Globe’s 9-month net income down 10%

Ayala-led Globe Telecom Inc. saw its bottom line decline by 10% in the first nine months of 2020 amid the challenging business environment due to the COVID-19 pandemic.

In a disclosure to the Philippine Stock Exchange on Wednesday, the telco said its January to September net income fell to P15.9 billion from P17.68 billion in the same period last year, citing a 3% decline in EBITDA (earnings before interest, taxes, depreciation, and amortization).”

Consolidated EBITDA stood at P56.3 billion, down by 3% versus 2019 due mainly to the reduction in revenues.

Consolidated revenues slipped by 1% to P109.1 billion from P110.6 billion year-on-year.

“We are pleased with the performance Globe delivered this period, especially considering the extraordinary circumstances our country is facing. Driving this result was the resiliency of our network, and the unwavering dedication of our employees, which allowed us to sustain the growth of our data-related products and continue to serve our customers during this period of transition and adjustment to the new normal,” said Ernest Cu, president and CEO of Globe.

“COVID-19 has changed the way we interact with our customers, suppliers and employees but at the same time has created opportunities for us to emerge from this crisis stronger. We believe, on the back of our continued network investments, that we are ready to seize these opportunities to help our customers and the nation succeed in this new environment,” Cu said.

Globe’s home broadband posted 22% growth to P19.54 billion in revenues from P16 billion year-on-year.

During the pandemic, the telco’s home broadband subscriber base rose 82% to more than 3.4 million users.

Heeding the government’s call to improve internet services especially during these times when connectivity is a critical need, Globe said it invested a total of P33.4 billion in capital expenditures for the first nine months of 2020.

Majority of the capex investment or about 81% went to data-related requirements and is a testament to Globe’s commitment to expand its network and improve its service. -MDM, GMA News