Globe Telecom Inc. is bringing in more revenue than ever, but rising costs are keeping that growth from translating into bigger profits.
The telecommunications company posted record consolidated gross service revenues of ₱129 billion in the first nine months of 2026, up 6 percent from ₱121.7 billion a year earlier. Yet net income after tax fell 7 percent to ₱16.5 billion, highlighting the pressure on earnings even as mobile, home broadband and corporate data revenues expanded.
The mixed results have not shaken Globe’s full-year outlook. President and CEO Carl Raymond R. Cruz said the company is retaining its revenue growth target of low to mid-single digits despite difficult market conditions.
“Our nine-month performance puts us in a very good position heading into the final quarter of the year,” Cruz said at a press conference on Wednesday.
For Globe, the challenge heading into the year’s final stretch is turning sustained demand for connectivity into stronger earnings while managing the cost of its network investments.
Higher depreciation and net interest expenses weighed on nine-month profit. The comparison also suffered from the absence of last year’s one-time gains from tower sales and the dilution of Globe’s stake in Mynt Inc.
Core net income, which excludes one-time items, stood at ₱15.5 billion, broadly unchanged from a year earlier. That suggests the underlying business held steady, although record service revenues have yet to produce a corresponding increase in core earnings.
Globe is continuing to spend on its network. Capital expenditures rose 14 percent year-on-year to ₱35.8 billion, equivalent to 28 percent of service revenues. About 89 percent of that spending went toward data-related requirements, underscoring the central role of connectivity in its investment priorities.
Cruz said revenue growth, cost management and operational efficiency remain the company’s focus as it navigates tough macroeconomic conditions and changing customer demands.
He also described Globe’s recent revenue growth as industry-leading, although that assessment was the company’s own characterization.
With all three major service segments growing, Globe enters the fourth quarter with revenue momentum. Its next test is whether tighter cost control and greater operating efficiency can help more of those gains reach the bottom line.
