Converge grows 9-month revenues, subscribers as profit slips 9%

Insider Spotlight 

• Converge's revenues climbed 3.9 percent to P34.2 billion, although rising costs weighed on earnings, with net income slipping 9 percent to P8.1 billion.
• Home broadband subscribers grew 6 percent to 3.1 million, but lower spending per customer kept residential revenues nearly flat.
• Enterprise sales jumped 22 percent, driving most of Converge's revenue growth as corporate demand gained momentum.

Fiber internet giant Converge ICT Solutions grew its revenues to P34.2 billion in the first nine months of 2026 as its broadband subscriber base expanded and corporate demand strengthened, although rising costs weighed on earnings.

The Dennis Anthony Uy-led fiber internet provider reported a 3.9 percent increase in revenues, while net income declined 9 percent to P8.1 billion as service costs grew faster than sales, a stock exchange filing on Friday showed. 

Converge continued investing in its network, including international submarine cables designed to protect connectivity and support growing demand for digital services.

“With the additional capacity from these two new cables, Converge not only has the youngest but it also has the most resilient international network among Philippine operators today,” Uy said in the filing. 

More customers, modest residential growth

The company ended September with 3.1 million residential subscribers, although revenues from its biggest business edged up just 0.5 percent to P27.9 billion.

In the third quarter, its residential customer base grew 6 percent from a year earlier, but average monthly revenue per subscriber slipped by the same rate to P1,002, leaving residential sales virtually unchanged.

Corporate customers provided additional momentum, with enterprise revenues jumping 22 percent to P6.4 billion as demand increased among large companies and smaller businesses.

The segment now accounts for nearly one-fifth of total revenues, offering Converge another avenue for growth beyond its established home broadband market.

Costs outpace growth

Converge's cost of services climbed 14 percent to P13 billion, contributing to an 8 percent decline in operating profit to P12 billion.

Earnings before interest, taxes, depreciation and amortization (EBITDA) slipped 2 percent to P19.9 billion, while its margin narrowed to 58 percent from 61.2 percent a year earlier.

Still, the company maintained a relatively modest debt burden, with net debt of P15.9 billion and a net debt-to-equity ratio of 0.2 times.

Capital expenditures reached P9.9 billion as Converge expanded its fiber network, international connectivity and data center infrastructure.

Those investments helped the company reroute internet traffic through its newer Bifrost submarine cable system after damage to a separate cable linking the Philippines and Singapore.

Converge is also expanding its Angeles data center in Pampanga, which secured government fast-track approval.

“The designation fast-tracks permits to accelerate expansion into enterprise cloud compute, carrier-neutral co-location, and data center operations,” the company said. 

—Edited by Miguel R. Camus