Thursday, April 25, 2019

ABS-CBN sees full recovery in profitability, pursues digital shift


ABS-CBN Corp expects a "full recovery" in profitability this year as it grows its digital properties while solidifying its lead in its core TV business, president and CEO Carlo L. Katigbak said Thursday.

The country's largest media and entertainment company has been "exceeding" many of its targets in the January to March period after a "very challenging" 2018, wherein industry-wide TV ad revenues fell an estimated 6 percent, Katigbak said.

"We are well-positioned for a rebound," Katigbak told ABS-CBN's annual stockholder's meeting."We are confident that there will be a full recovery of our profitability this year."

ABS-CBN's net income reached P1.9 billion in 2018, down 40 percent from the previous year. Inflation and higher taxes on sweetened beverages hurt TV ad spending, he said.

The company filed for a renewal of its franchise, which will expire on March 30, 2020, Katigbak said, in response to a question from a shareholder.

"It is clearly an uncertain time for ABS-CBN. We are faced with threats from many directions: changing consumer habits, disruptive technology, political headwinds and new competition," he said.

ABS-CBN overcame challenges in the past and emerged "better, stronger and more relevant."

"Regardless of what the future holds, our commitment is to continue serving our audiences and our public in any way that we can. This is our calling, one that will never dim. This is why we exist," he said.

CHANGING LANDSCAPE

ABS-CBN last year accelerated its five-part transformation program, which includes transforming to digital, growing its experience business, expanding to audiences outside the Philippines, public service and maintaining its broadcast leadership.

"Technology and audiences are changing at an exponential rate. This change will continue to expand and disrupt and today, our industry finds itself in the middle of its winds," he said.

"Our ability to reinvent ourselves while anchored on our mission to serve the Filipino will be at the core of our longevity and success," he said.

Video streaming platform iWant, relaunched last year, got 60 million views in December 2017. ABS-CBN.com is the third most visited website for Filipinos, behind Google and Facebook. On YouTube, ABS-CBN has 15 million subscribers while ABS-CBN News has 5.6 million, he said.

ABS-CBN Music is a "shining example" of the digital shift, with 92 percent of total revenues coming from digital after it focused on streaming and events.

"Digital is our fastest-growing business to date," he said, adding the nearly P1 billion in digital revenues last year accounted for 13 percent of the total.


Syndication sales rose 30 percent driven by Africa and after the launch of "It's Showtime" in Indonesia, ABS-CBN is eyeing Latin America, he said.

ABS-CBN bet its international film foray on "Yellow Rose" co-starring Lea Salonga, "Eerie" starring Charo Santos-Concio and Bea Alonzo and "Quezon's Game," about refugees from the Nazi regime, he said.

"The world has become a global market and we aim to make content the primary export of our company. It's time we make Filipino talent shine in the world stage," he said.

International initiatives accounted for 15 percent of total revenues in 2018, he said.

ABS-CBN dominated TV ratings, aided by close to 7 million homes with its TVplus digital box, Katigbak said. In Metro Manila, 7 in 10 homes without cable use TVplus, 6 in 10 in the suburbs, he said.

https://news.abs-cbn.com/business/04/25/19/abs-cbn-sees-full-recovery-in-profitability-pursues-digital-shift

Bill creating congressional district of Mandaue City ready for President’s signature

By Charissa Luci-Atienza

The bill seeking to separate the Mandaue City from the current sixth legislative district of Cebu to constitute the lone congressional district of Mandaue City has been transmitted to MalacaƱang for President Duterte’s signature.

House Bill 8511, principally authored by Cebu Reps. Jonas Cortes and Rodrigo Abellanosa was transmitted to the Palace on March 7, 2019, according to the records of the House of Representatives Bills and Index Service.

“The objective of the bill is to ensure equitable representation for the inhabitants of the City of Mandaue in the legislature and the national government by separating the City from the sixth legislative district of province of Cebu to constitute the lone district of the city of Mandaue,” the authors of the bill said, as they pushed for the immediate enactment of the measure into law.

Cortes said the bill has long been ardently requested by the people of Mandaue “in order to raise the current status of their beloved city into its well-deserved position.”

HB 8511 provides that the City of Mandaue shall be separated from the sixth legislative district of Cebu province to constitute the lone congressional district of Mandaue City. It shall commence in the next national and local elections after the effectivity of the proposed Act.

Under the bill, the incumbent representative of the present sixth legislative district of Cebu province shall continue to represent the district until the new representative of the lone legislative district of the City of Mandaue shall have been elected and qualified.

The bill tasks the Commission on Elections (Comelec) to issue the necessary rules and regulations within 30 days after the effectivity of the proposed Act.

“This bill will accord the city and its constituents the right to enjoy the privileges appurtenant to a legally declared Congressional District and will ultimately redound to the benefit of the people not only of Mandaue City but also of the sixth district by way of better welfare and benefits,” Cortes said.

About 40 percent of Cebu’s export companies are found in Mandaue being home to some of the country’s biggest companies, he noted.

Known as the Industrial Heartland of Cebu, Mandaue City also accounts for 75 percent of the country’s total exports in the furniture sector in the past two decades, making the city the Furniture Capital of the country, Cortes said.

