NextGen Day

MANILA – Converge, a local fiber broadband provider, saw a 50 percent rise in household users in the first quarter of 2022 compared to March of last year, bringing its network to more than 12.2 million homes nationally.

Converge CEO and co-founder Dennis Anthony Uy announced on Monday that the company’s core net income increased to about PHP2 billion in the first quarter of 2022, indicating a margin of 25.4 percent.

“We are witnessing solid financial growth in the first quarter of 2022, and we plan to meet our full-year projections as we continue to aggressively expand out our network and market both in the residential and enterprise categories,” Uy added.

When compared to the same quarter previous year, the company’s sales increased by 50% to PHP7.75 billion in the first quarter of 2022.

Converge stated it had 1,802,202 residential users at the end of the first quarter of 2022, up 52.5 percent from March 2021.

The company is also continuing to “aggressively” roll out fiber ports across the country, with 6.5 million ports reached in March of this year, putting it on track to meet its “accelerated target” of 7.5 million to 8 million ports by 2023.

Converge installed 643,528 new “fiber-to-the-home” ports in the first three months of 2022 alone.

This was the “fastest among the local participants in the industry,” according to the report.

Converge’s countrywide network had touched more than 12.2 million houses as of March 31, 2022, or 47.3 percent household coverage.

The company’s network is on track to meet its accelerated goal of reaching around 55 percent of Filipino households by 2023.

Converge’s revenue growth is also fueled by the ongoing development of its enterprise customers, who include SME, corporates, large enterprises, and wholesalers.

“The segment’s growth has been boosted by the reopening of the economy and the steady flourishing of SMEs.” The Enterprise business generated PHP935.5 million in revenue in Q1 2022, up 25% from PHP749.7 million in Q1 2021. Small and medium-sized businesses (SMEs) made up 20% of the total and expanded by 118 percent year over year. Converge’s SME subscribers increased by 200 percent to 25,810 as of March 21, 2022, according to the company.

Converge has a 17.3 percent return on invested capital (ROIC) to date.

“Due to the company’s systematic approach in deploying capital to extend its fiber network and measuring key capital efficiency indicators such as port usage ratios, Converge maintained an industry-leading return on invested capital (ROIC) of 17.3 percent,” according to the report.

Save/Share this story with QR CODE

---

Disclaimer

This article is for informational purposes only and does not constitute endorsement of any specific technologies or methodologies and financial advice or endorsement of any specific products or services.

📩 Need to get in touch?

📩 Feel free to Contact NextGenDay.com for comments, suggestions, reviews, or anything else.

---

We appreciate your reading. 😊Simple Ways To Say Thanks & Support Us:
1.) ❤️GIVE A TIP. Send a small donation thru Paypal😊❤️
Your DONATION will be used to fund and maintain NEXTGENDAY.com
Subscribers in the Philippines can make donations to mobile number 0917 906 3081, thru GCash.
3.) 🛒 BUY or SIGN UP to our AFFILIATE PARTNERS.
4.) 👍 Give this news article a THUMBS UP, and Leave a Comment (at Least Five Words).

---

AFFILIATE PARTNERS

World Class Nutritional Supplements - Buy Highest Quality Products, Purest Most Healthy Ingredients, Direct to your Door! Up to 90% OFF.
Join LiveGood Today - A company created to satisfy the world's most demanding leaders and entrepreneurs, with the best compensation plan today.

---