Globe 1Q revenue growth at record level P31.1 Bln; up 4% on-year

Globe Telecom closed the first three months of 2017 with record-level consolidated service revenues of P31.1 billion, 4% higher than same period last year’s P30.0 billion, and P62 million higher than prior quarter’s all-time high revenues. 

The sustained solid revenue growth across all data-related segments, as well as the continued subscriber expansion for both mobile and broadband, led to this period’s strong performance. This was likewise aided by the company’s game-changing initiatives including a digital lifestyle play, innovative offers, and content partnerships with iconic global brands, backed by robust 3G and 4G networks nationwide. 

“We are seeing encouraging improvements this quarter, despite the temporary setback on profits as we continue to lay down the foundation to secure sustainable growth in the future. Our continued aggressive network modernization and upgrades using the latest technologies are all geared towards enhancing our internet services, so that our customers can have a wonderful and seamless connectivity,” Globe President & CEO Ernest Cu said. 

Mobile revenues stood at P23.8 billion as of end-March 2017, up 3% year-on-year, from the P23.1 billion reported a year ago. This was mainly attributed to the continued strong data consumption as more customers adopt the digital lifestyle. TM, the company’s mass-market brand, registered 7% revenue growth from last year, while Globe Prepaid revenues posted 3% improvement from 2016. Globe Postpaid revenues on the other hand, was flat year-on-year. Globe Telecom’s mobile subscriber base reached 58.6 million for the first three months of the year, up 2% from the 57.3 million subscribers reported in the same period of 2016. 

On a product perspective, mobile data remains the biggest contributor to total mobile revenues, now reaching 42% as of the first three months of the year. Mobile data service revenues registered close to P10.0 billion for the three-month period just ended, or 8% higher than the P9.2 billion reported a year ago. Mobile data traffic grew 84% from 71 petabytes (PB) in the first three months of 2016 to 131 petabytes (PB) this period, as smartphone penetration now reached 63%. The continuous ramp up of data traffic and smartphone penetration only proves that Globe remains to be the network of choice of mobile data users. Mobile voice declined by 3% year-on-year while SMS increased by 3%. 

The Globe home broadband business likewise showed consistent growth year-on-year, registering a total of P3.8 billion revenues as of end-March this year, up 9% from the P3.5 billion reported a year ago. Home broadband’s robust revenue performance was boosted by the continued subscriber expansion, which now reached 1.19 million as of the first three months of 2017. This was likewise aided by the strong take-up of home broadband’s latest plans and bundles which caters to the growing demand for lifestyle and entertainment-driven connectivity requirements such as video, gaming, information, commerce, shopping, and banking. 

Globe Telecom’s corporate data business improved by 7% at P2.5 billion as of end March this year, higher from the P2.4 billion posted in the same period of 2016. This was mainly attributed to the rising demand for data connectivity, impacting customer base expansion, circuit count increase and higher usage. Traditional fixed line voice revenues however, posted a decline of 2% from same period last year. The company’s record-level consolidated EBITDA stood at P13.3 billion, up 2% from same period last year. Total operating expenses and subsidy grew by 5% year-on-year to reach P17.8 billion from P17.0 billion last year, as Globe continued to invest in its data networks and support the growing subscriber base. EBITDA margin was at 43%, lower than the 44% margin reported a year ago but still higher compared to the 40% recorded in the fourth quarter of 2016. 

Despite the sustained topline and EBITDA growth, the impact of higher interest expenses and depreciation charges from its network infrastructure investments, as well as the company’s share in equity losses and spectrum amortization related to the SMC telco asset purchase, weighed down Globe Telecom’s net income. Net income for the period declined 13% to only P3.8 billion from the P4.3 billion reported in the same period of 2016, as the charges related to the SMC telco asset purchase were not present in last year’s levels. The company’s core net income, which excludes the impact of non-recurring charges, and foreign exchange and mark-to-market charges, likewise declined by 12% year-on-year to reach only P3.7 billion from P4.2 billion in the first quarter of 2016.

