Changes in goodwill and intangible assets account for the years ended December 31, 2025 and 2024 are as follows:


	Intangible Assets with		Intangible Assets with Finite Life															Total Intangible Assets with			Total					Total Goodwill and
	Indefinite Life		Trademark		Franchise		Licenses			Customer List			Spectrum		Others			Finite Life			Intangible Assets			Goodwill		Intangible Assets
			(in million pesos)
December 31, 2025
Costs:
Balances at beginning of the year		220		4,565		3,017		135			4,703			1,205		1,689			15,314			15,534			63,595		79,129
Additions during the year		—		—		—		—			12			—		217			229			229			—		229
Translation and other adjustments		—		5		—		(12	)		(8	)		—		—			(15	)		(15	)		—		(15	)
Balances at end of the year		220		4,570		3,017		123			4,707			1,205		1,906			15,528			15,748			63,595		79,343
Accumulated amortization and impairment:
Balances at beginning of the year		—		4,565		2,451		135			4,703			1,205		952			14,011			14,011			654		14,665
Amortization during the year		—		—		186		—			2			—		82			270			270			—		270
Translation and other adjustments		—		5		1		(12	)		(8	)		—		1			(13	)		(13	)		—		(13	)
Balances at end of the year		—		4,570		2,638		123			4,697			1,205		1,035			14,268			14,268			654		14,922
Net balances at end of the year		220		—		379		—			10			—		871			1,260			1,480			62,941		64,421
Estimated useful lives (in years)		—		—		16		—			6			—	5-10				—			—			—		—
Remaining useful lives (in years)		—		—		2		—			5			—	3-10				—			—			—		—

December 31, 2024
Costs:
Balances at beginning of the year		220		4,561		3,017		135			4,703			1,205		1,321			14,942			15,162			63,595		78,757
Additions during the year		—		—		—		—			—			—		366			366			366			—		366
Translation and other adjustments		—		4		—		—			—			—		2			6			6			—		6
Balances at end of the year		220		4,565		3,017		135			4,703			1,205		1,689			15,314			15,534			63,595		79,129
Accumulated amortization and impairment:
Balances at beginning of the year		—		4,561		2,265		135			4,703			1,205		899			13,768			13,768			654		14,422
Amortization during the year		—		—		186		—			—			—		54			240			240			—		240
Translation and other adjustments		—		4		—		—			—			—		(1	)		3			3			—		3
Balances at end of the year		—		4,565		2,451		135			4,703			1,205		952			14,011			14,011			654		14,665
Net balances at end of the year		220		—		566		—			—			—		737			1,303			1,523			62,941		64,464
Estimated useful lives (in years)		—		—		16		—			6			—	5-10				—			—			—		—
Remaining useful lives (in years)		—		—		3		—			—			—	3-10				—			—			—		—

The organizational structure of PLDT and its subsidiaries is designed to monitor financial operations based on fixed line and wireless segmentation. Management provides guidelines and decisions on resource allocation, such as continuing or disposing of assets and operations by evaluating the performance of each segment through review and analysis of available financial information on the fixed line and wireless segments. As at December 31, 2025, the PLDT Group’s goodwill comprised of goodwill resulting from PGIH’s acquisition of Multisys in 2022, ePLDT’s acquisition of IPCDSI in 2012, PLDT’s acquisition of Digitel in 2011, ePLDT’s acquisition of ePDS in 2011, Smart’s acquisition of PDSI and Chikka in 2009, SBI’s acquisition of Airborne Access Corporation in 2008, and Smart’s acquisition of SBI in 2004.

Although revenue streams may be segregated among the companies within the PLDT Group, cash inflows are not considered coming from independent groups of assets on a per Company basis due largely to the significant portion of shared and commonly used network/platform that generates related revenue. On the other hand, PLDT has the largest fixed line network in the Philippines. PLDT’s transport facilities are installed nationwide to cover both domestic and international IP backbone to route and transmit IP traffic generated by the customers. In the same manner, PLDT has the most Internet Gateway facilities which are composed of high-capacity IP routers and switches that serve as the main gateway of the Philippines to the Internet connecting to the World Wide Web. With PLDT’s network coverage, other fixed line subsidiaries share the same facilities to leverage from a Group perspective.

Because of the significant common use of network facilities among fixed line and wireless companies within the Group, management deems that the Wireless and Fixed Line units are the lowest CGUs to which goodwill is to be allocated and tested for impairment given that the Fixed Line and Wireless operations generate cash inflows that are largely independent of the cash inflows from other assets or groups of assets.

The recoverable amount of the Wireless and Fixed Line CGUs have been determined using the value- in-use approach calculated using cash flow projections based on the financial budgets approved by the Board of Directors. The post-tax discount rates applied to cash flow projections are 9.32% for the Wireless and Fixed Line CGUs. Cash flows beyond the projection period of three years are determined using a 2% growth rate for the Wireless and Fixed Line CGUs, which is the same as the long-term average growth rate for the telecommunications industry. Other key assumptions used in the cash flow projections include revenue growth rate and capital expenditures.

Based on the assessment of the VIU of the Wireless and Fixed Line CGUs, the recoverable amount of the Wireless and Fixed Line CGUs exceeded their carrying amounts. Hence, no impairment was recognized in relation to goodwill as at
December 31, 2025 and 2024.