Globe Telecom Inc. said on Friday it borrowed money anew from a local bank to finance part of its capital expenditures this year.
The company, controlled by conglomerate Ayala Corp., said it signed a 10-year, P8 billion term loan facility with BDO Unibank Inc.
“The loan shall be used to finance the company’s capital expenditures and general corporate requirements,” Globe said.
Globe’s capex guidance for 2017 is $750 million, of which majority will be invested in data-related projects, including the deployment of LTE mobile and LTE @Home and increased network capacities and coverage of its fixed line data.
The company spent about $772 million in capex last year, in which 65 percent financed data-related requirements.
Globe earlier signed an 8-year, P7-billion term loan facility with BDO Unibank and another six-year, P7-billion term loan with Development Bank of the Philippines.
Globe earlier reported a core profit of P16.01 billion in 2016, up 6 percent from P15.13 billion in 2015.
Globe’s net income, on the other hand, fell 4 percent to P15.9 billion last year from P16.5 billion in 2015.
Consolidated revenues increased 6 percent to P120 billion in 2016 from P113.7 billion in 2015.
Globe’s mobile revenues slightly grew to P91.9 billion in 2016 from P91.2 billion in 2015, driven by the continued shift from core voice and texts in favor of data.
Globe’s mobile subscriber base reached 62.8 million as of end-December, up 12 percent from 56.2 million subscribers in 2015.
