Philippines' second-largest phone firm Globe Telecom is expecting a single-digit growth in profits in 2009 after lower consumer spending resulted in a 15 percent profit drop to P11.28 billion in 2008.

"We're seeing single-digit growth this year as an outlook, but it would of course depend on how the market unfolds. Even in a crunch, there's still opportunity for us to grow," said Ferdinand dela Cruz, head of Globe's consumer wireless business group.

Dela Cruz said that Globe still experienced subscriber growth in the first three months of the year compared to the fourth quarter of 2008.

As the Philippine telecommunication industry continue to grapple with low single-digit growth rates after many years of dizzying pace in all measures--subscriber take up, net income, revenue per user, Globe takes on the conventional route: push for customer loyalty and mind the existing base for more revenues. Dela Cruz said they will focus on increased usage among current customers instead of going after new ones.

"We'd like to encourage higher usage and retention this year, work on how to engage them for more frequency (in using our services)," he explained.

The company, in particular, is eyeing more growth in its mass-market prepaid brand Touch Mobile (TM), especially as consumers begin to look for ways to make the most out of their hard-earned money.

"We're looking at a healthier growth from TM as customers look for the best offer in the market, said Globe President and CEO Ernest Cu at the sidelines of the company's annual stockholders' meeting on Thursday.

Globe posted a 41 percent growth in TM subscribers last year at 10.56 million from 7.48 million in 2007. The Ayala-led firm had 24.7-million subscriber base for 2008, up by 22 percent from the previous year.

Aside from this, the company also cited product innovation, faster execution, and more accessibility of products and services to all users as its way of addressing the ongoing crisis. Unlike other companies, Globe is not depending on acquisitions as a strategy for growth this year.

"There is much competition today for M&A (mergers and acquisition). Globe will become a rational player. We will not overpay for assets," Cu said.

"We would like to address the crisis holistically: through revenues, growth areas, containing costs. We'll focus on a healthy pipeline and ease of use (for our subscribers)," he added.

By Southeast Asian standards, research firm Pyramid noted that Philippines’ mobile subscriber uptake is relatively modest with 75 percent penetration in late 2008 putting it ahead of Indonesia and Vietnam but behind Thailand and Malaysia.