Metro Manila (CNN Philippines, March 23) — Manuel V. Pangilinan-led PLDT said its controversial budget overrun has been reduced to ₱33 billion following its settlement deals with major vendors.
The telco giant announced this development in a disclosure to the Philippine Stock Exchange on Thursday.
PLDT completed its discussions with major vendors representing approximately 80% of its outstanding capital expenditure (capex) commitments as of end-2022.
The move allowed the firm to enter into settlement and mutual release agreements with the involved parties this month, it said.
“Those agreements have the effect of reducing the company’s outstanding commitments to these vendors for the acquisition of property and equipment post-2022 to approximately ₱33 billion, net of advances paid to these vendors,” PLDT said.
The company hopes to pursue similar discussions with non-major vendors.
In the same filing, PLDT reiterated that its probe found “no evidence of fraud, intentional concealment, or bad faith conduct on the part of any employee of the company…”
Meanwhile, its financial performance last year showed mixed results.
Net income for the period plunged by 60% to ₱10.485 billion from 2021’s ₱26.367 billion.
Telco core income, on the other hand, climbed by 10% to ₱33.1 billion.
PLDT’s service revenues hit an all-time high of ₱190.1 billion, 4% higher than a year ago.
Likewise, its consolidated EBITDA (earnings before interest, taxes, depreciation and amortization) breached the ₱100-billion mark with ₱100.5 billion.
“2022 demanded practically everything that we had. Despite the adversities, I remain convinced that PLDT will not only survive but thrive; our core business is strong; and our people endured, inspired by our singular mission of safeguarding and enhancing shareholder value,” PLDT Chairman Pangilinan was quoted as saying in a disclosure.
