AYALA-LED Globe Telecom (Globe), which posted 14 percent growth in first quarter consolidated service revenues, has approved a cash dividend of P22 per share for its shareholders payable in June.
Globe said its board approved the declaration of a second quarter cash dividend of P22 per share for holders of its common shares. The dividend will be paid to shareholders on record as of May 19, 2016, with payment date on June 3, 2016.
“This second quarter dividend payout totals P2.9 billion. Including the dividend payout last March, the annualized amount will translate to around 77 percent of last year’s core net income,” said Rizza Maniego-Eala, Globe acting chief finance officer.
She said the P22/share dividend payment represents a 4.1 percent dividend yield based on the closing share price of P2,170 as of May 05, 2016.
Globe Telecom’s board also approved the declaration of a second semi-annual cash dividend for holders of its non-voting preferred shares payable on August 22, 2016, for shareholders on record as of August 10, 2016. The amount of the cash dividend shall be at a fixed rate of 5.2006 percent per share on a 30/360 day basis for the six-month dividend period.
On Thursday, Globe said its consolidated service revenues amounted to P29.9 billion at the end of the first quarter, up 14 percent compared to the same period in 2015.
The telco attributed the revenue growth to gains across data-related product segments, as complemented by the continued subscriber growth for both mobile and home broadband.
EBITDA (earnings before interest, taxes, depreciation and amortization) margin was at 44 percent, slightly higher than last year’s margin of 42 percent.
Net profit for the first quarter was P4.3 billion, up 3 percent against the P4.2 billion reported in the year earlier period.
Mobile service revenues rose 7 percent to P23.1 billion in the first quarter from P21.6 billion a year earlier, driven by the strong revenue performance mostly from the prepaid brands.
TM, the company’s mass-market brand, posted 10 percent revenue increase while Globe Prepaid posted solid growth of 8 percent. Globe Postpaid revenues recorded 3 percent growth from a year ago with its continued customer base expansion.