The telco giant has tapped outside accounting experts and launched an independent review through its audit committee as it works to correct the errors and prevent similar problems, a regulatory filing on Friday showed.
The issue involved non-cash accounting for financial hedges used to protect PLDT from currency and interest-rate swings.
Market expert’s view
PLDT shares fell as much as 6.9 percent to P1,141 on Friday before recovering to P1,170, still down about 4.5 percent.
“PLDT should have controls and procedures in place to treat these matters, in line with best practices, global standards,” Ron Acoba, chief investment strategist at Trading Edge Consultancy, told InsiderPH.
“It’s more of negative optics for them as these controls should be in place by default no matter how marginal they are,” he added.
Deeper review
PLDT initially considered the errors immaterial, but a deeper review with auditor SyCip Gorres Velayo & Co. (SGV) found weaknesses in its financial reporting controls that were serious enough to require further action.
SGV withdrew its audit opinions on PLDT’s 2025 US filing, but its opinion on the company’s Philippine financial statements remains intact.
PLDT said the revisions are not expected to materially affect net income, earnings per share, cash flows or closely watched measures such as ebitda and core income.
The telco giant has begun fixing the control weaknesses, while the independent review will determine whether any further changes are needed.
—Edited by Miguel R. Camus
