking and payments.

• Strategic investments in digital infrastructure included the launch of Vitro Santa Rosa, the Philippines' first AI-ready hyperscale data center, and the Asia Direct subsea cable.

• Core income was steady at PHP 8.8 billion, while reported net income declined 8% to PHP 9.0 billion due to higher depreciation and amortization.

• Data/broadband contributed 85% of service revenues, up 2% to PHP 41.4 billion.

Financial highlights

• Net service revenue rose 2% year-on-year to PHP 49.0 billion, with mobile data, fiber, corporate data, and ICT now comprising 89% of total revenues.

• Home segment revenue increased 4% to PHP 15.2 billion, with fiber accounting for 97% of home revenues; fiber-only revenues up 7% to PHP 14.7 billion.

• Enterprise ICT revenues grew 16% year-over-year, now over 20% of enterprise revenues, offsetting lost POGO connectivity.

• Individual (mobile) segment revenue declined 1% to PHP 21.3 billion, with mobile data steady at PHP 18.8 billion and 5G traffic up 81% year-on-year.

• CapEx for Q1 2025 was PHP 10.8 billion, with a full-year guidance of PHP 68–70 billion focused on network upgrades.

Outlook and guidance

• No net income guidance for 2025 due to a fluid environment; focus remains on steady revenue growth, cost discipline, and asset monetization.

• Free cash flow generation targeted by 2026, with a medium-term net debt-to-EBITDA ratio goal of 2.0x.

• Home segment expects sustained subscriber growth and low churn for the rest of 2025.

• Maya's profitability is expected to improve gradually, not in a "hockey stick" fashion.

• Continued focus on AI, network modernization, and digital platform growth.