Melissa Vergel De Dios: The first question is on the EBITDA guidance from mid to low.
Danny Yu: We are expecting better revenues in the second semester combined with a reduction of operating expenses. So, that will drive the EBITDA in the – for the full year of 2023.
Melissa Vergel De Dios: So, Francis on the mobile, the second question, is the second half outlook looking better than what it was in the first.
Francis Bautista: Okay. For the second half, there are a few factors that we are looking at that’s why we are more optimistic. The first one, during the first half, because of SIM registration, we have seen our churn rates reduced by around – as much as 35%. So, we expect that to continue in the second half – second semester. We have also seen our ARPU grow by at least 7.5%, also because we are getting more quality subscribers because of SIM registration. And we did a lot of revenue optimization initiatives to maximize the revenue of our subscribers. So, we expect that to continue in the second semester. Third point, we are going to further invest on improving our network experience that’s going to happen, assuming in the second semester.
So, we expect some revenue definitely to come from that one. And lastly, I think there is an opportunity now to further drive activation because not only did we lose or we have unregistered subs, more so from our competition. So, there is a big sea of unregistered subs in the next few months. And finally, if I may add from a macro perspective, the inflation is also the outlook – the forecast of the inflation is much better as compared to the same period last year and even better than the first semester. So, those were the key pieces why we are more confident with the second half.
Hussaini Saifee: Thanks Francis, maybe if I can – just have one follow-up over here. So, based on all the points you enumerated, is the growth in the second half will be driven by market share, or you are of the view that the overall industry will grow at a healthy pace?
Francis Bautista: I think a lot of it will be driven by maximizing the revenue per subscriber from our end. Because of SIM registration, I think driving – stealing some share will be more challenging from both parties, from both players. So, I think the key to driving the further growth – let’s say we are not going to steal share because I guess – I think that’s where the network experience would come in. At the end of the day, consumers choose the better Telco with the better network experience. But I think a huge part of the growth now unlike before where we rely a lot on driving activation would be driving the attention and driving the ARPU of our current subscribers.
Melissa Vergel De Dios: Hussaini, are you okay with that? We will go to the data center question.
Hussaini Saifee: Yes, sure.
Shailesh Baidwan: Hi Hussaini, thank you for the question. So, with regards to data center 11, which is the first true hyperscaler data center in the country, we are on schedule, we are on track. We expect customers to be able to move in by the first quarter with full facility readiness by the second quarter of 2024. There has been a lot of interest. We have actually entertained some customers to come in and do a due diligence already on the site, and we are entertaining these as we speak. With regards to data center 12, we want to build ahead of demand, and we are in the process now of going through a very rigid site selection process to ensure that the 12th data center that we are planning to build fits all of the requirements for both hyperscalers and enterprise customers that we intend to target. Thank you.
