Wonderful numbers were shared earlier at the Globe Telecom Annual Stockholders’ Meeting Press Event. Globe President & CEO Ernest Cu showed how 2014 reached new heights in performance and results. Revenues climbed all-time highs— driven by a steady growth in subscribers across postpaid, prepaid, and broadband, as well as a culture of service built in organization.
“Against mounting odds, we maintained a defiant and fighting stance against a long-time industry giant to achieve a phenomenal financial feat. From being a challenger brand, Globe has successfully waged a revolution in all fronts, from digital, technological and business, all the way to our corporate culture as well as making our financial growth sustainable in the long run,” Globe President & CEO Ernest Cu added.
Globe Telecom has given success in digital space were driven primarily by its partnerships with key global content brands:
As early as the fourth quarter of 2013, Globe already made significant headway in taking over the leadership position over its rival company in postpaid and mobile data businesses in terms of consolidated mobile revenue market share, continuously widening its gap as of the same period in 2014. Meanwhile, its prepaid value brand TM has reached a virtual deadlock with Sun Cellular in the same category in terms of consolidated revenue market share.
Also, in 2013, Globe Telecom were acknowledged globally in GSMA in Barcelona for Go Sakto to be the best product in terms of consumer solutions. Go Sakto is the single product today that allows anybody who uses Go Sakto where you can customize your consumables, like how many SMS, calls, data you need in a day, week or in a month.
The company disclosed during its Annual Stockholders’ Meeting that it achieved milestone-setting financial feats last year, bannered by a new high of P99-billion consolidated service revenues, besting the previous mark of P90.5 billion in 2013 representing a 9% year-on-year growth. It also generated in 2014 a core net profit growth of 25% to a record level of P14.5 billion and registered total consolidated earnings before interest, taxes, deductions, and amortization (EBITDA) of P39 billion, 8% higher than 2013. These were driven by the solid performance of its business segments amid sustained demand for data connectivity in its mobile and broadband businesses.
During the proceedings, the company also mentioned that its share price reached a new all-time high, closing at P 2,140 per share, up 22.3% from P 1,750 at the beginning of the year.
Mobile revenues, which contributed 79% of consolidated revenues, grew 7% year-on-year from the prior year’s P72.8 billion to P78.1 billion in 2014. Mobile voice revenues, which accounted for 44% of total mobile service revenues, posted a year-on-year increase of 7%. Mobile SMS, which accounted for 37% of total mobile service revenues, closed the year at P29.1 billion, 1% above from P28.8 billion of end 2013, driven by the continued popularity of bucket and unlimited promotions. Globe closed the year with a total mobile subscriber base of 44.0 million, up 14% from 38.5 million subscribers last year. Fourth quarter’s gross subscriber acquisitions registered a quarterly-high of 10.1 million subscribers, 14% higher than last quarter.
In postpaid business, Globe claimed the top spot hinged on revenue market share, the new global standard for leadership claim and a reliable measure of market leadership used for telecommunications around the world. The company dominated this aspect in 2014 bolstered by P29.9 billion in revenues, as well as a 58% market share in a two-player environment, versus that of its two rivals which tallied P21.7 billion for a combined 42% revenue market share.
The growth of the telco’s mobile data business will also draw support from the continuing network upgrade and expansion of its LTE TDD and LTE-FDD footprint. To enhance its wireless network infrastructure, Globe is activating more cell sites with the LTE-TDD and LTE-FDD ultra broadband access technologies for a more pervasive Long Term Evolution (LTE) coverage to ensure reliable and fast mobile internet service for its customers.
The telco also underscored its own brand of “sustainable revolution,” driving cost and efficiencies, leading to the company’s operational excellence and optimized profitability. It also trumpeted the “cultural revolution” by Globe employees whose invaluable contributions have propelled the company to a position of leadership not only in the Philippines, but also in the rest of the world.
Innovation is working creatively to enable the digital life of every Filipino. That is why Globe Telecom has remained the leader in digital lifestyle and making them number one in mobile brand.
Karina is not your ordinary supermom. She juggles her time bonding with her three amazing kids while being in the loop on the latest happenings in the tech and lifestyle scene. Follow me on Instagram (@digitalfilipina) regularly visit www.digitalfilipina.com for daily dose of updates not just for moms but for everyone!