Remittances again proved to be a bright spot, setting another all-time high at US$34.5 billion, up 3% versus the previous record of US$33.4 billion set last year. This continued to support the country’s consumption-driven economy.

The growth outlook for 2025 appears promising with moderating inflation, easing interest rates, and election-related spending alleviating the pressure on consumer wallets, particularly those belonging to the lower socio-economic segments. However, risks from global economic policy uncertainties, particularly those related to Trump 2.0 policies, may stifle the country’s economic growth momentum.

Review of Globe’s Performance in 2024

Despite the challenging global and business environment, Globe ended 2024 with strong results, setting a new record with gross service revenues of ₱165.0 billion, reflecting a steady 2% growth compared to 2023.

The mobile and corporate data businesses powered this performance, contributing a combined 83% to total consolidated gross service revenues, up from 81% in the previous year. Notably, mobile revenues increased by 4%, while corporate data revenues surged by 11% in comparison to 2023. The shift towards data-driven services continues, with data revenues now representing 86% of consolidated gross service revenues, up from 83% in the prior year.

Globe's cash capital expenditures or capex for 2024 reached approximately ₱56.2 billion, a 20% decrease compared to 2023. This strategic reduction aims to optimize capital utilization and achieve positive free cash flows by 2025. The cash capex to revenue ratio decreased from 44% in 2023 to a more sustainable 34% in 2024. Similarly, the cash capex to EBITDA ratio showed significant improvement, falling from 87% to 65% over the same period.

Notably, 90% of the capex was invested in data requirements, ensuring uninterrupted access to digital solutions and connectivity services for Globe's customers.

Globe Leads in Innovative Digital Solutions

Globe’s corporate venture builder 917Ventures enhanced its portfolio through Brave Connective Holdings, Inc. Within Brave Connective are highly valuable companies that help businesses strengthen their connection with customers through the use of data, analytics, targeting, and storytelling.

In fintech, GCash remains the number one finance super-app and the largest digital cashless ecosystem in the country, bannered by ubiquity across its active user base.

To complement its ubiquity across its consumers, GCash has also built the largest network of online and offline merchants, and social sellers numbering over 6 million partners, while hosting over 1,000 merchant partners in its app, via GLife.

Also, GCash boasts the most comprehensive suite of digital financial services, covering savings, investments, and insurance products. On credit, backed by its proprietary trust platform and credit scoring via GScore, GCash has provided access to credit to over 7.8 million borrowers, of which the majority are from the lower socio-economic classes and two-thirds are women. These milestones were achieved through game-changing lending products covering credit lines, cash loans, buy-now-pay-later arrangements, and micro-credit starter loans, providing financing to more Filipinos who need it the most.

In line with its financial inclusion mandate, GCash has gone beyond the nation’s borders and now offers payments in 51 countries through GCash Global Pay. In partnership with Alipay+, this feature offers a hassle-free travel experience abroad through a seamless and secure payment experience across various merchants through Scan to Pay. 

GCash also empowers overseas Filipinos in 16 countries to manage their finances through GCash Overseas, which allows them to use their international mobile number to register for the GCash App and gives them access to services such as Buy Load, Pay Bills, and Send Money.

Beyond financial inclusion, Globe Fintech Innovations, Inc. or Mynt, the operator of GCash, has cemented its status as a benchmark for fintech innovation in the region, following the investment from MUFG and Ayala Corporation last August. The deal was the largest ever fintech transaction in the Philippines. It also more than doubled the previous valuation of Mynt, making it the first and only US$5 billion unicorn in the Philippines.

Commitment to Sustainable Development

Globe continues to lead by example on sustainability. As an active Participant of the United Nations Global Compact since 2019, Globe upholds the Ten Principles on Human Rights, Labor, Environment, and Anti-Corruption. It remains resolute in supporting the Sustainable Development Goals, especially SDG 9 on Industry, Innovation, and Infrastructure and SDG 13 on Climate Action, pushing sustainability within its operations and value chain, with digitalization as a driver for positive impact.

For the second consecutive year, Globe has received an "AA" rating from MSCI ESG Rating, demonstrating its continued ESG leadership in sustainability in the Philippines. The company has maintained a Medium Risk rating in Sustainalytics and has been a constituent company in the FTSE4Good Index Series for nine straight years.

Globe solidifies its leadership in corporate governance as the only Philippine telco to receive the Institute of Corporate Directors' Five Golden Arrow Award for three consecutive years.