Manila Water’s Treasury Departmeent is now ISO 9001:2015 certified

The Treasury Department of East Zone water and used water service provider Manila Water’s is now certified ISO 9001:2015 based on the assessment and certification upgrade conducted by TUV Rheinland Philippines, Inc. ISO 9001:2015 is the newly- implemented international standards of ISO 9001:2008 Quality Management.

With this ISO certification, the company commits to a more internationally competitive treasury management through improved and world-class transparency of operations in accordance with corporate governance standards, optimized resource usage and increased customer satisfaction.

Manila Water added that major changes to the ISO standards include a new “high-level structure” for easier integration of various systems. The standard aims to enhance customer satisfaction through effective application of the system, including processes for continual improvement and the assurance of conformity to customer and applicable statutory and regulatory requirements.

Photo shows Manila Water’s Treasury Department officials headed by Joy Sison, Treasury Department Head, ISO consultant Jose Paulo Mungcal and TUV Rheinland Philippines external auditors Jogina Mendiola and Ramoncito Puyat.

EastWest’s auto loans business up 67% in 2016

East West Banking Corporation (EastWest) continues to make headway in its auto loans business as it registered a phenomenal year-on-year growth of 67% in 2016. A robust partnership with auto dealers as well as the continued growth of the automotive industry contributed to the strong performance of the business.

Data from the Chamber of Automotive Manufacturers of the Philippines Inc. and the Truck Manufacturers Association shows that 2016 was another banner year. Vehicle sales rose 25% to 359,572 units last year on the back of rising middle class income, improving local economy, and the sustained low financing packages available. For the passenger car segment, sales jumped 14% with 133,188 units sold.

"In the coming years, we see the auto industry’s continued growth. Many people dream of owning a vehicle because of the convenience it brings," said EastWest EVP & Head of Consumer Lending Cluster Jacqueline S. Fernandez.

Under the government’s automotive program, the auto industry is looking at surpassing the 500,000 units sales by 2018. The potential for growth remains high as nearly half of Filipino households do not yet own vehicles.

"We are here to help our customers realize their dreams. That’s why we’ve made our consumer loans affordable, with low interest rates and flexible payment terms, and the application process fast and easy," added Fernandez.

Earlier this year, the Bank signed up popular actor and triathlete Matteo Guidicelli to be the face of its Auto and Personal Loans businesses. The young celebrity embodies the hardworking and driven individuals that EastWest supports.

Globe and Mabuhay Miles give free sims to PAL passengers

Instant communication with loved ones in the Philippines

The International Business Group of Globe Telecom partnered with Mabuhay Miles to make it easier for balikbayans, OFWs, and travelers to get in touch with their loved ones when they reach the Philippines via free Traveler sim cards distributed to passengers on PAL’s international flights to Manila.

“We continuously strive to serve the needs of our dear OFWs, balikbayans and tourists. Through the partnership with Mabuhay Miles, we have created an avenue where our customers are able to enjoy their homecoming by means of instant communication as soon as they land,” said Nikko Acosta, Senior Vice President of the International Business Group of Globe Telecom.

Since December 14, 2016, the Traveler sim has been distributed to passengers on PAL international flights for free. As a bonus, customers can avail of unlimited calls to Globe and TM mobiles, 20 all-net SMS and 15MB mobile data valid for one day.

“Through this partnership with Globe, we are very happy to give our Mabuhay Miles customers a more enriching in-flight experience by making them feel we are making their trip to the Philippines more rewarding,” said Kevin Hartigan-Go, PAL VP for Ancillary Business Unit. “As of today, we have supplied hundreds of thousands of PAL passengers with free sim cards and we cannot wait to give to more!” Hartigan-Go added.

Mabuhay Miles will give 500 bonus miles when Traveler Sim customers register or update their membership information.

New members need to enroll at www.mabuhaymiles.com and text their Mabuhay Miles number using the Traveler sim to 3456. Existing members can update their profile by texting their Mabuhay Miles number, name and email address to 3456. 

