Globe President & CEO Ernest Cu (center) announces the company’s record-breaking performance in the first half of the year at a recent analyst briefing. Joining him from left are Chief Finance Officer Albert De Larrazabal, Senior Advisor for Consumer Business Daniel Horan , Executive Vice President & Chief Operating Officer for International and Business Markets Gil Genio and General Counsel Atty. Froilan Castelo.
Globe Telecom’s customer base soared to a new record high in the first half of the year, reaching 52.7 million, a 17% jump from 45 million a year earlier as Globe continues to be the leading network of choice by smartphone users amid continuing customer shift to a digital lifestyle.
Following robust customer acquisition, the company booked record-breaking financial performance in the first half of the year, generating service revenues of P53.8 billion, a 13% jump from a year earlier, resulting in a core net profit of P8.6 billion, a 14% growth from P7.6 billion a year earlier.
“Globe is the Filipinos’ leading choice of network for their digital lifestyle, evidenced not only by robust growth in customer base but also by strong growth in mobile data revenues, which now contribute 23% of total revenues compared with 16% from a year earlier. We expect this trend to persist amidst the growing number of smartphone users and as we continue to offer products and services that provide relevant content that will further enhance our customers’ digital lifestyle,” President & CEO Ernest Cu said.
Globe mobile subscribers totaled 48.4 million at the end of the first half, a 13% rise from 42.7 million a year earlier. Strong gains in customer acquisition in the company’s mobile business helped underpin mobile service revenues to climb 10% to P41.6 billion, compared with P37.8 billion a year earlier.
Total mobile gross acquisitions in the first half of the year reached 21.6 million, a 15% increase from a year earlier as Globe maintained its dominance in the postpaid segment, driven by sustained growth in high-quality customers. At the end of June this year, Globe had 2.3 million postpaid customers, up 12% from the 2.1 million in the same period of last year. The continued success of Globe Pospaid’s myLifestyle Plan, with a wide range of device offers and innovative deals, helped boost gross acquisitions to reach a new record high of 478 thousand in the first half of the year, a 23% increase from 389 thousand a year earlier.
Globe Prepaid gross acquisitions at the end of June this year grew 14% to 9 million compared with 7.9 million a year earlier while TM also generated an impressive gross acquisition of 12.2 million in the first half, up 16% from a year earlier following the Free Facebook and Free Viber promotions.
The company’s broadband customers, on the other hand, surged 55% to 3.5 million from 2.2 million from year-ago level. This helped realize a remarkable 24% growth in broadband and fixed line revenues, totaling P12.3 billion compared with P9.9 billion a year earlier. Impressive gains in customer take-up was attributed to the success of the latest roster of broadband products and services, which offer exclusive access to a portfolio of entertainment content to enrich Globe customers’ digital lifestyle.
Fixed line data segment sustained its growth momentum with P3.1 billion revenues registered in the first six months of the year, up 20% from P2.6 billion a year earlier, fueled by the strong demand for domestic and internet services, sustained circuit base expansion and the increasing popularity of cloud services. The company’s continuing commitment in offering innovative products and services to cater to the evolving needs of its corporate clients contributed to its continued success. The company has additional 849 thousand customers from its fixed line voice business.