Globe sees return to revenue growth in 2021


Globe Telecom expects service revenue to develop in 2021, reversing the slowdown seen final yr due to the COVID-19 lockdown.

Globe chief finance officer Rizza Maniego-Eala mentioned revenue growth would possible finish in the “low-to-mid single digit” space.

It dropped 2 % for full-year 2020 as all main enterprise segments, save for dwelling broadband, felt the impression of the worldwide well being disaster.

“We are optimistic about regaining the momentum we have lost as the economy continues to recover,” Maniego-Eala mentioned on Wednesday.

Globe sometimes doesn’t share internet revenue targets but it surely famous that margins on earnings earlier than curiosity, taxes, depreciation and amortization (Ebitda)—a measure of profitability—would stay steady above 50 %.

Eala mentioned Globe anticipated decrease margins on sure data-­associated merchandise. It plans to offset this by controlling bills.

The firm is boosting capital spending this yr as demand for web companies continues to rise.

Globe CEO Ernest Cu mentioned the corporate was allocating a file P70-billion capital funding price range for 2021. This is 16 % greater than its spending price range in 2020.

Most of the funds will likely be used to improve Globe’s cell and fixed-line networks via the development of recent cell towers and laying down fiber strains.

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