Globe sets $1.2 billion capex as Filipinos' mobile appetite drives revenue

ABS-CBN News

Posted at Feb 04 2020 09:25 AM

MANILA -- Globe Telecom said net income grew 20 percent in 2019, fueled by Filipinos' appetite for social media, mobile gaming and video streaming, as it set a record $1.2 billion (P63 billion) expansion budget this year.

Core net income in 2019 grew to P22.5 billion from P18.7 billion in the previous year, the joint venture between Ayala Corp and Singtel said.

Data accounted for 71 percent of the P149 billion in service revenues last year, higher than the 61-percent share in 2018, Globe said. Mobile data accounted for 64 percent of mobile revenues. Mobile data traffic jumped 78 percent to 1,699 petabytes.

"These results serve as a springboard for the opportunities and challenges that lay ahead, and will help us better serve our expanded mobile and broadband customer base of over 96 million," said Globe Telecom President and CEO Ernest L. Cu.

Globe is spending record amounts to improve its services as DITO Telecommunity, a joint venture between Udenna Corp and China Telecom, prepares to start commercial operations this year.

The government tapped DITO as third telco to challenge the dominance of Globe and PLDT Inc.