Globe Telecom, Inc. has secured a 20 billion Japanese yen (around P7.6 billion) term loan from Mizuho Bank Ltd., to be used to finance more projects, refinance liabilities and for other corporate requirements.
In a disclosure with the Philippine Stock Exchange (PSE) Wednesday, the telecommunications company said capital expenditures (capex) as of end-September this year reached P31.4 billion, down 23 percent against the P41 billion a year ago.
“This reduction reflects the company’s focus on strategic capital management while continuing to channel resources toward essential network improvements, in line with its full-year capex guidance of below $1 billion,” it said.
The listed firm said cash capex-to-revenue ratio got better at a level of 26 percent from the 33 percent in end-September 2024, while ratio of capex to earnings before interest, taxes, depreciation and amortization (EBITDA) went down to 49 percent to 63 percent “demonstrating increased capital efficiency and investment flexibility.”
“These improvements pave the way for targeted network initiatives for the remainder of the year and strengthen Globe’s positive free cash flow position,” the disclosure said.
“Consistent with prior periods, approximately 89 percent of capex was allocated to data-related projects, reaffirming Globe’s commitment to advancing digital capacity and expanding connectivity nationwide. By pursuing focused investments and innovation shaped around customer demand, Globe continues to empower more Filipinos to thrive in a digitally connected economy,” it added.
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