PLDT Inc.

For the first half of 2026, gross service revenues grew 2% to PHP 108.7 billion and service revenues, net of interconnection, increased 1% to PHP 97.8 billion. EBITDA was PHP 56.1 billion with a 52% margin; telco core income declined 2% to PHP 16.6 billion, core income was PHP 17.3 billion, and reported income was PHP 16.4 billion, down 6% year on year. CapEx was PHP 20.7 billion versus PHP 27.4 billion a year ago, bringing CapEx intensity down to 19% from 26%; full-year CapEx is still expected in the mid-PHP 50 billion range. Net debt was PHP 287.3 billion and net debt-to-EBITDA was 2.57x. The Board declared an interim cash dividend of PHP 46 per share, with management reiterating a 60% core income payout intent. On the operating outlook, management said wireless top-ups were around plus 3% in July and 2% to 3% in August, home should see revenue benefits with the usual lag after improved installations, and VITRO REIT could reduce net debt-to-EBITDA to about 2.4x if completed; a portion of proceeds of a little under PHP 13 billion to a little over PHP 12 billion was said to go toward debt paydown.

Butch Jimenez framed the quarter as one of resilience and gradual recovery. He emphasized that wireless trends improved in the second quarter, home’s operating indicators are turning the corner after first-quarter installation constraints, and enterprise continues to be the company’s strongest growth engine. His tone was constructive but measured, repeatedly pointing to disciplined pricing, personalization, and network investment rather than broad-based demand strength.

The financial message centered on margin stability, lower investment intensity, and deleveraging. Management highlighted cash expenses and subsidies that were broadly flat at PHP 41.7 billion, EBITDA of PHP 56.1 billion, and CapEx of PHP 20.7 billion versus PHP 27.4 billion last year, with intensity down to 19%. Debt metrics were presented as manageable at PHP 287.3 billion net debt and 2.57x net debt-to-EBITDA, with average pre-tax interest cost improving to 5.05% and only 3% of total debt maturing in 2026. Management also said the interim dividend was PHP 46 per share and reiterated continued asset monetization, including copper and tower sales, as part of balance-sheet strengthening.

Analysts pressed on whether wireless top-up improvement was structural or mainly driven by pricing and marketing; management said July and August trends were still improving and characterized the recovery as roughly half helped by lower gasoline prices and half by PLDT’s interventions. On home, management said the postpaid recovery should show through with a lag, but that current positive net adds and higher installation throughput should compound into better revenues. Questions on Maya focused on its lower second-quarter contribution and credit quality; management said the weaker quarter was mainly due to one-time accounting adjustments, while loan growth still had room to expand with an LDR in the low-40s and no broad deterioration in asset quality. CapEx and depreciation questions were answered by pointing to network and fiber investments, IFRS 16 effects, and the intent to keep CapEx disciplined while still funding coverage and quality upgrades.