Globe Telecom, Inc. 1H 2011 Financial and Operating Results

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3 Globe Telecom, Inc. 1H 2011 Financial and Operating Results 9 August H 2011 Performance Raising the bar anew for consolidated revenues, while delivering solid improvements in profitability Quarterly Consolidated Revenues (In Php Mn) New all-time high 16,554 1 st Half Consolidated Revenues (In Php Mn) +7% * Using normalized 4Q 2010 service revenues. Please see 17Q for details. 1 st Half Net Income (In Php Mn) 1 st Half Core Net Income (In Php Mn) +9% +8%

4 Broad-based growth with sustained recovery in mobile business, and continued double-digit rise in broadband revenues Service Revenues by Product YoY change Growth in Service Revenues (Php Mn) + 42% Reported Growth +5% +19% +7% + 5% + 9% + 7% Growth at constant fx 1,500 +6% +20% 1,166 (391) +9% 33,006 Mobile Fixed Line Data Broadband Total Globe 30,731 (10%) Fixed Line Voice 1H 2010 Mobile Broadband FX 1H 2011 & fixed line Impact Compared to normalized 2H 2010 results, 1H 2011 service revenues up 5% while core NIAT higher by 43% Mobile revenues include internet browsing revenues of Php0.9Bn, up 73% YoY Mobile: Positive subscriber and revenue trends across all brands. 2Q postpaid net subscriber additions at all-time high Quarterly Net Additions (in 000 SIMs) 1, ,114 Highest in three years Blended Churn Rates 6.4% 6.4% 5.8% 5.8% 5.7% 2Q10 3Q10 4Q10 1Q11 2Q11 Subscriber Base (in Mn) Globe Postpaid 1H11 YoY change QoQ change % 9% Revenue Growth YoY 12% Globe Prepaid TM % 18% 4% 4% 4% 2% Total % 4%

5 Broadband: Subscribers up 39% while service revenues up 42% Quarterly Net Additions (in 000) Blended Churn Rates % 2Q10 3Q10 4Q10 1Q11 2Q11 Subscribers (in 000) % 1,293 Revenue Growth YoY 2, % 3,649 1, H H 2011 Wired Wireless 1H H 2011 Sustained momentum in core mobile business POSTPAID Globe My SuperCIRCLE Plan The first unlimited, customizable group plan. PREPAID SUPERUNLIALLTXT and ASTIGUNLITXTALL First-inmarket, unlimited all-network text messaging service TM Browsing Surf the internet for only Php5 for 15 minutes MOBILE BROWSING

6 Building scale in broadband, while stepping up efforts to grow and protect Globe s IDD business NOMADIC BROADBAND Tattoo Sustained acquisition offers for regular, prepaid kits. Brand now expanded home products like Tattoo DSL, capitalizing on strong brand equity Globe Super US Direct For only Php699/month, Globe Prepaid & Postpaid customers are provided a virtual US landline number which can receive incoming calls. Callers in the US are charged local call rates. International Voice Services Staying in the forefront of digital innovations and services 4G Tattoo Tonino Lamborghini Fastest broadband stick in the market, with download speeds of up to 10mbps First operator to offer Samsung Galaxy S II Video Message Service Create, share, receive video through your mobile phone 4G DEVICES & SERVICES BUSINESS SOLUTIONS Globe IaaS (Infrastructure as a Service) Offering cloud-based services to enterprises Core IP network now IPV6 ready Next generation IP that will support 128-bit address space, compared with 32 bits for IPV4

7 Financial Performance Consolidated Financial Highlights In Php Mn 1H11 1H10 YoY Change 2Q11 vs 1Q11 vs 2Q10 Service Revenues 33,006 30,731 7% 16,554 1% 7% OPEX & Subsidy 14,963 13,754 9% 7,602 3% 6% EBITDA 18,043 16,977 6% 8,952 (2%) 8% EBITDA Margin 55% 55% 54% 55% 54% EBIT 9,084 8,311 9% 4,340 (9%) 11% Non-Operating Charges (1,191) (1,050) 13% (728) 57% (12%) NIAT 5,499 5,056 9% 2,508 (16%) 19% Core NIAT* 5,574 5,185 8% 2,613 (12%) 9% *Core NIAT excludes forex, mark-to-market gains and losses, and non-recurring items

8 Operating margins remain strong, supported by robust growth in the Broadband & Fixed Line business, and steady earnings from Mobile EBITDA (in Php Bn) 1% % % 1H H 2011 EBITDA Margin Mobile Fixed Line & Broadband Consolidated 65% 62% 55% 55% 15% 25% 1H H 2011 Mobile Fixed Line & Broadband Consolidated Operating Expenses & Subsidy YoY Change (in Php Mn) 13, ,963 OPEX Growth YoY in % 25% +9% 10% 9% 4% 3% 1H 2010 Staff Costs Marketing Network & Subsidy Costs Others 1H 2011 Network Costs Staff Costs Others Marketing & Subsidy Total QoQ Change (in Php Mn) 7,361 (20) ,602 OPEX Growth QoQ in % 6% 3% 3% 3% +3% -1% 1Q 2011 Staff Costs Marketing Network & Subsidy Costs Others 2Q 2011 Network Costs Staff Costs Others Marketing & Subsidy Total

9 2011 Capex Sustained investments in support of key priorities Capex (Php Mn) and as % of Revenues 32% 20,354 40% 24,702 31% 19,467 26% 8, YTD 2011 Capex Capex to Service Revenues YTD June capex of US$198Mn (16% below 1H 2010, in US$ terms) Full-year spend still within original guidance of US$500Mn Strong financial position, and attractive returns to shareholders Debt to EBITDA Return on Equity FY07 FY08 FY09 FY10 1H11 Debt to Equity nd semester dividend of Php31 per share, payable on September 19, 2011 to shareholders on record as of August 22, 2011 Total 2011 dividends at Php8.2 Bn, equivalent to 84% of 2010 net income, which is in line with company s dividend payout policy rate of 75% - 90% of prior year s net income FY07 FY08 FY09 FY10 1H11

10 Q&A