Filipino fixed line and mobile operator Globe Telecom says its profits rose by 37% in the first half of 2006, driven by subscriber gains at its wireless unit and a drop in costs. The Philippines’ second largest telecoms firm posted net income of PHP5.8 billion (USD112.95 million) in the six months to 30 June, up from PHP4.21 billion a year ago, as consolidated net service revenue grew 6% to PHP28.5 billion. EBITDA, which is seen as a key indicator of profitability, improved by 23% at PHP18.9 billion, while operating expenses fell by 11%.
Globe Telecom, which is owned by Ayala Corporation (37.7%), SingTel International (44.6%) and private investors, added 1.5 million new subscribers in the first six months of the year to lift its total customer base to 13.9 million. At that date it had 5,500 cellular sites with 2G capacity, and the company says it is on track to install 1,000 3G-capable sites by the end of the year.