Ayala-led Globe Telecom is boosting its capital expenditure (capex) budget this year by another $100 million for a total spending of $950 million.
It said the increased spending would be used to upgrade its network infrastructure as the local market shifts to a digital lifestyle. As of end-June, the company said it has already spent around P22.9 billion.
“Our efforts to modernize further our network play a critical role in our company’s performance. We believe we are well positioned to compete in this highly challenging market going forward,” Globe President and CEO Ernest Cu said in a statement.
The telco also disclosed that first-half net income climbed 21 percent from a year ago to P9.8 billion on the back of solid growth in earnings before income tax, depreciation and amortization (Ebitda), which climbed to P32.5 billion from P27.3 billion.
Consolidated service revenues were up 9 percent at P68.3 billion driven by growing data consumption, particularly from its mobile unit.
“We are encouraged by the positive business momentum in the first half of 2018,” Cu said.
Globe shares on Wednesday rose P161 or 8.64 percent to P2,024 each.