PLDT Net Income Up 23%, Globe Down 10% in First Nine Months of 2020
PLDT reported its net income at P19.7 billion during the first nine months of 2020, an increase of 23 percent compared to P15.996 billion in the same period last year.
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Consolidated revenues for the Manny Pangilinan-led telecom network was also up 6.25 percent, from P124.43 billion to P133.22 billion. PLDT cited sustained demand for data and broadband, which led total service revenues (P127.85 billion) across its three major revenue streams: Consumer Wireless, Enterprise, and Home broadband, to an all-time high.
“I see us at the forefront of digital empowerment, overcoming constraints on businesses and lives imposed by COVID,” said PLDT Chairman and CEO Manuel V. Pangilinan. “We future-proof our business by establishing what we believe to be our strongest foundations - the best network, excellent products, and world-class customer service.”
Meanwhile, rival Globe Telecom said it posted a net income of P15.88 billion, which is down 10 percent from last year’s P17.68 billion.
Consolidated revenues for the Ayala-owned company was also down one percent to P109.1 billion from the record P110.6 billion during the same period last year.
“We are pleased with the performance Globe delivered this period, especially considering the extraordinary circumstances our country is facing,” said Ernest Cu, President and CEO of Globe. “We believe, on the back of our continued network investments, that we are ready to seize these opportunities to help our customers and the nation succeed in this new environment.”
Both networks reported sharp increases in their data and broadband services as more people spent time indoors during the extended lockdown period due to the health crisis. During the first nine months of the year, PLDT’s data and broadband revenues reached P90.8 billion, an increase of 18 percent from last year, while mobile internet and Home broadband rose 31 percent and 14 percent, respectively. Data and broadband accounted for 72 percent of PLDT’s total service revenues.
Globe reported mobile data revenues at P53.4 billion in the same period, up from P52.1 billion from 2019, while Home broadband revenue reached P19.5 billion, up 22 percent from P16.1 billion last year.
As for capital spending, PLDT announced its spending will reach over P70 billion this year, which is the same as 2019, despite the mobility challenges posed by the quarantine period. “The final level will depend on actual home broadband installations, as Filipinos continue to shift more of their daily activities online, from the safety of their homes,” the company said.
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For its part, Globe said it has already invested P33.4 billion in capital expenditures in the first nine months out of the P50.3 billion allotment this year.