MANILA, Philippines — ABS-CBN Corp. has secured commitments for a ₱6-billion capital infusion that could give the media company its strongest financial lifeline in years.
But the money will not spare everyone.
ABS-CBN is preparing another round of retrenchment affecting about 230 employees, according to InsiderPH, as management tries to stop continuing losses, preserve cash and rebuild a company that has struggled to regain its financial footing more than six years after losing its free-to-air broadcasting franchise.
President and CEO Carlo Katigbak informed employees of the planned cuts during a company town hall on Tuesday, September 15, according to people cited by InsiderPH who were familiar with the meeting.
Katigbak reportedly told employees that the layoffs were painful but necessary for ABS-CBN’s survival—and said this would be the last retrenchment under his leadership.
The juxtaposition is stark: ABS-CBN is attracting billions of pesos from investors while simultaneously cutting hundreds of jobs.
But its latest financial statements help explain why.
ABS-CBN Is Still Losing Billions
ABS-CBN generated ₱6.88 billion in consolidated revenue during the first six months of 2026, down 17% from a year earlier.
Its consolidated net loss more than doubled to ₱1.83 billion, compared with ₱852 million during the same period in 2025. Operating expenses fell 5% to ₱8.46 billion, but those cuts were not enough to offset weaker revenues.
The core Content Production and Distribution business produced ₱5.76 billion in first-half revenue, down 9%.
ABS-CBN attributed part of the decline to the absence of the election advertising that boosted 2025, weaker consumer sentiment, and fewer major films and live events during the first half of this year.
The difficulties did not begin in 2026.
For full-year 2025, ABS-CBN reported a ₱4.72-billion consolidated net loss, although that was an improvement from a ₱6.09-billion loss in 2024.
Consolidated revenue declined 9% to ₱15.85 billion, largely because revenue from the Cable TV and Broadband business plunged 39% to ₱3.27 billion.
Even ABS-CBN’s main Content Production and Distribution business remained loss-making on a recurring basis, recording a ₱2.54-billion recurring net loss in 2025 despite stronger advertising, movies, music, concerts and digital operations.
That is the financial problem the new capital has to solve.
Where the ₱6 Billion Is Coming From
ABS-CBN formally announced in August that it was raising ₱6 billion in fresh equity.
The largest investor is I&C Holdings Corp., a 100% Philippine-owned investment holding company focused on long-term corporate turnarounds.
I&C committed ₱3.5 billion.
Three investment companies representing separate branches of the Lopez family—Crème Investment Corp., Mantes Corp. and Presta Holdings Co. Inc.—committed a combined ₱2.2 billion using personal resources.
Lopez Inc., the family’s principal corporate holding company, is contributing another ₱300 million.
ABS-CBN told the Philippine Stock Exchange that proceeds would be used for working capital, settlement of past-due liabilities, reduction of outstanding bank debt and other general corporate purposes.
That distinction is crucial.
The money is not simply a war chest for new shows, movies or digital expansion. A meaningful portion is needed to repair the balance sheet and meet existing financial obligations.
The Full ₱6 Billion Has Not Necessarily Arrived Yet
The capital raise should also not be described as if all ₱6 billion has already landed in ABS-CBN’s bank account.
As of the terms disclosed in September, I&C had already paid ₱1.5 billion of its ₱3.5-billion investment, while the remainder was tied to regulatory clearances and other conditions.
The broader transaction involves ABS-CBN issuing approximately 1.64 billion new shares to the participating investors.
The proposed restructuring will also materially change ABS-CBN’s ownership.
I&C is expected to hold about 27.06% of total voting stock, including preferred shares.
Lopez Inc.’s direct voting interest is expected to decline from 78.4% to 44.35%. However, the Lopez family remains effectively in control when the stakes of Crème, Mantes and Presta are included. Those three family vehicles are expected to hold another 17.02% combined, bringing the wider Lopez family’s position above 60%.
ABS-CBN is also seeking to expand its board from seven to nine directors, with I&C potentially gaining representation.
So while ABS-CBN is bringing in a powerful new investor, this is not currently structured as a takeover of the company by an outside group.
