Globe’s net income up 385% to P6.8-B in 2014 H1

By Azer N. Parrocha

MANILA, Aug. 6 (PNA) — Globe Telecom Inc. on Wednesday released its first-half consolidated net income this year, which is up by 385 percent to Php 6.8 billion from Php 4.41 billion in the same period last year.

The company noted in a disclosure that the growth in net income was driven by lower depreciation charges, gains from foreign exchange movements and lower interest expenses recognized during the period.

Meanwhile, Globe’s core net income, such as the accelerated depreciation charges related to the change-out of equipment under the modernization initiatives and mark-to-market charges (excluding the impact on non-recurring items), improved to Php7.6 billion from Php6.4 billion in the first semester of 2013, an 18 percent increase year-on-year.

Globe president and CEO Ernest L. Cu said with modernized network and commitment to innovation and customer service excellence, it can maintain the growth momentum for the balance of the year.

“Our transformation initiatives are starting to bear fruit, given the solid revenue momentum we sustained this quarter,” Cu said in a statement.

Cu noted that with the growth in data services we have seen in the past months and the pervasiveness of data in new technologies and applications, Globe will be able to provide better services to its consumers.

In revenues, Globe was able to sustain it for the past two years ending the first half of 2014 with record-level revenues of Php47.7 billion, seven percent higher than the Php44.5 billion reported in the same period last year.

On a quarterly basis, Globe recorded a new all-time high in quarterly revenues with Php24.5 billion, up five percent from the first quarter of 2014 and six percent from the same quarter last year.

The robust revenue expansion was again fueled by solid growth across all business segments, due to the robust increase in the mobile telephony and broadband subscriber bases and the popularity of the Company’s innovative offerings and value-for-money promotions. (PNA)