GMA Network Inc. said Tuesday net income dropped 15 percent in the first nine months on higher operating expenses
The broadcast network said net income amounted to P5.12 billion from January to September, down from P6.01 billion in the same period last year.
Consolidated revenues amounted to P16.75 billion in the first nine months, up 1 percent from P16.52 billion in the same period last year.
“Amidst the challenges in the economic landscape, the presence of political advocacies and advertisements boosted the company’s top line,” GMA said.
“Advertising revenues remained the lifeblood of the company and was also the main source of revenue growth during the period,” it said.
Advertising revenues amounted to P15.77 billion, up 2 percent from last year’s P15.44 billion.
Sale of services, which included subscription revenues, subsidiaries’ operations and others, amounted to P715 million, up 4 percent year-on-year.
Sale of goods—mainly GMA Affordabox—recorded a 32-percent reduction as of end-September.
Consolidated operating expenses climbed 17 percent to P10.13 billion from P8.68 billion last year.
Consolidated production costs went up by 28 percent to P4.47 billion, while general and administrative expenses tipped at P5. 4 billion, up by 11 percent compared to last year.