Converge profit flat at P3B as growth slows

Converge Information and Communications Technology Solutions, Inc. reported net income after tax of P3.0 billion in the first quarter, unchanged from P3.019 billion in same period last year, despite posting higher revenues during the period.

The fiber internet service provider said Wednesday consolidated revenues rose 3.7 percent to P11.2 billion from P10.8 billion a year earlier, slowing from the double-digit growth recorded in the same period in 2025.

Residential revenues reached P9.2 billion during the quarter, while total subscribers climbed to 3.09 million as of end-March. 

Enterprise revenues increased 16 percent to P2.0 billion from P1.7 billion previously, driven by growth in the small and medium enterprise segment.

“We celebrate this milestone of breaching the three million subscriber mark with our customers. This demonstrates our commitment to provide world-class connectivity to the broadest number of our people, especially those in the unserved and underserved communities,” said Converge CEO and Co-Founder Dennis Anthony Uy.

EBITDA increased 3.3 percent to P6.9 billion, resulting in an EBITDA margin of 61.8 percent, compared with 62.0 percent in the same period last year.

The company maintained return on invested capital at 15.6 percent and reported a net debt position of P15.8 billion as of March 31, 2026, including a P7.0 billion additional loan drawn in March.

Total cash capital expenditures for the first quarter amounted to P2.9 billion.

Converge said it also expanded hiring efforts to strengthen network maintenance and customer service operations through weekly open houses, regional caravans, and partnerships with schools, government agencies, and enterprises.

“We need to invest in people who run and maintain our fiber network. We don’t want to lose our Filipino talent, including these skilled technicians, to jobs abroad. With our hiring campaign, we hope to open up opportunities for our people and fill in this gap in human capital,” Uy said.

The company said customer service metrics improved compared with the fourth quarter of 2025, including a 27 percent reduction in average ticket times, nearly 20 percent faster repair resolution within one day, and a 42 percent reduction in average handling time for social media tickets.