Leading fiber broadband and technology provider Converge ICT Solutions Inc. is optimistic about sustaining its strong growth momentum, setting a revenue target of 14-16% for 2025. This projection is supported by the continued success of its fiber prepaid services, the resurgence of its Enterprise business, and the upcoming benefits from significant investments in data centers and subsea cable systems.
In 2024, Converge reported nearly 19% year-on-year growth in net income, reaching P10.8 billion, while consolidated revenues rose by almost 15%, totaling P40.6 billion. As a result, the Board of Directors approved a regular cash dividend payment of P0.43 per share, payable on April 16, 2025, with a record date of April 2, 2025. This dividend represents approximately 30% of the higher end of the company’s policy range.
“With our strong performance in 2024, we aim for another solid year in 2025. We are targeting a 14-16% consolidated revenue growth with an EBITDA margin of 61-62%,” said Converge Chief Finance Officer, Robert A. Yu, during the company’s fourth-quarter and full-year 2024 briefing.
To support its growth plans, Converge has allocated a CAPEX budget of P20-25 billion for 2025. This will fund payments for two subsea cable systems—Bifrost and SEA-H2X—as well as investments in two new data centers, along with port expansion and redundancy initiatives.
Converge’s affordable prepaid offerings, such as Surf2Sawa and BIDA Fiber, saw impressive growth in 2024, with subscriber bases expanding by around 150%. With this momentum, Converge is confident in achieving its mid-term goal of acquiring 4 million subscribers by 2027.
The company’s Enterprise business is also poised for strong performance in 2025, especially with the launch of Converge Content+, an internet-based TV solution tailored for the hospitality sector. Additional technology collaborations are expected to further expand the Enterprise portfolio.
Converge’s data center business is set to grow significantly, with the company expanding its network of digital hubs to meet the increasing demand for content and cloud services. Converge’s multi-edge strategy involves deploying smaller data centers closer to end-users to enhance data delivery.
Key infrastructure projects include the Caloocan Data Center, which will house 300 racks to serve operational needs, and a 1,200-rack facility in Pampanga, designed to accommodate future residential and enterprise customer requirements.
In addition to these developments, Converge is set to launch two subsea cable systems—the Bifrost Cable System and the Southeast Asia Hong Kong-Hainan Express Cable System. These projects will not only provide redundancy but also enhance Converge’s ability to meet the needs of both residential and enterprise customers, fostering innovation across multiple sectors.
The integration of these new data centers and subsea cables is expected to accelerate the growth of Converge’s Enterprise business, positioning the company for continued success in 2025 and beyond.
