Globe Telecom warns, fourth-quarter revenues likely impacted by ‘Yolanda’

18 Dec 2013

Globe Telecom of the Philippines says that its revenue growth for the fourth quarter of this year will likely be dampened by the effects of typhoon ‘Yolanda’, which struck the country in early November. In an interview covered by ABS-CBNnews.com, the telco’s president and chief executive Ernest Cu said that understandably, following the natural disaster the firm was predicting lower demand for telecoms services in the affected areas, with many of its subscribers likely to reduce spending as rebuilding efforts are carried out. ‘Notwithstanding the usual seasonal increase in both SMS and voice traffic during the holiday season, fourth quarter revenues may not be as strong as in prior years due to softer demand for telco services in the affected areas and possible cutbacks in telco-related spending on the part of subscribers as they donate these instead to the relief and rebuilding efforts of the government and private sector,’ Cu said in a statement. However, the official did say that Globe does not expect the typhoon to have any long term negative impact on group revenues.

Philippines, Globe Telecom (incl. Innove)