Globe focus shifts to targeted digital investment

Globe Telecom has enhanced its fiscal position through deliberate and efficient investments, posting strong growth and demonstrating that sustainable progress is achievable through prudent spending, the company reported.

For the first nine months of 2025, Globe maintained strong operations with EBITDA reaching P64.2 billion, fueled by back-to-back quarterly growth. This translates to an EBITDA margin of 52.8 percent, which exceeded the company’s full-year guidance and highlighted its cost management efforts.

Capital spending eased to a more sustainable P31.4 billion, a 23 percent year-on-year reduction, as Globe moved toward more targeted investments that bring long-term value. This capital expenditure is equivalent to 26 percent of gross service revenues, a figure lower than previous years and closer to regional industry levels.

The reduced spending and strong earnings strengthened the company’s positive free cash flow, which is ahead of expectations.

“We’ve learned that growth isn’t just about how much you build, but how well you build it,” said Globe president and CEO Carl Cruz. “Our financial strength gives us the space to focus on what truly matters: creating meaningful experiences for our customers and helping communities move forward in the digital age.”

The improved cash generation reflects a shift from heavy capital expansion toward more intentional, high-impact investments in areas such as mobile data, enterprise technology, cloud services, and digital solutions.

According to the company, this evolution marks Globe’s readiness for a future where value creation is measured not only by scale but by relevance and impact.

Globe’s financial position remains solid, with its Gross Debt-to-EBITDA ratio at 2.69x, Net Debt to EBITDA at 2.40x, and a Debt Service Coverage Ratio of 3.74x, figures that remain comfortably within bank covenant levels. The company continues to align its investments with opportunities in connectivity, enterprise technology, and sustainability.