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Converge posts 15% growth in enterprise revenues as digital transformation accelerates

The company’s Enterprise segment grew 15.1% year-on-year (YoY) to over PhP3.9-billion in revenues for the first half of the year. The growth was driven by new customer acquisitions and rising demand for high-capacity, reliable connectivity across both small and medium enterprises (SMEs) and large corporate accounts.

Fixed fiber broadband service provider Converge ICT Solutions, Inc. reported strong momentum in its Enterprise business in the first half of 2026, as more Philippine companies and government agencies ramped up digital transformation efforts.

The company’s Enterprise segment grew 15.1% year-on-year (YoY) to over PhP3.9-billion in revenues for the first half of the year. The growth was driven by new customer acquisitions and rising demand for high-capacity, reliable connectivity across both small and medium enterprises (SMEs) and large corporate accounts.

The enterprise push helped lift Converge’s consolidated revenues to PhP22.4-billion, up 3.1% compared to the same period last year.

“The acceleration we’re seeing across our Enterprise portfolio is a clear validation of our product roadmap. Enterprise customers aren’t just adopting our technology—they’re expanding their footprint with us, making this business unit an important driver for durable, recurring growth moving forward,” said Converge chief finance officer Robert Yu.

Converge saw solid performance in both core enterprise markets. Revenue generated by SMEs grew 15.7% YoY, fueled by an expanding base of commercial clients shifting to high-speed fiber broadband to support operations. The enterprise and large corporate likewise grew its revenue 14.8%, YoY, backed by high-value contracts, adoption of data-heavy services, and expanding national digital infrastructure.

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Converge Global Business, the company’s large enterprise unit, recently sealed partnerships with major universities and Local Government Units (LGUs) to power their digitalization initiatives with robust connectivity solutions.

The Residential segment continued to be the largest contributor to revenue, generating PhP18.5-billion in the first half of 2026. Total subscribers of the segment reached 3.09-million as of end-June 2026.

“The true impact is showing up in the day-to-day experience of our customers—fewer friction points, faster issue resolution, and a level of service that is validated and affirmed not just by Ookla, but increasingly by the government,” noted Converge chief operations officer Benjamin Azada.

Converge’s network also outperformed peers in the first half of the year, earning two major recognitions. Based on the DICT Oplan Bantay Signal 2Q2026 Report, Converge ranked #1 in fixed broadband performance with an average latency of 5ms and download speeds of 149 Mbps, while customer complaints also declined by 84% from January to June 2026. Apart from this, the Ookla Speedtest Awards 1H2026 named Converge as “Best Internet,” “Fastest Internet,” and “Best Fixed Latency” in the Philippines.

Despite rising oil prices and inflationary pressures, Converge delivered stable financial results through disciplined capital allocation and cost management. EBITDA reached PhP13.3-billion, yielding an industry-leading EBITDA margin of 59.1%, aligned with full-year guidance, while net income after tax reached PhP5.5-billion (net income margin of 24.4%). The company maintained its return on invested capital (ROIC) at 14.9%, reflecting strategic capital deployment in network hardening and expansion. Converge’s capital expenditure for the first half of 2026 stood at PhP5.7-billion, supporting continued network expansion.

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