Globe Telecom of the Philippines owned by conglomerate Ayala Corp. and Singapore Telecommunications Ltd, booked net profits of PHP2.99 billion (USD69.7 million) for the first three months of this year, up from PHP2.95 billion or 1% on an annualised basis. First-quarter service revenues however, reached a record high of PHP16.45 billion, compared with PHP15.20 billion previously, driven by strong growth at all its operating divisions, but particularly from mobile. The telco closed out March with 27.3 million mobile users, up 14% year-on-year, thanks in part to strong take-up of new and cheaper post-paid tariff plans, and due to increased revenue from the sale of pre-paid services. Globe said that core net income, excluding non-recurring items, was 6% higher year-on-year at PHP2.96 billion.
Globe’s fixed line and broadband unit registered annual revenue growth of 26%, fuelled by a 40% expansion of its broadband subscriber base and sustained demand for data services from the corporate sector. The telco invested PHP5.5 billion in its networks in 1Q11, with a focus on broadband and mobile, down from PHP5.6 billion CAPEX in 1Q10.