Banks Are Another Piece of the Puzzle
ABS-CBN has also been negotiating with its lenders.
The company previously secured extensions on a ₱5-billion Bank of the Philippine Islands loan and a ₱4.75-billion UnionBank loan, giving it additional time to pursue a longer-term refinancing arrangement.
At the end of June, ABS-CBN had approximately ₱1.31 billion in cash, up from ₱1.03 billion at the start of the year.
Management reportedly told employees on September 15 that creditors had responded positively to the incoming capital and that debt restructuring talks were nearing completion. InsiderPH also reported management saying there was no imminent foreclosure threat.
That gives ABS-CBN more breathing room.
It does not eliminate the underlying problem: its core operations still need to produce sustainable cash flow.
This Is Not ABS-CBN’s First Painful Retrenchment
The latest job cuts are part of a much longer restructuring.
When Congress denied ABS-CBN a new broadcast franchise in 2020, the network dramatically downsized its operations.
ABS-CBN later said that close to 6,000 employees were retrenched following the franchise loss.
The company went through another round of layoffs in October 2024, when it announced that roughly 100 employees, representing about 3% of its workforce at the time, would be retrenched amid declining television advertising revenue and continued deterioration in the pay-TV industry.
At the time, ABS-CBN was already trying to reinvent itself as a content producer rather than a traditional broadcaster—supplying programs to other television networks while expanding movies, concerts, music, international licensing and digital platforms.
The latest cuts show that transformation remains unfinished.
Digital Is Growing—but It Cannot Yet Carry the Entire Company
There are encouraging signs.
ABS-CBN’s digital businesses delivered record results in several areas during 2025.
Direct-to-consumer revenue reached ₱1.03 billion, while direct digital advertising sales climbed 23% to a record ₱842 million.
The ABS-CBN Entertainment YouTube channel generated approximately 12 billion views during the year, while local subscriptions to the relaunched iWant service rose 19%.
International syndication and co-productions also helped ABS-CBN during the first half of 2026.
But digital growth has not yet replaced the economics of ABS-CBN’s old television model.
That is why Katigbak’s reported strategy has three distinct stages: stabilize the broadcast-related business in the short term, build a larger digital operation over the medium term, and eventually position ABS-CBN as a global Filipino content company.
BINI, Star Cinema and Global Content Are Now More Important
ABS-CBN increasingly depends on intellectual property that can travel across platforms and borders.
Its 2025 content performance showed what that strategy can look like.
Star Cinema produced the year’s three highest-grossing Filipino movies cited by the company, while BINI’s international expansion, concerts and music business added new revenue streams.
ABS-CBN Global also staged 29 international events during 2025.
For 2026, the company has pointed to BINI’s world tour, new film releases, live events, international syndication and co-productions as potential drivers of stronger second-half revenue.
Management reportedly told employees that the longer-term ambition includes producing a movie capable of achieving global success through a Hollywood studio partnership.
That is a far different business model from the ABS-CBN of the pre-2020 era.
Instead of owning the dominant national free-TV platform and monetizing huge audiences primarily through advertising, the company increasingly has to create intellectual property that can be licensed, streamed, toured, distributed internationally or shown through rival broadcasters.
Why the Layoffs Matter Despite the New Money
The ₱6-billion investment is a significant endorsement of ABS-CBN’s survival prospects.
But it should not be confused with evidence that the turnaround is complete.
ABS-CBN still has substantial debts, remains loss-making, is restructuring businesses weakened by the decline of traditional television and cable, and must prove that digital and global content revenues can eventually replace enough of what disappeared after its franchise loss.
The reported retrenchment of about 230 employees therefore sends a difficult but important message.
Investors are giving ABS-CBN more time.
Management is using that time to reduce costs, restructure debt and reposition the company.
But after years of asset sales, job cuts, partnerships and digital expansion, the next phase cannot depend indefinitely on shrinking the business.
At some point, ABS-CBN has to return to sustainable growth.
The ₱6-billion capital raise gives it another chance to get there.
Whether that money becomes the foundation of a genuine comeback—or simply buys more time—may now be the biggest question facing one of the most recognizable media companies in the Philippines.
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