MANILA - GMA Network Inc on Wednesday said a Commission on Elections (Comelec) move to limit election candidates' TV and radio airtime may dampen revenues.
"The new airtime allotment rule imposed by the Comelec may have an impact on GMA’s revenues but stations with low ratings will be at a greater disadvantage," Felipe Gozon, GMA Network chairman said in a disclosure to the Philippine Stock Exchange.
Under Comelec Resolution No. 9615, candidates for national elective positions are allowed a maximum airtime of 120 minutes on TV ads and 180 minutes on radio ads. Candidates for local elective positions are allowed 60 minutes on TV ads and 90 minutes on radio.
Earlier, GMA Network and TV5 failed to get a restraining order from the Supreme Court for the new Comelec rules on airtime for the 2013 elections.
Gozon said the company “may hit P3 billion” this 2013 owing to the steady flow of income at the start of the year.
He said the network expects to have ended 2012 with a profit of P1.7 billion, nearly unchanged from P1.72 billion in 2011.
In the first nine months of 2012, GMA Network earned P1.59 billion, slightly up from P1.58 billion in the same period in 2011.
The network has allotted around P600 million for its expansion, particularly for the acquisition of new equipment and opening of new station.