He cited that since 1991, the City of Mandaue has been declared as a highly urbanized city and it is now a thriving first class city with a population of more than 365, 144 individuals.

https://news.mb.com.ph/2019/04/25/bill-creating-congressional-district-of-mandaue-city-ready-for-presidents-signature/

Henry Sy memory lives on: Kids not stopping at 76 SM malls

Property giant SM Prime Holdings Inc. is poised for further expansion in 2019 as it seeks to widen its footprint in the country and abroad.

The company planned to open four new malls this year, adding to its existing 72 shopping centers, and would launch an additional 15,000 to 20,000 residential units, officials said during the company’s annual meeting Tuesday.

SM Prime chair Henry Sy Jr. said they also planned to start work on their eighth mall in China: SM Yangzhou.

Sy said SM Prime would continue to be “aggressive” in pursuing opportunities along its core businesses.

“There is no change in terms of our working attitude, we will stay as what our past chair wanted us to be, very conservative but very hardworking,” SM Prime director Hans Sy said. He was referring to his father and SM Group founder, Henry Sy Sr., who passed away on Jan. 19.

SM Prime earlier disclosed a capital spending budget of P80 billion. For shopping malls, it will add 200,000 square meters (sqm) of gross floor area and will be located in developing provincial cities like SM Center in Dagupan in Pangasinan, SM City Olongapo Central in Zambales, SM City Butuan in Caraga Region, and SM Mindoro Citimall in Zamboanga.

SM Prime is also set to launch this year the NU Tower, its first university-office building in the Mall of Asia Complex; and two new hotels in Iloilo and Quezon City, the Park Inn by Radisson Iloilo and Park Inn by Radisson North Edsa.

“The year 2019 marks another era for SM Prime as we celebrate our 25th year of being a publicly listed company in the Philippines. Moving forward, we will continue to deliver world-class products to our communities, which will also translate into sustainable growth for our shareholders,” SM Prime president Jeffrey C. Lim said in a statement. —MIGUEL R. CAMUS

https://business.inquirer.net/269153/henry-sy-memory-lives-on-kids-not-stopping-at-79-sm-malls

Pampanga quake victims receive aid from Arroyo, Gov. Pineda

CITY OF SAN FERNANDO, Pampanga — House Speaker Gloria Macapagal-Arroyo and Governor Lilia Pineda personally extended condolences to the families of those who died from the tremor in the towns of Porac and Lubao.

 The two lady provincial leaders, along with some local officials, handed over bereavement assistance to the families of Doris Paule, Niella Denise Paule, Adrian Charles Ocampo, Sophia Janes Arbis, Jovilyn Vera, Gerome Kyle Enriquez, Manilyn Dela Cruz and her children Jacob and Hailee.

They also pledged to cover all the burial expenses of the earthquake victims.

“This is one of the priorities. Also, rebuilding houses for the affected families and providing assistance to the bereaved families,” the governor said.

Arroyo and Pineda also inspected the collapsed building of Chuzon Supermarket and asked the search and rescue front liners about the latest situation there.

Meanwhile, the operations were temporarily stopped following the occurrence of aftershocks since Wednesday morning.

Fire Senior Superintendent Samuel Tadeo, director of the Bureau of Fire Protection–Central Luzon, said they decided to temporarily halt the operations to ensure the safety of the rescuers.

So far, there were five casualties retrieved from the collapsed structure and seven were rescued.

Tadeo said the search and rescue unit used five cranes to hold the roof of the building and prevent it from possible collapse.

He said that although the rescuers no longer detect signs of life inside the collapsed structure, the search and rescue operations will last until Friday. (PNA)

https://www.pna.gov.ph/articles/1068060

Kabayan Hotel targets to fully operate new tower by 2020

GIVEN the ongoing construction of its third building, Kabayan Hotel said it is on track to meet its target opening by January 2020, offering guests with 307 more rooms.

Legend Hotel International Corp. (LHIC) Chief Operating Officer (COO) Celine Marie L. King said they are expanding their city hotel brand in Pasay City due to the growth of province-based traveler and overseas Filipino worker (OFW) markets for the hospitality industry.

“We are already running at 84-percent occupancy, which is really good for any hotel,” she said of their improved business performance amid competition in the Bay Area where they are located.

“But I think because we are truly Filipino, they can associate with it like a kabayan; and it’s a local brand, that’s why we continue to grow that market.” Kabayan is part of a portfolio of different properties owned and managed by LHIC, including The Legend Palawan (TLP), The Legend Villas, Pinoy Pamilya Hotel and My Place.

At present, it operates two seven-story towers with a combined inventory of 280 rooms. The soon-to-rise 10-story building will bring the hotel’s total number of rooms to 587.

King said they have invested “a little over P500 million for the whole project” and will hire 40 more to add to their current pool of 100 employees.  She said that Kabayan Hotel, prior to full operation of the newest accommodation structure, is scheduled to open a few floors by the middle of this year and soft launch it towards the last quarter of 2019.

https://businessmirror.com.ph/2019/04/25/kabayan-hotel-targets-to-fully-operate-new-tower-by-2020/