GMA Network Inc. saw profits widening by almost three quarters in 2016 due to a boost in revenues from election-related spending, the chief executive of the company said on Tuesday.
Felipe L. Gozon, who also chairs the television giant, said his company registered a 72-percent increase in profits last year, calling it an “unprecedented” outcome for the company.
Based on computations made. the net income of the company settled at P3.64 billion in 2016. Data from the local bourse showed the network booked P2.12 billion in profits the
year prior.
“Even without political advertisements this year, we are expecting GMA’s financial performance to be even better than last year,” Gozon said.
He did not elaborate. The network has yet to publicly release its financial statement for 2016.
Meanwhile, the company’s board of directors approved the declaration of cash dividends amounting to P3.548 billion, or 73 centavos per share.
The payout has been scheduled for May 15 for stockholders on record as of April 20.
“Since our initial public offer launch in 2007, we have been paying out cash dividends equivalent to almost 100 percent of our net income every year,” Gozon
said.
2 comments
GMA7 net income according to this paper is 3.64 Billion. ABS-CBN reported net income of 3.5 Billion. Mas mababa pa ang net income ng ABS even after using a lower corporate tax of 25% compared to GMA7’s 30% corporate tax rate. On top of this ABS-CBN claims pa na panalo sila sa ratings at 2.9 billion DAW ang box office receipts ng Star Cinema nila. Plus ABS-CBN boasting that is has instituted a massive cost cutting program. Well it is now clear ABS-CBN is just good in issuing press releases but clearly with the intent of deceiving people.
People could care less about a company’s net income, unless of course, if you are a stockholder of the company itself. ABS-CBN is still far ahead of GMA in terms of revenue, operating income (EBITDA), assets, equity, market capitalization, and number of employees. ABS-CBN’s annual advertising revenue alone is over 5 billion pesos more than the total annual revenue of GMA. Revenue and operating income are the two most important factors in determining a company’s performance. Even though, ABS-CBN has larger operating income than GMA, its net income would be lower due to ABS-CBN’s debts.