Globe Calls for Public-Private Collaboration to Boost the Country’s Digital Economy

The advancement of digital transformation in the Philippines hinges on the strength of public-private partnerships, which are crucial in bridging connectivity gaps and driving the effective use of technology. Globe, a steadfast proponent of PPPs, actively engages in initiatives such as the Connectivity Plan Task Force, led by the Private Sector Advisory Council and composed of mobile network operators, tower companies, and government stakeholders.

As the Philippines continues its journey towards digital transformation, PPPs remain an essential mechanism for expanding access and ensuring that no one is left behind. By working closely with the government and other stakeholders, Globe is driving initiatives to deliver universal connectivity and foster meaningful digital inclusion.

By working together, the government and the private sector can accelerate infrastructure development, promote digital literacy, and create an environment where technology drives inclusive economic growth.

Globe’s Mission of Generating Sustained Value for Shareholders

Consistent with Globe’s mission of generating sustained value for its shareholders, the company paid out ₱14.4 billion in common share dividends. This represents 76% of 2023 core net income, in line with our dividend policy of 60 to 90% of prior year’s core net income.

This also translates to a 5.8% dividend yield, which is more competitive than the yields of other Philippine-listed companies. Globe reiterates its commitment to a sustainable dividend policy in line with earnings and cash flow generation.

Key Management Change

We welcome the appointment of Mr. Carl Raymond R. Cruz as our Deputy Chief Executive Officer, who started last January. Carl has also been nominated as a member of our Board of Directors for election in this Annual Stockholders’ Meeting, as well as President and Chief Executive Officer for election at the Organizational Meeting of our Board of Directors following the ASM.

Carl brings with him a wealth of experience, a proven track record of success, and a deep understanding of the telecom industry. He has over 30 years of experience across multiple geographies in Africa and Asia. He was the CEO of Airtel Nigeria, which is the largest operating company of Airtel Africa with revenues of over US$2 billion.

Prior to Airtel, he was the regional Managing Director of Unilever West Africa, where he was responsible for Nigeria, Ghana, and Francophone African countries. Previously, he served as the Vice President for Customer Development at Unilever Philippines. He has a successful history of transforming businesses, building strong teams, and delivering exceptional results. I’m confident that with Carl’s expertise and leadership, Globe will soar to even greater heights.

On behalf of the Board, let me take this opportunity to thank Ernest for his visionary and transformative leadership. He has been the prime catalyst behind Globe’s success, delivering landmark achievements that have shaped our company’s future and guiding it through some of its most challenging periods. A “technopreneur” at heart, Ernest brought passion, a Day One attitude, and a keen eye for business opportunities to Globe. He accomplished several milestones, winning markets and beating competition, building a stronger Globe, which brought the digital lifestyle and financial inclusion to millions of Filipinos.

To name a few landmark achievements under Ernest’s tenure, Globe modernized its network and IT infrastructure, cultivated a strong collaborative and service-oriented culture, and successfully created product innovations in its core business segments. Globe has since outperformed industry growth, breaking records across all key product groups, brands, and market segments, catapulting Globe to be the most preferred and top-performing mobile brand in the country.

Ernest was also pivotal in driving financial inclusion across the Philippines and transforming its digital economy through GCash, providing millions of Filipinos access to digital financial services and empowering them to improve their lives.

Along the way, Ernest garnered several awards and recognitions: he was hailed as the Philippines’ Best CEO by Finance Asia in 2010 and again in 2017. He was also named CEO of the Year in 2012 by Frost & Sullivan Asia Pacific and CEO of the Year at the Asia Communications Awards in 2017.

For five years (2013 to 2017) he was included in the list of 100 most influential telecom leaders worldwide by London-based Global-Telecoms Business Magazine Power 100. Ernest was also named the Best Telecommunications CEO at the 2021 International Finance Awards and Asia’s Best CEO by Corporate Governance Asia at their 10th Asian Excellence Awards in 2020. He was hailed as the Best Telco CEO by London-based business magazine The Global Economics in its 2022 Awards.

Most recently, Ernest was conferred with an Outstanding Contribution to the Asia Mobile Industry Award 2024 by GSMA and a similar award given by Twimbit, a research and advisory firm based in Singapore.

Closing Remarks

In closing, I congratulate the Globe leadership team and the entire organization for their commitment to innovation, sustainability, and inclusive growth as the company reaches new heights, further expands its digital infrastructure, and introduces groundbreaking solutions that cater to the evolving needs of its customers and communities.

I would also like to thank our board for its engagement and advice amid another challenging year. And lastly, I thank you, our shareholders and stakeholders, for your continuing trust in Globe.

And as our fellow Filipinos adopt the digital lifestyle and become more informed, empowered, and emboldened to go further than they have ever gone before and engage with the rest of the world, count on Globe to lead the nation forward.