ABS-CBN Faces Tightrope Walk on Near-Term Survival Amid Heavy Overhead

MANILA — November 19, 2025 — ABS-CBN Corporation is fighting to stay afloat as mounting overhead costs and a shrinking cable business weigh heavily on its financial health, according to its latest quarterly filing with the Securities and Exchange Commission.

The media giant posted a ₱2.24 billion net loss for the first nine months of 2025, an improvement from last year’s ₱2.59 billion deficit, thanks to cost-cutting and stronger content revenues. However, General and Administrative Expenses (GAEX) of ₱3.92 billion still dwarf its gross profit, underscoring the structural challenge of sustaining operations without its former broadcast franchise.

Liquidity remains a pressing concern. Cash reserves fell to ₱718 million, while current liabilities ballooned to ₱24.1 billion, leaving the company with a current ratio of just 0.54×. Interest-bearing debt stands at ₱12.9 billion, and interest coverage remains negative, signaling continued reliance on asset sales and lender negotiations.

Management disclosed a material uncertainty on going concern, citing the expiry of a standstill agreement with creditors last December. Talks are underway to refinance loans and secure covenant waivers, while proceeds from property disposals—₱6.24 billion so far this year—have provided temporary relief.

On the operational front, content production and distribution surged 14% year-on-year, driven by advertising, streaming, and live events, including the record-breaking BINI world tour. Yet, the cable and broadband segment plunged 36%, deepening the drag on consolidated performance.

Analysts warn that survival hinges on three levers: successful refinancing, continued asset monetization, and deeper overhead rationalization. Without these, ABS-CBN faces a liquidity crunch within the next 12 months.

“Content is the bright spot,” one industry observer noted. “But until digital monetization scales and fixed costs shrink, the company’s near-term outlook will remain fragile.”

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