DITO CME narrows net loss to P19.6 billion

Davao-based businessman Dennis A. Uy’s DITO CME Holdings Corp. saw its net loss recede to P19.6 billion in 2023, narrower by 23.5 percent than the P25.63 billion recorded in the previous year.

In a stock exchange filing on Thursday, the parent company of telco player DITO Telecommunity (DITO Tel), said revenues from mobile data services jumped to P8.1 billion from P5.37 billion.

This accounted for 72 percent of the group’s P11.2-billion total revenues. The group’s top line rocketed up by 53.8 percent from P7.28 billion a year earlier.

Overall expenses, however, also ended higher at P26.21 billion or a 28-percent increase, due to additional capital spending on the expansion of DITO Tel’s network coverage.

DITO CME’s capital deficiency ended at P35.37 billion from P27.9 billion due to its rollout of the DITO Tel network. This was offset by capital infusions from shareholders, DITO CME said.

“The company will continue to efficiently implement its network rollout plan and cost-saving measures to improve the results of operations,” it said.

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DITO CME plans to do “various fund-raising activities” within the first half of the year. This will include a follow-on offering, proceeds of which will be used to bankroll the projects of the group’s telecommunications and digital businesses.

“In addition, Udenna Corp., the group’s ultimate parent company, and the minority shareholders of DITO Tel also committed to provide additional capital, when necessary,” it said.

DITO CME has been raising capital through various activities, mostly share subscription deals. INQ