Converge posts growth, profits in 2Q of 2021

FIBER internet provider Converge has posted significant growth and profitability in the second quarter of 2021 amid the ongoing Covid-19 pandemic.

In a virtual press conference on August 12, Converge executives reported a 81.5 percent year-over-year (YoY) revenue growth and 96.0 percent YoY earnings before interest, taxes, depreciation, and amortization (Ebitda) growth from the same period last year.

Converge’s Ebitda margins expanded from 51.1 percent in the first half of 2020 to 55.1 percent in the first half of 2021.

The company’s net income after tax more than doubled from P1,259 million in the first half of 2020 to P3,252 million in the same period of 2021.

Meanwhile, Converge ended the second quarter of 2021 with 1,355,079 residential subscribers, which is 85 percent more compared to the same period in 2020.

The completion of the initial phases of Converge’s domestic subsea cable network in the Visayas-Mindanao region in the second quarter of 2020 resulted in the activation of an end-to-end nationwide backbone reaching from northern Luzon to Mindanao.

This event represented another historic milestone in the mission of Converge to bring reliable and affordable, high-speed fiber internet to millions of households in the Philippines nationwide.

As the fastest growing fixed broadband operator in the Philippines, the company deployed a record 565,848 new fiber-to-the-home (“FTTH”) ports during the quarter, more than twice the number of FTTH ports deployed during the same quarter the previous year.

As of June 30, 2021, Converge’s nationwide network reached more than 8.3 million homes, on track to reach the company’s target to cover approximately 55 percent of households in the Philippines by 2025.

Earlier, the company launched services in key markets of Cebu, Davao, and Cagayan de Oro with further expansion in new VisMin regions in the second half of 2021.