Globe expects prepaid services to drive growth this year

GLOBE TELECOM, Inc. expects prepaid services to be a major driver of revenue growth this year as the company launches its next-generation fifth-generation (5G) router.

“We have sufficient 5G coverage and are also redefining how we treat prepaid versus postpaid services. We are positioning this service to become a major revenue stream for us,” Globe Chief Commercial Officer Darius R. Delgado told reporters last week.

The Ayala-led telecommunications company recently launched its Globe At Home 5G WiFi, featuring limited-edition skins with works by national artists.

The company said it is rolling out its next-generation router in collaboration with global technology company Rainx, which provides a range of 5G routers and end-to-end technology to optimize the network experience for customers.

Mr. Delgado said the company is experiencing growth in prepaid users, attributed to the increasing adoption of digital services.

“We are also redefining the way we treat prepaid versus postpaid. Previously, they were separate segments and brands. Now, it’s a payment option available to any segment that wants it,” he said.

“Prepaid is no longer a chore, unlike before when you had to go out to top up. Now, it’s in your hands anywhere, as long as you have the required signal — you can load and top up.”

For 2024, Globe recorded a core net income of P21.5 billion, marking a 14% increase from the P18.92 billion in 2023, driven by higher revenues.

The company reported a combined revenue of P165.02 billion, up 2% from P162.33 billion in 2023, driven by a 4% increase in mobile revenues, which rose to P116.71 billion.

Last year, Globe said its mobile subscribers grew by 7% year-on-year to 60.9 million, while mobile data users increased by 3% to 37.4 million. — Ashley Erika O. Jose