Converge Q1 earnings surge on back of subscriber adds

MANILA, Philippines — Broadband operator Converge ICT Solutions, Inc. saw profits churn faster in the first quarter on the back of postpaid subscriber growth. 

In a disclosure sent to the Philippine Stock Exchange on Thursday, Converge reported net income after tax rose 10.3% year-on-year to P2.2 billion in the first quarter. 

Residential postpaid and prepaid subscribers posted growth in the first quarter, ending with 1.89 million and 28,995, respectively.

Consolidated revenues jumped 11.5% on-year to P8.64 billon in the first quarter. 

Its residential segment raked in revenues that inched up 8.6% on-year to P7.4 billion in the first three months of 2023. Enterprise revenues skyrockted 32.8% on an annual basis to P1.2 billion in the same period.

Earnings before interest taxes, depreciation, and amortization jumped 13.5% on-year to P5.7 billion in the first quarter.

“The Company sees various opportunities for subscriber growth in the coming years as it is positioned to connect unserved customers, supported by its expansion into the Visayas and Mindanao region,” the disclosure read.

Shares in Converge lost 1.18% to close at P11.76 apiece on Thursday. — Ramon Royandoyan