Passengers can buy prepaid load at the Globe booths at NAIA 2 (PAL terminal), other international airports nationwide, and at over 800,000 Globe retailers around the country.

PLDT, Smart, TV5 and Solar converge to bring the ultimate Miss Universe 2016 experience to more Filipinos

MANILA – Leading Philippine telco and digital services provider PLDT and mobile leader Smart Communications together with broadcast station TV5 bring the much anticipated Miss Universe 2016closer to Filipinos everywhere through the country’s most extensive and robust fixed line and wireless networks.

In partnership with the Miss Universe Organization and official Philippine broadcast partner ofMiss Universe 2016 Solar Entertainment, the PLDT Group will enable the best viewing experience of the pageant in the Philippines through its various terrestrial and digital channels, across multiple screens at home and on-the-go.

“With the Miss Universe crown currently in our homeland, the enthusiasm for and connection of Filipinos to the global pageant is now stronger than ever,” PLDT Chairman Manny V. Pangilinan said.

“With the combined reach of PLDT, Smart and TV5, we are providing our countrymen more ways to enjoy the pageant. We are giving them exclusive access to behind-the-scenes and key events such as the very popular swimsuit and long gown competitions, and of course, real-time viewing of the much-awaited coronation night. With our robust network capabilities and the largest consumer base of over 75 million Filipinos, millions of fans can watch the pageant events via multiple platforms, whether on TV, laptop or mobile—whenever they want, wherever they want. For years, we have been revolutionizing the way entertainment is consumed in the nation, offering our subscribers an extensive entertainment portfolio featuring top digital entertainment partners. Miss Universe is one platform we would not miss out on.”

PLDT and Smart will provide fixed broadband and mobile connectivity to power the Miss Universe pageant throughout their stay in the Philippines. With the country’s widest Fibr broadband network which delivers symmetrical speeds of up to 1Gbps and Smart’s superior mobile LTE network, consumers can be assured of the best real-time Miss Universe experience. 

“The Internet and social media will undoubtedly play a substantial role in Miss Universe in the Philippines,” PLDT and Smart Chief Revenue Officer Eric Alberto said. 

“We are ready to contribute our top notch products and services to make it a more engaging experience for everyone. Miss Universe 2016 will be using PLDT and Smart’s services throughout their entire journey, while fans will be able to immerse themselves in not only the coronation night, but also on all the exciting events leading up to it. True to our promise of bringing the ultimate Miss Universe experience, our subscribers will get a chance to witness the coronation night live via free ticket promos.”

On top of the complete broadcast coverage of the coronation night, TV5 will give viewers access to the preliminary show, specifically the swimsuit and long gown rounds. 

“Filipinos can look forward to watching their favorite contestants compete even before the grand finale, which is something only TV5 can offer,” TV5 President and CEO Chot Reyes said. “We aim to bring the pageant to life by bringing it closer to the hearts and enthusiasm of every Filipino.”

TV5 signed with Solar for the partnership which encompasses on-air, on-ground, and PR values—the blocktime airing of the Coronation Night on January 30, the exclusive airing of the long gown and swimsuit preliminary competitions on January 28 and 29 which will also be available online on the same day, powered by PLDT and Smart.

Solar Entertainment takes pride in collaborating with TV5, PLDT, and Smart in the hope of delivering the optimum broadcast quality coverage of this momentous event, showcasing the wonders and beauty of the Philippines, and giving our fellow Filipinos the ultimate Miss Universe experience.

“Bringing Miss Universe to the Philippines is one of the top events that we have ever invested in. It is an opportunity that we did not want to miss,” said Mr. Wilson Tieng, President and CEO of Solar Entertainment Corporation. 

“For Miss Universe, we have jam-packed activities that will be happening at the same time and we’re excited to share it with the viewers.”

For more information, visit http://www.solarentertainmentcorp.com/,http://www.tv5.com.ph/,http://pldthome.com/, and http://smart.com.ph/.