Industry disruption continues: GMA’s profit falls 98% in Q3, ABS-CBN still in red - Rappler
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MANILA, Philippines – The Philippines’ broadcast industry leader GMA Network (GMA) disclosed a steep 98% fall in net income in the third quarter of 2026, while its erstwhile competitor ABS-CBN reported it was still deep in the red.
In its earnings disclosure on Friday, November 13, publicly listed GMA saw its net income spiral down from P2 billion in Q3 2025 to only P32.85 million in Q3 2026. Revenues fell 31%, or by P4.3 billion, in the same period. EBITDA was also “significantly lower,” dropping 68% from P4.5 billion to P1.4 billion.
“The downturn was attributable to the absence of political advocacies and advertisements in relation to the 2025 mid-term election as well as softening of recurring revenues year-on-year,” the company said.
Advertising revenue was the main culprit, declining 33% or from P12.8 billion in Q3 2025 to P8.6 billion in Q3 2026, but GMA also cited the “continued shift of audiences and advertising budgets from traditional media to digital platforms” for the disappointing performance.
Aside from industry disruption, it also noted the “challenging business environment marked by elevated fuel prices, persistent inflation, supply chain disruptions, rising labor and utility costs, and ongoing geopolitical uncertainties stemming from the Middle East conflict.”
“These conditions drove up production and distribution costs, squeezed profit margins, and prompted businesses to exercise greater caution in their advertising expenditures,” the network said.
GMA’s poor earnings wouldn’t be a big surprise if it hadn’t kept its industry leadership. But, in fact, GMA was still the top television station in the whole country in the first three quarters, based on Nielsen TV Audience Measurement data.
Among its top TV programs were Kapuso Mo, Jessica Soho, and its flagship 24 Oras nightly news show. Its radio stations, Super Radyo DZBB and Barangay LS 97.1, are also ahead in ratings.
GMA’s digital business continues to be a key contributor to revenues, with digital advertising revenues providing the company’s “second largest revenue contributor,” signaling the continued rise of digital platforms.
Meanwhile, still Lopez-led ABS-CBN Corporation, which lost its lucrative broadcast business in 2020 no thanks to the Duterte administration, reported a consolidated net loss of P2.95 billion in Q3 2026 compared to P2.24 billion in Q3 2026, a decline of 32%. (READ: The secret to the Lopez family’s enduring control of ABS-CBN)
Total revenues fell by 11% from P11.75 billion in Q3 2025, an election year, to P10.5 billion in Q3 2026.
“The Company continued to face a challenging market environment into the 3rd quarter. Global economic and geopolitical developments, the pace of domestic economic growth and subdued consumer and business sentiment weighed on advertising and subscription demand in both segments,” the pre-2020 broadcast industry leader said.
ABS-CBN, which produces and sells entertainment content to foreign audiences, said growth in licensing and international syndication (plus co-production revenues) “offset the decrease in advertising and other consumer revenue streams.”
A movie starring ABS-CBN’s popular DonBelle love team, Donnie Pangilinan and Belle Mariano, and the Philippines’ top girl group, BINI, were big contributors to the company’s revenues during the period.
“Star Cinema released Tayo Sa Wakas in May 2026, and BINI’s world tour began in June 2026 after the group’s April appearance at the Coachella Valley Music and Arts Festival. ABS-CBN Global staged 27 events across international markets, including ASAP XP Australia, which featured two sold-out performances in July. These further contributed to the Group’s revenue growth,” ABS-CBN said.
ABS-CBN strongly pivoted to digital after it lost its franchise more than six years ago. It also now sells content to its former competitors, GMA and TV5, or partners with them to produce shows.
ABS-CBN recently got a capital infusion from new investors, which is helping the company survive the industry disruption. – Rappler.com
