DITO CME Holdings Corp. of Davao-based businessman Dennis Uy is downplaying its massive losses as just part of its “long game.”
DITO reported a net loss of P2.8 billion in the first nine months of 2021 arising from the infusion of Uy’s telecommunication assets to the listed company in a share swap last August.
The company had an operating loss of P1.459 billion on P327 million sales during the period which was further compounded by foreign exchange losses of P1.24 billion.
DITO is the worst among Uy’s four loss-making publicly listed firms – Chelsea Logistics and Infrastructure Holdings (P2.2 billion loss in first nine months), PH Resorts Group (P376 million loss in first nine months), and Phoenix Petroleum (P83 million loss in the third quarter).
But the DITO’s top executives stressed that the losses were part of the firm’s network roll-out commitment under its operating license granted in 2019.
“DITO Tel is playing the long game. From day one we did mention already that building a telco from scratch will be very much capital extensive but the milestones reached in just nine months of operation is encouraging to say the least,” said DITO CME President Eric Alberto.
After kicking off its operations in March 2021, DITO claimed it has already hooked up four million subscribers from over 340 cities and municipalities after building 3,300 towers.
“Gaining more than four million subscribers in just over 9 months from commercial launch is an affirmation that there is a large segment of the market that would go for an alternative fast, reliable, and widely available mobile service, with product offers that are simple, easy to understand, easy to buy, and specifically caters to the growing needs of our digital savvy consumers,” said the former executive vice president of PLDT.