MANILA - Globe Telecom reported a 10 percent drop in third quarter net income, "better than expected" it said as demand slowly picked up with the economy reopened and restrictions eased.
The Ayala-led telco posted a net income of P4.4 billion for the July to September period from P4.9 billion the same time last year.
Total operating revenues rose 8 percent to P40.8 billion, driven by increasing data consumption from mobile, broadband and corporate as most businesses implement work-from-home arrangements and schools continue with online learning classes.
“We are pleased with the performance Globe delivered this period, especially considering the extraordinary circumstances our country is facing. Driving this result was the resiliency of our network, and the unwavering dedication of our employees, which allowed us to sustain the growth of our data-related products and continue to serve our customers during this period of transition and adjustment to the new normal,” said Ernest Cu, President and CEO of Globe Telecom.
For the January to September period, net income dropped 10 percent to P15.9 billion from P17.7 billion, while total operating revenues slightly declined by 3 percent to P119.6 billion from P123.4 billion last year.
Globe said it already invested 81 percent or P33.4 billion of the total P50 billion capital spending allotment for the year, as it ramps up cell sites build, upgrading to 4G or LTE, and hastening the "fiberization" of Filipino homes nationwide.
The company added it upgraded its cell sites by over 26 percent in the nine month period to give faster connectivity and better mobile experience.
It added 5G deployment has been accelerated, which is now available in some areas in Metro Manila namely Bonifacio Global City, Makati Central Business District, Rockwell Center, Ortigas Business District, and other strategic areas along EDSA and C5.
The new 5G-ready cities also include Taguig, Pasig, Mandaluyong, Marikina, Paranaque, Muntinlupa, Las Pinas, Valenzuela, and Caloocan.
“We remain committed to deliver our planned site builds for 2020, despite the varying degrees of community quarantines and our limited workforce out in the field. With the easing of requirements, we were able to secure over 700 permits last August and September...These permits complement our target network expansion and will help us continue the momentum of our aggressive cell site rollout,” Cu said.
As of end-September, Globe started operating 97 percent or 194 stores to serve its customers’ mobile and internet needs.