Privately-owned fibre broadband provider Converge ICT Solutions said net profits increased by 78% on an annualised basis to PHP3.38 billion (USD69.7 million) in FY20 as revenues soared 71% to PHP15.65 billion fuelled by strong subscriber uptake – in particular at its residential segment. CEO and co-founder Dennis Anthony Uy (no relation to the Dennis Uy of DITO Telecommunity) noted that amidst the pandemic people were ‘hungry’ for better internet services and as its residential business doubled its revenues from PHP6.35 billion in FY19 to PHP12.63 billion last year, the subscriber base also doubled to 1.04 million. Enterprise/Business revenues, meanwhile, also grew by 9% to PHP3.02 billion, it said, with Converge ICT noting a rise in demand in SME clients, as well as new wholesale contracts with the government and large international carriers.
The fibre provider targets investment of PHP20 billion in FY21, primarily for fibre-to-the-home (FTTH) as it looks to reach 35% of Filipino homes passed by the year end, and pay for costs related to the construction of domestic subsea cables. Converge aims to hit the 1.5-million subscriber mark by the end of 2021, and to achieve this will begin a full commercial rollout in new areas in the Visayas and Mindanao in 2Q21.