GMA Network Inc. spent more for production and general expenses in the January-September period, dragging down its attributable net income by 14 percent to P5.09 billion from P5.98 billion a year ago.
For the third quarter, the listed company’s net earnings fell by 53 percent to P1.10 billion from last year’s P2.34 billion.
The media group, in its recent quarterly report, noted that its consolidated revenues for the nine-month period inched up by 1 percent to P16.75 billion from P16.52 billion.
Contribution from advertising, accounting for 94 percent of GMA’s topline figures, were mainly supported by airtime revenues because of election-related placements. Revenues from this segment rose by 2 percent to P15.77 billion.
Sales of services, which include subscription revenues, improved by 4 percent to P715.17 million for the period. Sales of goods, which are mainly GMA Affordabox units, declined by 32 percent to P266.02 million.
Production costs rose by 28 percent to P4.46 billion from P3.5 billion a year ago. About 44 percent of the nine-month spending was attributed to talent fees and production personnel costs.
“Add to this year’s high cost was the non-recurring production cost for Eleksyon 2022 coverage. The jam packed ‘Together Again’ concert in the US also added to the production cost of the current period,” it explained.
General and administrative expenses, meanwhile, climbed by 11 percent to P5.43 billion for the period.
The media company currently has 95 analog and digital TV broadcast stations across the country.
Citing Nielsen’s TV Audience Measurement data from January to October 2022, GMA said it had a combined net reach of 95.3 percent in TV homes or 77.5 million nationwide viewers.
“We are much grateful to our Kapuso for making us the number one and the largest broadcast network with the widest reach. As our way of giving back for their unceasing support, we are determined to reach the entire population of Filipino households while continuously improving the quality of our digital broadcast,” GMA chair and CEO Felipe Gozon said earlier.
This year, GMA previously said it was eyeing to book P8.2 billion in profits, which is an 8.3 percent increase from last year’s record high of P7.57 billion.