Cheyenne Suarez

Globe profit dips as share in GCash declines, even as revenues hit record high

Article (news)

Arthur Fuentes

ABS-CBN News

<div> </div>MANILA — Globe Telecom reported Tuesday that it booked a net profit of P11 billion in the first half of 2026, down 11 percent from P12.4 billion last year, even as revenues hit an all-time high. The Ayala-led telco said the lower reported net income after tax was due to the dilution of its stake in fintech powerhouse Mynt, which operates GCash, and due to higher non-operating charges.Globe’s equity earnings from Mynt stood at P3.7 billion, down from P3.8 billion a year ago. However, Mynt’s contribution to the telco’s pre-tax income went up to 28 percent from 26 percent last year. Mynt&#x27;s quarterly revenues also reached a record P22.4 billion in the second quarter. Globe said this underscored Mynt’s role as a key earnings driver, as the fintech giant prepares for an initial public offering this year.<div><a href="https://www.abs-cbn.com/news/business/2026/6/17/gcash-parent-mynt-moves-to-file-for-ipo-at-pse-1326" rel="noopener noreferrer" target="_blank">GCash parent Mynt moves to file for IPO at PSE</a></div>Despite the lower net profit, consolidated service revenues rose 6 percent year-on-year to an all-time high of P85.4 billion in the six months through June, driven by robust mobile data usage and enterprise growth.“Globe&#x27;s mobile business remained the largest contributor to service revenues, generating P60.4 billion in the first half of 2026, up 6 percent from the same period last year,” the company said.Data-driven services accounted for 91 percent of total service revenues, underscoring the company&#x27;s shift toward digital offerings. Core net income, which excludes foreign exchange and mark-to-market adjustments, slid 2 percent to P10.2 billion in the first half.Earnings before interest, taxes, depreciation, and amortization (EBITDA) gained six percent to P44.9 billion, maintaining a solid EBITDA margin of 52.6 percent.&quot;Our first-half results demonstrate the strength of our core business and the solid contribution of our digital ecosystem,&quot; CEO Carl Raymond Cruz said in a statement, citing resilient execution amid macroeconomic headwinds.Capital expenditure jumped 39 percent to P26.3 billion as the firm accelerated 5G expansion and fiber line deployments nationwide.

The Ayala-led telco said the lower reported net income after tax was due to the dilution of its stake in fintech powerhouse Mynt.

The Ayala-led telco said the lower reported net income after tax was due to the dilution of its stake in fintech powerhouse Mynt.