New promos boost Globe revenues 6% in 1st half
MANILA, Philippines - Globe Telecom Inc., a joint venture between Ayala Corp. and Singapore Telecom, continued to cash in on new promos including unlimited voice calls and text messaging that pushed its revenues higher by six percent in the first half of the year.
Globe president and chief executive officer Ernest Cu said unlimited text messaging and voice calls, coupled with the growing popularity of mobile Internet browsing, continued to provide significant boost to the company’s mobile revenues this year.
“Despite intensifying competition, our subscribers continued preference for our value offerings such as unlimited SMS and voice subscriptions as well as highly-affordable mobile browsing allowed us to sustain the growth momentum of our mobile business,” Cu said.
The company’s mobile revenues reached P33.3 billion from January to June this year or P1.9 billion higher than the P31.4 billion booked in the same period last year.
Data showed that mobile revenues accounted for 82 percent of Globe consolidated revenues that include broadband, fixed line data, and fixed line voice.
Globe said mobile data revenues climbed six percent to P16.2 billion in the first half of the year from P15.2 billion in the same period last year due to increasing smartphone penetration and the launch of value-based data browsing plans as well as growth in unlimited SMS subscriptions.
Mobile voice revenues also increased six percent to P17 billion from P16.1 billion due to increase in bulk and unlimited voice subscriptions, VOIP, and roaming services compensating for the decline in regular outbound voice and international services.
The growth in both mobile data and voice revenues more than offset the decline in regular pay-per-use SMS and inbound SMS revenues due to the reduction in access charges to P0.15 from P0.35 per SMS as mandated by the National Telecommunications Commission (NTC).
The postpaid and prepaid subscribers of Globe jumped 12 percent to 31.7 million as of end-June this year.
Growing demand for the company’s customizable postpaid plans that account for about 33 percent of total revenues bundled with the latest and top-of-the-line phone offers, targeted rewards and loyalty program, and customer-centric design of concept stores, contributed to the success of its postpaid brand.
To complement the growth in the postpaid segment, Globe’s prepaid brands held steady year-on-year with revenues at P22.4 billion.
Globe earlier reported that its net income fell almost 10 percent to P4.965 billion in the first half of the year from P5.499 billion in the same period last year. On the other hand, service revenues rose six percent to P40.767 billion from P38.392 billion.