Ayala-led Globe Telecom Inc. is optimistic about achieving its growth target of low to mid-single digits for the full year of 2024, due to strong performance over the past nine months.

Globe's Chief Finance Officer, Carlo Puno, stated during an online news briefing on Monday, Nov. 11, “the growth rate is projected to be low to mid-single digits compared to 2023, and we are on track to deliver that. Beyond just revenues, we are also focused on achieving our EBITDA (earnings before interest, tax, depreciation, and amortization) margin target of 50 percent, and we are currently outperforming that at 52 percent.”

For the upcoming year, the company plans to reduce its capital spending to below $1 billion in order to enhance its financial health through cost efficiency. 

Puno added, “we have communicated to the market over the past few quarters that we intend to lower our cash capital expenditure to below $1 billion for 2025, and we remain committed to this goal.”

When asked how Globe would fund this reduction, Puno indicated that the company was open to various fundraising activities, including debt, and would also benefit from approximately P11 billion that is yet to be collected from the sale of its cellular towers. He explained, “we still have around P10-11 billion in proceeds from the tower sale that we have yet to collect. Assuming we can obtain that, it will complement any fundraising we pursue for 2025."

Last week, Globe reported a six percent increase in net income for the first nine months of the year, reaching P20.6 billion, up from P19.4 billion in the same period last year. This growth was supported by a higher EBITDA.

In a regulatory filing, Globe stated that EBITDA amounted to P64.9 billion, marking a seven percent increase year-on-year due to a two percent rise in consolidated gross service revenues and a two percent decrease in operating expenses.

Gross service revenues grew by two percent to P124 billion from P121 billion, driven largely by performance in its mobile and corporate data sectors, which together accounted for 83 percent of the consolidated gross service revenues. 

Mobile revenues increased by five percent to P87.7 billion from P83.2 billion year-on-year, fueled by strategic market initiatives and ongoing network improvements. Meanwhile, corporate data revenues rose by 14 percent to P15.5 billion from P13.6 billion during the same period, driven by a 16 percent increase in Information and Communications Technology (ICT) services and a 13 percent surge in core data services.

Additionally, Mynt, Globe’s fintech arm operating GCash, contributed significantly to the company's performance, with net earnings soaring by 14 percent to P3.5 billion compared to a six percent contribution during the same period last year.