ABS-CBN Revenue Falls 17% in H1 2026 as Net Loss Widens to P1.83 Billion

 

ABS-CBN Corp. entered the second half of 2026 under continued financial pressure, reporting consolidated revenue of P6.88 billion for the first six months of the year, a 17% decline from the same period in 2025.

The company’s bottom line deteriorated more sharply. Net loss reached P1.83 billion, more than twice the P852 million loss recorded a year earlier.

The weaker results came despite ABS-CBN’s efforts to reduce spending. Consolidated operating expenses dropped by P482 million, or 5%, to P8.46 billion during the period. The reduction reflects the company’s continuing effort to streamline operations as it reshapes its business following the loss of its broadcast franchise.

Advertising comparison weighs on first-half results

A major factor behind the revenue decline was the unusually strong comparison with the first half of 2025, when election-related advertising provided a significant boost.

ABS-CBN also pointed to broader economic and global conditions that affected consumer confidence and weighed on domestic economic activity.

Its content production and distribution segment generated P5.76 billion in revenue, 9% below the amount recorded in the same period last year. The decline was also influenced by a lighter entertainment calendar.

The first half of 2025 benefited from major revenue-generating events, including BINI’s sold-out concert at the Philippine Arena and the theatrical performance of Star Cinema’s My Love Will Make You Disappear. With fewer comparable movie releases and large-scale events during the first half of 2026, the company faced a more difficult revenue environment.

Still, not every part of the business moved backward. Stronger consumer sales, along with increased international syndication and co-production activities, helped cushion the decline.

Underlying performance shows modest improvement

ABS-CBN said its recurring performance was more resilient once political advertising and one-time items were removed from the comparison.

On that adjusted basis, the segment’s recurring net loss improved by 1%. Recurring earnings before interest, taxes, depreciation and amortization, or EBITDA, also increased by 2% year-on-year.

That distinction is important because headline revenue can be heavily influenced by temporary events. The adjusted figures provide a clearer view of how the company’s core content and entertainment operations are performing without the distortion created by election spending and other exceptional factors.

Second-half slate offers a potential recovery

ABS-CBN is counting on a stronger lineup of films, concerts and international activities to improve its financial performance during the remainder of 2026.

Star Cinema’s Tayo Sa Wakas, which premiered in May, is among the projects expected to contribute to the company’s second-half results. BINI’s global tour, which began in June, is another major revenue opportunity.

The group also performed at the Coachella Valley Music and Arts Festival in April, adding international exposure to what has become one of ABS-CBN’s key entertainment properties.

With the BINI tour continuing through the second half and additional films and live events scheduled, the company expects its revenue trajectory to strengthen as the year progresses.

ABS-CBN prepares P6-billion equity raise

Beyond improving operating performance, ABS-CBN is pursuing a major capital infusion designed to reinforce its balance sheet and provide additional support for its long-term transformation.

The company announced plans in August to raise P6 billion through new equity. The fundraising forms part of its strategy to establish a more sustainable, content-driven media and entertainment business.

Three Lopez family investment entities, Crème Investment Corp., Mantes Corp. and Presta Holdings Co. Inc., have committed to subscribe to P2.2 billion worth of ABS-CBN shares using personal resources.

I&C Holdings Corp. has committed another P3.5 billion, while Lopez Inc. plans to subscribe to P300 million.

The proposed investments remain subject to the execution of definitive agreements, as well as applicable corporate and regulatory requirements.

A continuing transformation since the 2020 franchise loss

ABS-CBN’s financial restructuring is rooted in a major turning point for the company.

On July 10, 2020, the House Committee on Legislative Franchises rejected ABS-CBN’s application for a new broadcast franchise. The decision fundamentally altered the company’s traditional operating model and accelerated its shift toward content production, licensing, international distribution, partnerships and other entertainment businesses.

The latest results therefore represent more than a routine earnings setback. They illustrate the financial strain involved in rebuilding a media company around content and commercial partnerships after losing its conventional broadcast platform.

For ABS-CBN, the second half of 2026 will be critical. A stronger entertainment slate, BINI’s international activities and the planned P6-billion capital raise could provide the company with both additional revenue opportunities and greater financial flexibility as it continues its transition.