PLDT (TEL) Q4 2025 earnings summary

Executive summary

• Gross service revenues for 2025 reached ₱212.2 billion, up 2% year-on-year, with net service revenues at a record ₱196.2 billion, up 1% year-on-year; data and broadband accounted for 85% of service revenues.

• EBITDA excluding MRP costs rose 3% to ₱111.2 billion, with margins steady at 52%, reflecting disciplined cost management.

• Core income improved to ₱34.6 billion, up 1%, supported by Maya's swing to profitability; reported net income declined 7% to ₱30.0 billion due to lower non-core gains and higher non-recurring charges.

• Home and Enterprise segments reached all-time high revenues, with Home Fiber revenues up 6% to ₱59.4 billion and Enterprise ICT revenues up 25%.

• Maya achieved its first full year of profitability with ₱1.7 billion net income, deposit balances up 72% to ₱68 billion, and bank customers up 98% year-on-year.

Financial highlights

• Consolidated EBITDA rose 3% to ₱111.2 billion, with EBITDA margin stable at 52%.

• Cash OPEX, subsidies, and provisions down 1% to ₱84.9 billion, reflecting spending control for the third consecutive year.

• Telco core income declined 3% to ₱33.9 billion due to higher financing costs and depreciation.

• Dividend payout for 2025 at ₱94 per share, with a final dividend of ₱46 per share declared and a 60% payout ratio.

• Capital expenditures for 2025 were ₱60.3 billion, down from ₱78.2 billion in 2024, reducing capex intensity to 28%.

Outlook and guidance

• Capex guidance for 2026 is in the mid-₱50 billion range, aiming to sustain positive free cash flow and investment discipline.

• Focus remains on deleveraging, targeting net debt to EBITDA of around 2.0x and maintaining investment grade ratings.

• Dividend policy remains stable, with a 60% payout ratio and 8% trailing dividend yield.

• Anticipates slight growth in profitability for 2026, with Maya expected to improve profit performance.