AYALA-LED Globe Telecom on Friday reported net income of P13 billion for the first nine months of 2017 driven by robust growth in mobile and home broadband revenues and lower non-operating charges.
Globe told the stock exchange that this year’s nine-month profit was 11 percent higher than the P11.7 billion recorded a year ago on the back of sustained growth in EBITDA (earnings before interest, taxes, depreciation and amortization) and lower non-operating charges.
Consolidated EBITDA rose 8 percent to P40.6 billion, while total operating expenses and subsidy reached P54.5 billion, 5 percent higher compared to P52 billion in 2016, it said.
Consolidated service revenues in the period increased 6 percent to P95.1 billion versus P89.5 billion a year ago, driven by the strong performance of its mobile and home broadband segments.
Globe said mobile data service revenues as of end-September were up 20 percent at P31.3 billion boosted by the growing appetite seen for both data and smartphones, with mobile data accounting for 43 percent of total mobile revenues.
Meanwhile, revenue from its home broadband business grew 8 percent to P11.7 billion fueled by strong demand for internet from its 1.26 million customers across the country.
“As we focus more on the network improvement and differentiated customer experience, we expect to maintain our current momentum, and round out the year with a stable growth performance.” said Ernest Cu, Globe president and chief executive officer.
Globe set a capital expenditure budget of $850 million (P43.5 billion) for 2017 to boost its data network in response to the growing subscriber base and demand for fast internet connectivity. The telco earlier said it has already spent P36.8 billion as of end-September.