Converge ICT Solutions Inc. (Converge), a fiber broadband and technology services provider, marked a steady growth in 2023 with a 5% year-on-year increase in consolidated revenues, reaching P35.4 billion. The company’s net income also saw a significant rise of 22% to P9 billion, driven by a surge in demand for its fiber internet offerings.
Converge also saw the addition of 284,000 residential subscribers to its fiber plans throughout the year, marking a 32% increase. This growth contributed to a positive trend in consolidated net adds, with Converge being the sole major operator to achieve a 13.4% year-on-year increase, according to the company.
“In 2023, we have consistently upheld momentum for our newly launched products Surf2Sawa (S2S) and BIDA Fiber, supported by the consistent growth in our flagship brand FiberX, especially in the fourth quarter,” said Dennis Anthony Uy, CEO and co-founder, Converge.
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Subscriber base
The company’s subscriber base expanded to nearly 175,000 for its new products, while FiberX subscriptions reached 1.8 million by the end of 2023.
Converge’s financial discipline and strategic positioning were evident in its performance metrics, with an EBITDA of P21.5 billion, up 11.2% year-on-year, and an EBITDA margin of 61%. The company’s return on invested capital (ROIC) remained the highest in the industry at 16.3%, underscoring its commitment to creating value for stakeholders.
Converge’s enterprise business also experienced robust growth, increasing from P4.3 billion to P5.1 billion, a 20% year-on-year rise. All enterprise segments saw double-digit growth, with the small and medium enterprise (SME) segment leading at 34.9%.