Tuesday, August 14, 2007 Globe earns P6 billion in 1st half of 2007
AYALA owned-Globe Telecom has posted a 12 percent net profit or earned P6.4 billion in the first six months of the year as growth continued for both its wireless and wire-line segment.
"We are very happy with the excellent results we achieved in the first half of the year. We believe that these were made possible by Globe's good-value customer offerings in the midst of a strengthening economy," said Globe president Gerardo Ablaza Jr.
The company's wireline business likewise posted revenue growth despite the adverse impact of a stronger peso that Ablaza said is due to the accelerated expansion of its broadband segment where subscribers tripled from last year, boosting the segment's revenue growth by 92 percent.
Consolidated service revenues hit a new peak of P31.6 billion or an 11 percent year-on-year growth. Excluding foreign exchange and mark-to-market gains and losses and the non-recurring bond redemption costs in the first half, core net income surged 20 percent year-on-year reaching P7.4 billion at half-year close.
Other factors cited by Ablaza that contributed to the continued growth of Globe are key initiatives and programs in its core mobile business during the first semester like the introduction of value-priced SIMs, which cost only P65 for Globe and P30 for TM as well as the continued offer of bulk voice and unlimited text promos thus stimulating overall usage by both new and existing subscribers.
Moreover, Globe also continued to expand its sales and distribution capabilities, increasing its Autoload Max base to over 560,000 active retailers.
The company also undertook network infrastructure investments amounting to P5.8 billion. (MSN/Sunnex)
