Globe Telecom, Inc. on Friday signed a term loan agreement with BDO Unibank, Inc. for P20 billion to finance its capital expenditures, pay obligations and other corporate requirements.
The Ayala-led telco as of September this year has invested P54 billion in capital expenditures for network expansion and enhancement, lower by 27 percent than in 2022. This was in line with Globe’s reinforced guidance of capex dropping to $1.3 billion for the full year.
The company said the majority of the capex or 91 percent was for the data requirements of subscribers to ensure efficient access to the best digital solutions and connectivity anytime.
Last month, Globe signed term loan facilities with Bank of the Philippine Islands, China Banking Corporation and Robinsons Bank Corporation for P3 billion, P5 billion and P4 billion, respectively.
Globe earlier reported net income of P19.36 billion in the January to September period, down from P26.5 billion in the same period last year.
Globe attributed the decline in net profit to the “increased depreciation expense as well as this period’s non-operating charges versus last year’s non-operating income which included the partial sale of Globe’s data center business.”
Excluding this one-time gain, normalized net income would have been P14.8 billion, down by 11 percent compared to previous year.
In the third quarter alone, Globe net income dropped 12 percent to P4.98 billion from P5.7 billion last year.
Core net income, which excludes the impact of non-recurring charges, and foreign exchange and mark-to-market charges, closed at P14.8 billion in the first nine months of the year, down 8 percent versus P16.01 billion in the the same period last year
