Converge earnings slip 9 percent on higher costs

Upgrade to High-Speed Internet for only ₱1499/month!

Enjoy up to 100 Mbps fiber broadband, perfect for browsing, streaming, and gaming.

Visit Suniway.ph to learn

November 7, 2026 | 12:00am

MANILA, Philippines — The earnings of broadband giant Converge ICT Solutions Inc. slipped by nine percent to P8.09 billion, as the provider had to deal with higher expenses, while revenue grew at a slower pace.

Based on its financial report, Converge booked a net income of P8.09 billion during the nine-month period ending September, lower than a year-ago level of P8.9 billion.

Converge pulled off a four-percent increase in revenue to P34.25 billion, while its expenses jumped by 14 percent to P12.96 billion.

On revenue, Converge registered a flat performance in its residential segment, staying at P27.88 billion. This was mitigated by a 22-percent expansion in the enterprise side, hitting P6.37 billion.

However, general and administrative expenses also rose by seven percent to P8.38 billion, piling up on Converge’s higher billing. The provider also spent nine percent more for its financing costs at P1.29 billion due to higher interest rates.

Converge is solid financially, delivering a net income margin of 23.6 percent, as it kept an industry-leading return on invested capital of 14.5 percent.

The internet service provider owned by the Uys also expanded its subscriber base to 3.1 million, bringing it closer to its 2027 target of four million.

Converge is also turning its enterprise segment into a revenue driver, with large corporate accounts rising by 29 percent and small and medium enterprises picking up by 15 percent.

Converge CEO and co-founder Dennis Anthony Uy said the provider has invested ahead to build up its infrastructure network.

To date, Converge operates a network backbone of around 960,000 kilometers of fiber lines and satellite links.

On top of this, Converge is hooked to international subsea cables that plug to multiple countries.

Bifrost Cable System, for one, spans roughly 20,000 kilometers across the Pacific Ocean, linking Guam, Indonesia, Singapore, the Philippines and the United States.

As of September, Converge has invested P9.9 billion on capital expenditures, although this is far from its revised guidance of P17 billion to P20 billion for the year.

Converge plans to allocate the bulk of its capex in extending fiber capabilities in emerging cities in Visayas and Mindanao.