Ad Revenues ng ABS-CBN pinakamataas Last March!

The outlook for 2012, however, remains uncertain after an unusually erratic first three months of the year.

“In January ad minutes went down by double digits. In February we saw some signs of recovery, but last March we had an all-time high for that month,” ABS-CBN chief financial officer Ron Valdueza told reporters. “We hope to sustain this momentum the rest of the year.”

Valdueza said the company might benefit from the unofficial start of the midterm campaign season by the fourth quarter of this year, “but it probably wouldn’t be that much.”

He said the group’s capital expenditure would increase by at least 19 percent this year to P5 billion, with the bulk to be invested in the Internet and cable television business of its subsidiary, SkyCable.

Diversifying.

To diversify its revenue stream, ABS-CBN last year launched a total of 16 films, six of which grossed more than P100 million each to reach “blockbuster” status by Philippine standards. “Praybeyt Benjamin” grossed P342 million, making it the country’s biggest-selling movie.

This year the government plans to order television industry players to start broadcasting on digital frequencies and replace the existing inefficient and unreliable analog technology.

The National Telecommunications Commission is choosing between Japan’s Integrated Services Digital Broadcasting and the second-generation Digital Video Broadcasting platform from Europe.

This seismic shift in the industry’s business methods will benefit the big players at the expense of the smaller ones. It looks prudent for GMA-7 to start preparing while the price is right.

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