TV5 first-half losses at P2.8B

[explorer]

not all MVP's businesses are making money...remember the when MPC bought the Fort Bonifacio land? they ended up selling the business to the losing bidder - the Ayala group.

now their TV business is losing money...pirating talents who are actually 'laos na' from other networks and paying ridiculous amount will surely end up in hemorrhage...

from: www.inquirer.net

TV5 first-half losses at P2.8B

Ad minutes up but revenues still lag
By Daxim L. Lucas
Philippine Daily Inquirer
3:57 am | Monday, December 3rd, 2012

MANILA, Philippines—Losses of television network TV5 continued to accelerate as of the first half of 2012 as the country’s third-biggest broadcast firm ramped up spending to be more competitive with industry leaders.

According to official documents filed by its parent, ABC Development Corp., the company lost P1.37 billion at the end of the first quarter and an additional P1.46 billion at the end of the second quarter. All told, TV5’s losses for the first half of 2012 amounted to P2.83 billion, raising the possibility that the network would exceed the P4.1-billion net loss it reported for 2011.

The sharp increase in losses of the network controlled by businessman Manuel Pangilinan comes in the wake of TV5’s failed attempt to acquire the country’s No. 2 player, GMA Network Inc., in a bid to battle industry giant ABS-CBN Broadcasting Corp.

Talks between the Pangilinan group and GMA Network’s controlling shareholders—the Gozon, Duavit and Jimenez families—for the reported P52-billion takeover were terminated recently after both sides failed to agree on terms that they described as non-financial in nature.

According to the documents, TV5 reported total revenues of P784.6 million during the first half of 2012. This was dwarfed by the network’s production costs for the period of P2.37 billion—already representing two-thirds of the full 2011 level—which, together with P19 million in non-operating income, resulted in a gross operating loss of P1.56 billion for the first semester.

No comparative figures were available for the same period last year, but the network’s revenues for the whole of 2011 stood at P2.31 billion while production costs amounted to P3.76 billion.

A broadcast industry source told the Inquirer separately that TV5 has so far experienced a 53-percent increase in airtime minutes for the first nine months of 2012, but noted that the growth was not matched by a corresponding increase in revenues.

“It appears like [they’ve implemented] a ‘buy one, take five free spots’ scheme,” the source said.

The same source noted that TV5’s flagship program, the Wiltime Bigtime game show that airs during the evening primetime slot of 6 p.m. to 10:30 p.m. registered a 1-percent decline in ad airtime minutes for the first nine months of 2012, making TV5 the only station among the so-called “Big Three” to suffer a decline in this time slot during the period.

[CVT]

Mahal kasi ang TFs ng mga nandoon....

Pahabaan ng pisi ang labanan niyan....

17.5K:bruce_lee:

[dondonposadas]

Halos lahat ng business very critical ang simula. Ang tanong lang hangang magkano ang allocation nila sa losses or baka sa sobrang daming companies ng grupo ni mvp e barya lang itong mga losses nila sa tv5.

[vinj]

That's expected as they are doing a lot of capex at this point (studios, equipment, contracts, etc.).

[Ry_Tower]

Pahabaan lang talaga ng pisi mangyayari. TBTF imho para kay MVP yan. If they can get the brodcast rights for PBA then maybe mas mapapadali pagbawi nila.

[Retz]

Tuloy-tuloy pa rin ang Boom Tarat. What's next for WTBT and TV5? Kailangan talaga mag work-out ung merger nila ng Kapuso.

[kinyo]

Mahal kasi ang TFs ng mga nandoon....

oo nga ... P1B ang tf nung isang matabang talent eh

[oliver1013]

Dapat damihan nila mga squatter shows at squatter oriented telenovelas...mga puro iyakan...

[zap.FREEDOM]

paano ba naman, they're inclining more on the talents which is mga laos na, not those mind behind on the talents....dapat pinipirata nila yung mga magagaling na employee nung big 2 channels tapos isunod nila yung mga artista, magagaling yung mga nagpapatakbo ng management dun sa dalawa e.

[Retz]

laki ng TF taos barya lang binibigay sa mga audience/contestants.

[vinj]

Dapat damihan nila mga squatter shows at squatter oriented telenovelas...mga puro iyakan...

Opening sequence pa lang, iyakan na. Tsaka dapat talagang todo kawawa yung poor and todo bad yung mayaman.

The net loss isn't the concern at this point as RT pointed out... cash flow pa rin importante.

[jut703]

Pagpasok palang ng studio, bigyan kagad dapat ng jacket.

[A121]

I'm betting that in the long-run TV5 will be profitable as this will be the major content provider of PLDT. Siguro in the near future, all tv shows, news and music will be streamed through PLDT. haha

[vinj]

I'm betting that in the long-run TV5 will be profitable as this will be the major content provider of PLDT. Siguro in the near future, all tv shows, news and music will be streamed through PLDT. haha

It's all part of a puzzle indeed.

[timrev]

yun mga commercial ng companies ni MVP halos libre na siguro sa TV5 makakatipid sin sya sa promotional ng mga products nya..

[chua_riwap]

oo nga ... P1B ang tf nung isang matabang talent eh

Oo nakahukay ng kayamanan yang si sharon. Biro mo P1B tf nya (for 5 yrs ba?)..... eh laos na. Tapos Talo sa ratings yung show nya.

[falken]

Kaya pala nalulugi sila eh.

Sent from my Nexus 7 using Tapatalk 2

[Bin Diesel]

bakit ba naman kasi kailangan bayaran si sharon ng ganun kalaki? pound for pound ba ang TF niya?

[Retz]

Grabe ang TF ni tita shawee. Siya ata highest? next ay si kris.

[lowslowbenz]

Kahit magsarado pa yang mga istasyon ng TV na yan. Puro naman walang kwenta mga palabas dyan. Saksakan pa ang dami ng commercial. Mga news programs nila puro din walang kwenta.