MANILA – GMA Network Inc. reported a 40 percent drop in its 2014 net income due to the absence of election-related advertisements.
In a disclosure to the stock exchange, the listed firm said its net income declined to P1.01 billion in 2014 from the P1.67 billion in 2013.
Gross revenues were down 7.8 percent to P11.94 billion in 2014 from P12.95 billion the previous year.
“2014 was both challenging and rewarding. On one hand, our consolidated revenues dropped eight percent to P11.94 billion, while net income settled at P1.01 billion primarily due to the absence of political advertisements,” GMA chairman and chief executive officer Felipe Gozon.
In 2013, GMA booked P1.2 billion in political advertisements related to the 2013 mid-term elections.
Gozon said the network is confident that 2015 will be a better year based on improvements already seen in the first quarter.
"If the first three months are any indication, it reinforces our view that it will be a much better year for the company. Likewise, we see exciting times ahead for our viewers as we launch new, game-changing programs in the coming months,” he said.