The Ayala-led Globe Group has reported nine-month revenues of P121.1 billion, marking a 3% increase from the previous year. This growth has been primarily driven by corporate data and non-telco services.
However, the telco’s net income has declined by 27% compared to the same period last year. This drop is attributed to higher depreciation costs and non-operating charges.
According to Globe, its mobile business segment performed well, with revenues totaling P83.2 billion as of the end of September 2023, reflecting a 3% increase from the P80.6 billion reported in the same period last year. Mobile revenues now make up 69% of the total consolidated service revenues, with the total mobile customer base (post-SIM registration) reaching 54.7 million for the first nine months of the year.
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Mobile data revenues have reached P67 billion, marking a 7% increase from the P62.5 billion reported a year ago. Mobile data now accounts for 81% of mobile revenues, up from 78% last year. Traditional mobile voice and SMS revenues have declined, with figures at P10.2 billion and P6 billion, reflecting a year-on-year decrease of 11% and 10%, respectively.
Corporate data revenues reached P13.6 billion during this period, surpassing last year’s performance by 8%. This growth is mainly attributed to the strong performance of information and communication technology (ICT) services, which have grown by 20% year-on-year.
Globe’s non-telco services have experienced significant growth, with a 44% yearly increase. These services now account for 3.4% of its total consolidated service revenues, up from 2.4% last year. The total data revenues for the nine-month period ending on September 30, 2023, stand at P99.6 billion, representing an 82% contribution to Globe’s overall revenue, compared to 81% in the previous year.
The Home Broadband business generated a total of P19 billion in revenues, a 7% decrease from last year’s P20.5 billion. Globe attributes this decline to the decrease in fixed wireless products, partially offset by the positive momentum of postpaid fiber. Wired revenues now account for nearly 85% of the total Home Broadband Business, primarily coming from Fiber customers. Postpaid Fiber subscribers and revenues have grown year-on-year by 2% and 18%, respectively.
Globe’s total operating expenses, including subsidies, for the nine-month period in 2023 amounted to P60.4 billion, compared to P57.6 billion reported in the same period the previous year. The Group has continued its efforts to control costs, as evidenced by reduced marketing and subsidy expenses, lease and provisions. However, these savings have been offset by increases in repairs and maintenance, services, administrative expenses, and other expenses.
For the first nine months of this year, the Globe Group’s consolidated EBITDA has reached a record P60.7 billion, marking a 1% increase year-on-year. This EBITDA growth has partly cushioned the 5% surge in operating expenses, including subsidies. The EBITDA margin, which stood at 50% during this period, remains within Globe’s guidance for the year.