Globe Telecom Inc. said net income rose 21 percent in the first half of the year mostly because of higher revenues from the mobile and broadband businesses.
The company, owned by conglomerate Ayala Corp., said net profit amounted to P9.78 billion in the January-to-June period from P8.08 billion year-on-year.
Globe’s core net profit grew 25 percent to P9.98 billion from P7.97 billion a year ago.
The company’s consolidated service revenues reached P73.6 billion in the first half of 2018, up 11 percent from P66.54 billion on the year.
Globe attributed the sustained top-line performance to the continued expansion of the 4G and LTE network, and the growing preference of customers toward content-rich offerings and multimedia applications that enrich the Filipino digital lifestyle.
“We are encouraged by the positive business momentum in the first half of 2018. These results validate our strategy in driving the digital lifestyle of our customers, and reaffirm our status as the country’s leader in mobile,” Globe president and chief executive Ernest Cu said.
“Our efforts to modernize further our network play a critical role in our company’s performance. We believe we are well positioned to compete in this highly challenging market going forward,” he said.
Globe’s mobile revenues reached P51.3 billion for the first six months with mobile data still growing at a steady pace.
Mobile data service revenues reached P24.7 billion in the first half of the year as video viewing drove high mobile data consumption.
Mobile SMS and mobile voice revenues, meanwhile, hit P11.2 billion and P15.3 billion, respectively.
Globe’s mobile subscriber base totaled 65.1 million as of end-June 2018, up 9 percent from 59.7 million subscribers in the same period last year.
Home broadband business posted a total revenue of P8.68 billion, up 12 percent from P5.02 billion last year. Total home broadband subscriber base now stands at over 1.5 million or 22 percent higher from a year ago.
Globe is aggressively rolling out broadband lines with the company’s bid to roll out ultra-fast internet service to 2 million homes by 2020.
The board of directors of Globe also approved an additional in-year capital expenditure of $100 million to $950 million from an earlier budget of $850 million as it moves forward with upgrading its network to provide first-world internet connectivity in the Philippines.