GMA 7 Q1 net drops 10%

GMA 7 Q1 net drops 10%

BROADCAST station GMA Network Inc. registered a 10-percent drop in net income for the first quarter of 2006 to P362-million, compared to its year-ago performance of P400 million.
       The industry-wide decrease in advertising revenues coupled with the company’s high operating expenses were the major factors for the decline.
       GMA 7’s consolidated gross revenues of P2.3 billion for the first three months, on the other hand, was 19- percent higher than the P1.9 billion it posted in the same period last year.
       Operating expenses, however, jumped 43 percent to P1.3 billion in the first quarter primarily due to higher production cost and increased salaries.
       As of March this year, GMA 7 has maintained its lead in both Metro Manila and Mega Manila TV ratings in all day parts, including the highly contested primetime block.        As of March this year, GMA increased its lead in total day Mega Manila ratings as it posted 18.3 percent, compared to main rival ABS-CBN Broadcasting Corp.’s 13.1 percent, according to data from ratings provider AGBNMR. GMA 7’s subsidiary QTV Channel 11 has maintained its hold on the number three spot in ratings as of March this year.
       Earlier, ABS-CBN reported a turnaround for the first quarter this year with a net income of P121 million from a loss of P114 million in the same period last year. Honey Madrilejos-Reyes

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