MANILA (UPDATE) - PLDT said it will focus on 5G, fiber and newer technologies to drive growth as income from services like SMS and voice services continued to decline. The telco giant also said it expects its fintech unit Maya to book a profit this year.

The company said its telco core net income hit P26.6 billion in the first nine months of the year, up 2 percent from the same period in 2023. Reported net income, meanwhile, was at P28.1 billion up 1 percent year-on-year, the telco said.

Revenues from PLDT's mobile data, fiber, corporate data all had single-digit growth rates from January to September. Legacy services like text messaging, voice and non-fiber data meanwhile weighed down earnings. 

“Legacy revenue streams have hit us hard this year, but should be reduced starting 2025,” said PLDT Chairman Manny Pangilinan.

“Mobile data which represents 89 percent of total segment revenues grew 5 percent year-on-year more than double the segment growth of 2 percent which reflects the drag from legacy SMS and voice,” said Danny Yu, PLDT Chief Financial Officer.

PLDT said it will now be focusing on expanding its 5G network. 

“The next battleground is really going to be on 5G. That’s why it is very important that we have a focus for 2025 moving forward. We’re going to spend more on 5G in 2025 that we did in 2024,” said PLDT Chief Operating Officer Menardo Jimenez Jr.

The company's ICT unit, ePLDT, meanwhile reported a revenue growth of 10 percent from the same period last year.

"This growth is attributed to a 9 percent rise in cloud technology service revenues and a 59 percent increase in cybersecurity services, alongside a notable 250 percent increase in managed IT services, driven by a growing demand from businesses for digital solutions that support efficiency and security," PLDT said.

PLDT said its fintech unit Maya is on track to achieve profitability this year.

The company said that as of end-September 2024, Maya Bank’s deposit balances surged to P36 billion, while its banking customer base also grew to 4.5 million. The number of borrowers rose to 1.4 million.

"Loan disbursements reached ₱67 billion, with growth fueled by Maya Easy Credit and Maya Personal Loans for consumers, as well as Maya Advance for MSMEs," PLDT said.

Maya has been playing catch up with rival telco Globe Telecom's fintech unit GCash, which despite several instances of glitches, has continued to dominate the Philippine market.

PLDT officials expect a mid-single digit growth in revenues for the full year and telco core income of north of P35 billion. The company also reduced its capital expenditures during the period to P52.3 billion compared to P55.3 billion last year.