COMMUNICATIONS and digital services provider Globe Telecom Inc. (Globe) posted a 15 percent year-on-year growth in revenue driven by steady growth in data consumption.
Globe recorded its highest full-year consolidated service revenue of P113.7 billion in 2015 from a previous record high of P99 billion in 2014.
The Ayala-led telecommunications giant said revenues peaked in the fourth quarter, reaching a record high of P30.3 billion, up 3 percent from the previous quarter and 15 percent higher than the same quarter in 2014.
Globe attributed the strong increment to growth in data consumption, which reached P22.1 billion in 2015, up 55 percent from P14.3 billion in 2014.
The stellar increase in data consumption was driven by sustained improvement in its 3G, HSPA+ and LTE networks, and various data product launches and promotions throughout the year, such as its Free FB + Viber with prepaid & Gosurf promos, Spotify with free games and FB, and GoSurf offers with bigger data volume allocation and free games, among others.
To complement the growth in mobile data services, mobile voice increased 6 percent year-on-year, despite the challenges posted by a declining international voice business, partially offsetting the 10-percent decline in SMS revenues.
Globe’s acquisition of the Lopez-led Bayan Telecommunications Inc. (Bayan) was also a driver of the company’s growth.
The telco said the consolidation of the performance of Bayan in the second half of the year contributed to its overall revenue.
Globe’s mobile revenue grew 9 percent year-on-year to P85.1 billion in 2015 from P78.1 billion the year before, driven by strong revenue across all mobile brands.
Globe’s Postpaid revenues rose 7 percent in 2015 from the previous year with its continued leadership in this segment, as evidenced by the significant customer base expansion year-on-year boosted by the strong take-up of its new myLifestyle Plans.
TM, the company’s mass-market brand, likewise increased revenues by 14 percent year-on-year while Globe Prepaid revenues posted a solid growth of 8 percent.
At the end of December 2015, Globe’s mobile subscriber base breached the 50-million milestone to reach 52.9 million, up a robust 20 percent from the 44 million subscribers reported in 2014, driven by gross acquisitions during the year and lower churn rates in both prepaid brands.
The robust subscriber growth for both mobile and broadband, the increasing demand for mobile data and high-speed internet connectivity for consumer and corporate clients, as well as the sustained execution excellence in the various product launches during the year, helped pave the way for Globe’s continued success.
Even excluding Bayan’s revenues in the second half of 2015, Globe’s consolidated service revenues grew to P110.8 billion in the full year, up a solid 12 percent from the same period the previous year.
Globe’s broadband business, which now includes Bayan, likewise sustained its growth momentum, increasing both in revenue and subscriber base by 38 percent and 55 percent, respectively.
It said total broadband service revenue reached P17.5 billion in 2015 while its total subscriber base has reached 4.3 million.