Telkom's Revenue data, the Internet and IT Services Rises Sharply

Telkom's headquarter in Jakarta (Photo courtesy of Telkom)

By : JG | on 2:11 PM October 27, 2016
Category : Corporate News, Corporate Updates

PT Telkom Indonesia (Telkom) throughout the nine months of 2016 recorded a revenue growth of 13.8% in the same period in 2015 to Rp 86.19 trillion. This acquisition is strongly supported by the business data, Internet and IT to the sharp rise of 37% YoY. Business Data, the Internet and IT are contributing 37.7% to the total income of the Company.

Telkom's President Director Alex J. Sinaga when describing Telkom's Financial Reports in the Third Quarter 2016 in Jakarta, Wednesday (26/10) said, "The significant growth in business data, Internet and IT Services in line with the direction of the company being transformed into a digital telecommunication company. This achievement is the result of efforts to become an enabler formation Telkom digital society".

Until the third quarter / 2016, Telkom posted a net profit of Rp 14.73 trillion, up 27.6% and EBITDA of Rp 44.38 trillion, up 20% from the same period last year. The Company's performance is able to record a triple-double-digit growth is also supported by the performance of one of its subsidiary, Telkomsel, which also posted an excellent performance. Telkomsel booked revenue of Rp 63.65 trillion with digital business revenue grew 40.8% to Rp 22.17 trillion and scored a net profit of Rp 21.03 trillion.

Continuously in September 2016, Telkom Group has spent capital expenditure (capex) of Rp 19.9 trillion. Capex mainly be used to support the broadband business, either fixed or mobile, such as infrastructure development fiber optic backbone, the construction of Base Transceiver Station (BTS) Telkomsel, deploying infrastructure submarine cables transcontinental Dumai to Europe (SEA-ME-WE5) and Manado to the United States (SEA-US), telecommunications, and data center.

Meanwhile, SingTel also has built as many as 20 808 new base stations, of which approximately 90% is BTS 3G / 4G. Construction of BTS-enabled 3G / 4G is in line with the focus on developing digital business. Thus, up to September 2016 total operated BTS Telkomsel reached 124 097 units, growing 23.6% over one year and as much as 59.4% of them are BTS 3G / 4G.

Recorded until September 2016, Telkomsel serves as many as 163.7 million customers throughout Indonesia, an increase of 10.2% YoY. Also recorded 46.7% or 76.4 million subscribers were using the 3G / 4G meaning surged by 37.3% YoY.

Meanwhile Telkom Finance Director Harry M Zen revealed that mobile broadband subscribers (Flash) increased, where customers Telkomsel Flash grew 33.1% to 50,48juta. "The improved financial performance of Telkomsel is in line with the increase in the number of mobile customers followed by increased Average Revenue Per User (ARPU) due to soaring use of mobile broadband," said Harry.

Fixed broadband business customers grew 15.4% to 4.3 million subscribers where as many as 1.52 million of whom are subscribers Triple Play IndiHome. For the period from the third quarter 2016 ARPU IndiHome reached Rp 313 thousand, an increase compared to the period of the second quarter of 2016 amounted to Rp 300 thousand, while for the month of September 2016 IndiHome ARPU reached USD 326 thousand. In order to increase the penetration IndiHome, the Company heavily improved the quality of human resources, either through enhanced capabilities and additional technicians, as well as increase sales and after-sales service.

Until September 2016, Telkom has increased the burden on companies by 8% from Rp 51.77 trillion last year to Rp 55.92 trillion. Operating expenses and maintenance of the main contributors increase in expense of the Company increased by 10.3% from the same period last year to Rp 23.62 trillion. Increased operating expenses and maintenance in line with the accelerated development of network infrastructure to support the growth of digital businesses, both in mobile and fixed-line include expansion IndiHome.

Telkom is currently finalizing the development of infrastructure Indonesia Digital Network (IDN) and modernize the entire Automatic Telephone Central (STO) to support the acceleration of digital businesses, in particular, IndiHome. For the acquisition of this, Telkom's management would like to thank all the parties, especially customers who have given the confidence to use the products and services of Telkom Group and do not forget also to all Telkom Group has realized a remarkable performance through the spirit of solid, speed, and smart.

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