GMA Network profit plunges nearly 50 pct in H1
MANILA, Philippines - GMA Network reported its net income plunged nearly 50 percent to P580 million for the first half of 2014, from P1.13 billion during the same period in 2013.
In a disclosure to the stock exchange, GMA Network said its consolidated revenues fell by 14 percent to P5.76 billion in the January to June period. This was lower than the P6.72 billion revenues, which included election-related ads, during the same period last year.
Operating expenses, on the other hand, fell 4 percent to P4.9 billion, due to a reduction in production costs.
At the same time, GMA Network chairman and CEO Felipe Gozon said he expects to sign a deal for businessman Ramon Ang's investment in the company within the month or by early September.
Gozon said they have already agreed with Ang on the most important items. He confirmed both sides have agreed on the price, but declined to disclose details due to the confidentiality agreement.
He also declined to say if Ang was buying a 30 percent stake in GMA, but said the businessman will have seat on the board.
Ang had earlier said his investment in GMA was being done in his personal capacity, and will not involve San Miguel Corp. where he remains president.
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