PLDT Inc. (PHI) Q2 2025 Earnings Call Transcript

PLDT Inc. reported a stable financial performance for the first half of 2025, with service revenues net of interconnection costs reaching PHP 97.1 billion, a slight year-on-year increase. The company's EBITDA grew 3% to PHP 55.5 billion, maintaining a steady 52% EBITDA margin. This performance was primarily attributed to consistent growth in its fiber business and disciplined cost management.

Analysis

PLDT Inc. reported a stable financial performance for the first half of 2025, characterized by minimal top-line growth but solid profitability. Service revenues edged up slightly year-on-year to PHP 97.1 billion, indicating a mature and saturated market environment. However, the company demonstrated effective operational management, with EBITDA growing 3% to PHP 55.5 billion, supported by a robust and steady EBITDA margin of 52%. This margin preservation and EBITDA growth, despite nearly flat revenues, were explicitly attributed to disciplined cost controls and continued momentum in the fiber business. The results signal that PLDT's current strategy is successfully focused on maximizing profitability and cash flow through operational efficiency rather than aggressive top-line expansion.

Key Decisions for Investors

• Given the combination of minimal revenue growth and strong, stable margins, investors should view PLDT as a value or income-oriented holding rather than a growth play.
• The 3% EBITDA growth despite flat revenue highlights successful cost discipline, making the company's ability to manage operating expenses a critical metric to monitor in future quarters.
• Investors should pay close attention to the performance of the fiber segment, as it is cited as the primary growth driver and its future expansion is key to improving the company's modest top-line trajectory.