Globe Telecom reported growth in its mobile business revenue, but also disclosed a decrease in profits for the first nine months of the financial year. The operator stated that profits fell by 27% from PHP 26.46 billion (USD 474 million) to PHP 19.29 billion (USD 345 million).
The decrease was mainly attributed to higher depreciation expenses, a non-operating charge, and the lack of a surge from the partial sale of Globe's data center business, which took place in the corresponding period last year. Excluding this gain, the net profit loss would have shown an 11% decline year-on-year, totaling PHP 14.8 billion. Despite this, total revenue saw a 3% increase to PHP 133.8 billion, with mobile service experiencing identical growth at PHP 83.2 billion.
In contrast, fixed line and home broadband sales declined by 2% to PHP 33.8 billion. Mobile voice revenue dropped by 11% to PHP 10.2 billion, while SMS revenue decreased by 10% to PHP 6 billion. Prepaid average revenue per user (ARPU) grew by 25% to PHP 121 billion, while post-paid ARPU remained flat at PHP 848 billion. The operator reduced its capital expenditure (CapEx) by 27% to PHP 54 billion as it aims to minimize spending.
Globe Telecom expanded its network by adding 833 new base stations, with 716 of them being 5G sites. Additionally, it upgraded 5,395 sites to LTE. In September, the company recorded 5.2 million 5G devices on its network.
Globe Telecom CEO, Ernest L. Cu, expressed his satisfaction with the company's telecom business performance, stating that it aligns with their guidance. He also highlighted the momentum in their transition to a techco business. Cu emphasized that non-telco businesses are contributing to the overall growth and resilience of the company.
He stated that they will continue to seek opportunities to thrive despite macroeconomic challenges and competition. Cu believed that their focus on innovation, collaboration, sustainability, and service, along with their commitment to network excellence, will keep them ahead and contribute to a digitally inclusive and prosperous Philippines.
