ABS-CBN reportedly axing 100 jobs due to advertising, pay TV revenue decline

This is the company’s response to the industry-wide ad decline.

In an article by digital publication Insider PH, it was reported that media conglomerate ABS-CBN is once again retrenching employees, four years since the mass layoffs caused by the broadcast network shutdown in 2020.

According to the story, a total of 100 jobs will be cut, with the corporation commenting that it is “committed to providing those affected with full benefits and support and [we] are deeply grateful for their many years of service to the company and to the public.”

ABS-CBN explained that the decision was due to the industry-wide lower advertising revenue, which is then driven by the lower consumer spending.

Additionally, the company also said that its pay TV business segment is also facing significant challenge, reflecting the global phenomenon of “cord cutting” as viewers shift to alternatives like streaming platforms.

FINANCIAL FIGURES

Its subsidiary Sky, which operates Sky Cable, has an outstanding debt of Php 4.5 billion, with Php 2.05 billion of which is due to be paid in one year.

Excluding Sky, ABS-CBN said in its 2024 annual stockholders meeting that it has trimmed its losses to Php 994 million during the first quarter of 2024, versus the Php 1.2 billion that it set during the same period in 2023.

Its operating income, again with the exception of Sky, was at negative Php 780 million, versus negative Php 1 billion last year.

Year on year, ABS-CBN’s net loss was at Php 12.8 billion in 2023, versus the Php 2.6 billion net loss in 2022.

Content revenue, meanwhile, increased from Php 10.7 billion in 2022 to Php 11.3 billion in 2023. Although, consolidated revenue was down from Php 4.26 billion in 2022 to Php 4.08 billion in 2023.

CURRENT PERFORMANCE

Despite headwinds, ABS-CBN’s contents on television, theaters, and streaming remain on top of the game.

Coco Martin’s primetime teleserye ‘FPJ’s Batang Quiapo’ continues to outperform its rival shows, with it even positioning as the most-viewed weekday TV program on some evenings.

Ongoing primetime drama ‘Lavender Fields’ has also consistently placed in the Top 10 Programs chart of Netflix Philippines since August.

Noontime variety show ‘It’s Showtime,’ meanwhile, has been airing on GMA-7 since April and has since held on to its lead in the ratings board for the slot.

Star Cinema’s ‘Rewind’ starring Dingdong Dantes an Marian Rivera and ‘Un/Happy For You’ of Joshua Garcia and Julia Barretto have also delivered strong performance in the box-office, with respectively making records as the highest-grossing Filipino film of all-time and the highest-grossing non-MMFF Filipino film in 2024.

P-pop group Bini also got a special mention during the ASM in June for their successive hit singles ‘Pantropiko,’ ‘Salamin, Salamin,’ and ‘Cherry On Top.’

They are now preparing for their upcoming sold-out three-night solo concert at the Araneta Coliseum, the first Filipina pop group to ever do so.

At the moment, ABS-CBN’s content is seen via the Kapamilya Channel, Kapamilya Online Live, iWantTFC, and TFC abroad.

It also has existing ties with A2Z (Zoe Broadcasting Network), TV5, GMA, GTV, and ALLTV for the nationwide free-to-air broadcast of its programs.

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