Globe profit hits record

Globe Telecom booked gains in its mobile and enterprise units in the opening quarter of 2022 powered by growth in data-related products and services, with profit hitting a record high.

In its earnings release, president and CEO Ernest Cu expressed pleasure at Globe Telecom’s performance, citing sustained top-line growth momentum encouraging results, particularly in the mobile business as the government eased Covid-19 (coronavirus) restrictions and the economy opened up.

Net profit increased 86 per cent year-on-year to PHP13.7 billion ($261.5 million), as lower non-operating expenses stemming from a net gain of PHP8.5 billion on the partial sale of its data centre business offset higher depreciation expenses. Operating revenue rose 2 per cent to PHP43.6 billion.

Mobile service turnover increased 2 per cent to PHP26.9 billion, with data up 8.3 per cent to PHP20.8 billion.

Data accounted for 78 per cent of mobile revenue compared with 73 per cent a year earlier.

Mobile voice revenue fell 17 per cent to PHP3.9 billion and SMS 17 per cent at PHP2.1 billion.

Total mobile subscribers grew 10 per cent, with prepaid up nearly 7.7 million to 84.9 million and post-paid flat at 2.5 million.

Prepaid ARPU fell 7 per cent to PHP96 and post-paid was steady at PHP888.

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5G growth

Globe Telecom stated it logged more than 2 million devices on its 5G network, which covers 96 per cent of greater Manila and 85 per cent of key cities in Visayas and Mindanao in the south.

Home broadband sales fell 4 per cent to PHP7.02 billion.

Enterprise revenue grew 18 per cent to PHP3.9 billion.

Capex rose 10 per cent to PHP21 billion, accounting for 54 per cent of gross service revenue.

Globe Telecom stated it deployed 234 base stations in the year to end-March, upgraded more than 3,500 sites and installed 380 5G sites.

It deployed 91 towers in the quarter compared with 58 in Q1 2021.