MANILA, April 7 (PNA) — Even if it started as a challenger brand, Globe Telecom Inc. has slowly gained a foothold in leadership in the local telecommunications industry for its financial growth last year.
This, according to Globe President and CEO Ernest Cu in a statement is owing to the strength of a remarkable company performance in 2014.
As early as the fourth quarter of 2013, Globe took over the leadership position over its rival company in postpaid and mobile data businesses in terms of consolidated mobile revenue market share widening its gap as of the same period in 2014.
Globe’s prepaid value brand TM has reached a virtual deadlock with Sun Cellular in the same category in terms of consolidated revenue market share.
It also achieved a new high of Php99-billion consolidated service revenues, besting the previous mark of Php90.5 billion in 2013 representing a nine percent year-on-year growth.
On top of that, the telco generated in 2014 a core net profit growth of 25 percent to a record level of Php14.5 billion and registered total consolidated earnings before interest, taxes, deductions, and amortization (EBITDA) of Php39 billion, eight percent higher than 2013.
Globe’s share price meanwhile reached a new all-time high, closing at Php2,140 per share, up 22.3 percent from Php1,750 at the beginning of the year.
Its mobile revenues, which contributed 79 percent of consolidated revenues, grew seven percent year-on-year from the prior year’s Php72.8 billion to Php78.1 billion in 2014.
Mobile voice revenues, which accounted for 44 percent of total mobile service revenues, posted a year-on-year increase of seven percent.
Mobile SMS, which accounted for 37 percent of total mobile service revenues, closed the year at Php29.1 billion, one percent above from Php28.8 billion of end 2013, driven by the continued popularity of bucket and unlimited promotions.
Finally, Globe closed the year with a total mobile subscriber base of 44 million, up 14 percent from 38.5 million subscribers last year.
Fourth quarter’s gross subscriber acquisitions registered a quarterly-high of 10.1 million subscribers, 14 percent higher than last quarter.
In postpaid business, Globe claimed the top spot hinged on revenue market share, the new global standard for leadership claim and a reliable measure of market leadership used for telecommunications around the world.
The company dominated this aspect in 2014 bolstered by Php29.9 billion in revenues, as well as a 58 percent market share in a two-player environment, versus that of its two rivals which tallied Php21.7 billion for a combined 42 percent revenue market share.
“Against mounting odds, we maintained a defiant and fighting stance against a long-time industry giant to achieve a phenomenal financial feat,” Cu said.
The Globe official, meanwhile, expressed confidence that the telco will continue to sustain its momentum for the long haul.
Plans to “sustain”
Currently, the telco continues to offer the myLifestyle Plan to enhance the digital lifestyle experience of its customers who have harnessed data and content usage on their phones starting at Php499 a month, with built-in unlimited calls and texts to Globe and TM to sustain market leadership.
These come with premium freebies, Globe Cloud and Gadget Care. Other variants available are Surf Packs for mobile internet browsing with Spotify and NBA League Pass bundles, Lifestyle Packs for a richer data experience through music, productivity, life, shopping and social apps, as well as Classic Packs for extra calls and texts, both local and international.
In the mobile data front, Globe maintains its superior stance in the industry with revenues and data traffic growing faster than competition, powered by partnerships with global content providers such as Facebook, Viber, Spotify, NBA, and online entertainment service HOOQ, as well as better network performance to provide faster and more seamless browsing experience to enrich the Filipino digital lifestyle.
The modernized Globe network also carried a higher volume of data traffic equivalent to 87,000 terabytes of data, a 270 percent jump from the year before because of the surge in mobile browsing and higher smartphone penetration among its customers.
Mobile browsing and other data revenues generated Php14.3 billion in 2014, 23 percent higher than the previous year.
These figures were higher than competition which stood at Php8.1 billion, giving Globe the upper hand in revenue market share with 64 percent.
Sustaining its digital roadmap for 2015, Globe unveiled its partnership with HOOQ to enable access to thousands of movies and TV shows from international and local content providers.
The growth of the telco’s mobile data business will also draw support from the continuing network upgrade and expansion of its LTE TDD and LTE-FDD footprint.
Globe is currently activating more cell sites with the LTE-TDD and LTE-FDD ultra broadband access technologies for a more pervasive Long Term Evolution (LTE) coverage to ensure reliable and fast mobile internet service for its customers. (PNA)