The company, founded and led by broadband tycoons Dennis Anthony Uy and Maria Grace Uy, aims for 14 percent to 16 percent revenue growth in 2025, while balancing investments in infrastructure expansion and cost management.
Robust subscriber growth, revenues
• Total residential subscribers reached 2,563,458 by year-end, consisting of 2,272,827 postpaid and 290,631 prepaid users.
• Consolidated revenues grew 14.8 percent to P40.6 billion, maintaining its position as the fastest-growing fixed broadband provider in the Philippines.
• Residential revenues rose 13.7 percent to P34.4 billion, with strong subscriber gains in FiberX, BIDA Fiber, and Surf2Sawa plans.
• Enterprise revenues climbed 21.9 percent to P6.2 billion, led by 30.9 percent growth in small and medium enterprises, while all subsegments posted double-digit increases.
AP Securities: Converge finished ahead of estimates
Cholo Miguel Ramirez, AP Securities research analyst, said earnings slightly ahead of their estimates by 5.6 percent. This was also “in-line with consensus estimates of P10.8-billion, underpinned by exponential growth in all of its segments”.
He said they’re maintaining a “Buy” rating on Converge with a target price of P20.50 per share.
Profitability, 2025 outlook
Earnings before interest, taxes, depreciation, and amortization (Ebitda) rose by 14.2 percent to P24.6 billion, with an Ebitda margin of 60.5 percent, slightly lower than 60.9 percent in 2023.
Return on invested capital (ROIC) stood at 18.3 percent, up from 18.0 percent in the previous quarter, reflecting Converge’s disciplined investment in fiber network expansion and service improvements.
For 2025, Converge expects ebitda margins to range between 61 percent and 62 percent, supported by cost optimization efforts.
ROIC is projected to reach 16.5 percent to 17.5 percent, slightly lower than 2024 due to higher capital expenditures of P20 billion to P25 billion.
Major investments
• International subsea cable systems to enhance global connectivity.
• Two new data centers to support growing cloud and enterprise demand.
• Port expansion and network redundancy investments to improve service reliability.
