Telecommunications giant Globe Telecom is optimistic that it will be able to cushion the impact of potentially weaker consumer demand amid higher costs of other goods to remain in line with its projection of revenue growth this year.

Cezar Consing, the newly appointed chairman of Globe, said he would describe the growth outlook this year as “hopeful” as the company works to achieve a low- to mid-single-digit increase in revenues from last year’s flat growth.

He said the telco is preparing the necessary intervention measures to address the impact of inflationary pressures from the ongoing conflict in the Middle East on demand for its key services.

“We just have to prepare. Hopefully, things will turn [around] but we have to be prepared for some issues,” Consing said in a chance interview.

Globe expects the brunt of the crisis to become more apparent in the second quarter, even as its first-quarter profits already declined by 20 percent.

In a disclosure to the Philippine Stock Exchange, Globe reported that its net income eased to ₱5.55 billion from January to March, compared to ₱6.98 billion in the same period last year.

Globe attributed the decline to the absence of a one-off gain this year, as its sale of an eight-percent stake in GCash parent firm Mynt added ₱2.56 billion to the bottom line last year.

The company’s revenues increased by four percent to ₱45.71 billion in the first three months, helping offset a two-percent increase in expenses to ₱23.53 billion.

Globe said its mobile business remained the top driver of revenues, contributing ₱29.97 billion, or more than half of the total, amid steady consumer engagement.

Broadband and corporate revenues increased by six percent each in the first quarter, rising to ₱6.18 billion and ₱5.14 billion, respectively.

Mynt was once again a bright spot for Globe in the first quarter, as its equity earnings from the operator of the country’s most popular digital wallet expanded by eight percent to ₱1.9 billion from ₱1.8 billion in the previous year.

Mynt now accounts for 30 percent of the telco’s pre-tax net income as of end-March, higher than the 22 percent recorded in 2025.

Globe hiked its capital expenditures (capex) in the first quarter by more than half to ₱12.7 billion, as the company focused on network expansion and capacity enhancements to support data demand.

This is consistent with the company’s plan to spend below $1 billion on capex to sustain the positive momentum of its free cash flow within the year.

Despite the challenging macroeconomic environment posed by the ongoing Middle East crisis, Globe president and chief executive officer (CEO) Carl Cruz said the company remains committed to deepening its fiber footprint, expanding its 5G network, and scaling up its digital platforms to serve the evolving needs of customers.

“Through focused execution and more efficient capital allocation, we are strengthening our foundation to deliver sustainable long-term value,” he said.