Globe shares fall on H2 revenue fears

1 Aug 2005

Shares in Filipino telecoms operator Globe Telecom dipped in late trading after the Inquirer News Service reported that the company is concerned that its revenues will come under intense pressure between now and December, due to weak consumer demand and tough competition. Globe shares fell by 1.2% or PHP0.10 to PHP830 after the Inquirer News Service published a story in which Globe president Gerardo Ablaza confirmed that increasing inflation and higher taxes had hit the company’s profit margin since May this year. Globe, the country’s second largest operator, is now paying a higher 29% rate of tax, up from 18% previously, after its income tax holiday expired in March 2005.

Philippines, Globe Telecom (incl. Innove)