Despite challenging economic conditions impacting consumer spending, Globe Telecom Inc. has reported an increase in average revenue per user (ARPU) in the first quarter of the year versus the same period last year.
ARPU for Globe and TM prepaid services surged by 56 percent and 75 percent to P152 and P115, respectively, in the first quarter compared to a year ago.
Globe said its postpaid ARPU posted a 3 percent increase to P879 for the period compared to the P850 reported a year earlier.
Darius Delgado, head of Globe’s Consumer Mobile Business, cited the stability of Globe’s active loader base as a reflection of business performance.
“We see our efforts being affirmed by our customers as our Net Promoter Scores continue to improve over and above Asia-Pacific benchmarks, hence our ability to keep our paying base stable, with ARPUs growing at a healthy pace, even as economic constraints persist,” said Delgado.
“This is an equation that tells me we are delivering an experience worthy of our customers’ spend and loyalty,” he added.
Globe posted an 8 percent rise in mobile revenues to P29.1 billion for the first quarter of 2024, compared to P27.1 billion a year ago, largely driven by mobile data usage.
The growth in mobile spurs optimism in the sector despite challenging economic conditions impacting consumer spending, Globe said.
The company said its mobile business represented 71 percent of total consolidated gross service revenues versus 68 percent a year ago, underscoring its effective monetization efforts coupled with market repair given the absence of price wars with competition.
Customers continue to choose Globe for its differentiated network quality and service, the company added, reporting a subscriber base of 58.8 million as of the end of March 2024.
Mobile data was a significant driver of mobile revenues, with its contribution rising by 10 percent to P23.8 billion from P21.7 billion, the company said.
Mobile data constituted 82 percent of total mobile revenues, up from 80 percent the previous year, it added.
Globe pointed out that the scenario showed the shifting consumer preferences from traditional voice and text messaging services, whose revenues amounted to P3.4 billion and P1.9 billion, down by 2 percent and 3 percent year-on-year, respectively.
