Despite headwinds, Globe Telecom Inc. is optimistic about sustaining its revenue growth this year and will continue to defend its lead in the mobile market.
In a virtual financial briefing yesterday, Ernest Cu, Globe president and chief executive officer, noted some headwinds in the coming quarters, primarily due to the slowing growth of the economy.
“We’re seeing growth in GDP (gross domestic product) slow down. We had 6 percent in the previous quarter and now down to 4 percent… There is, hopefully, moderate inflation… We are very pleased with the results and we are optimistic that it will continue for the balance of the year,” said Cu.
In the first half of the year, Globe’s consolidated service revenues rose 2 percent to a record P80.4 billion, backed by the data revenue growth across its mobile and corporate data businesses.
The sustained topline improvement was likewise supported by the robust contribution from its non-telco services, which now account for 3.5 percent of total gross service revenues, Globe said.
However, Globe said its net income went down by 27 percent to P14.4 billion in the first semester from its P19.7 billion net income a year ago, which is due to the one-time net gain of P8.5 billion (post-tax) reported last year from the partial sale of its data center business.
