Philippine mobile carrier Globe Telecom expects low single-digit growth in revenues this year as rising annual inflation squeezes demand.

A Reuters report also said Globe, owned by SingTel and local conglomerate Ayala, saw its revenues grow 11% last year, helping to boost net profit by 13% to 13.28 billion pesos ($303 million).

The company, which has 38% of the mobile phone market compared with larger rival PLDT's 55%, said it does not expect to match last year's revenue performance despite new promotions and products aimed to boost growth.

"Improvements in top-line growth expected in second half. However, full year growth outlook at low single-digit rate," Globe said in an advanced copy of a presentation to analysts.

PLDT said earlier it was more cautious about meeting its guidance for a 5% rise in full-year core earnings due to soaring annual inflation, which hit a near 17-year high of 12.2% in July due to jumping food and fuel costs.

Globe said it will continue to focus on boosting broadband.

The company said it will offer Apple's latest iPhone that runs on 3G mobile technology in the Philippines on August 22.

The company said it was sticking to its $450 million capital spending plan for this year.

According to Reuters estimates, Globe's full-year profit is expected to rise 3% to 14 billion pesos ($319.4 million) this year.

Source:telecomasia.net