30 May 2024
TM Announces a Positive Start in 1Q 2024, Sustaining its Continuous Growth Trajectory
Q 2024 Key Highlights (vs 1Q 2023)
- Operating revenue grew 1.8% to RM2.84 billion
- EBIT increased 37.5% from RM473.3 million to RM650.9 million
- PATAMI increased 28.7% from RM330.1 million to RM424.8 million
KUALA LUMPUR, 30 May 2024 – Telekom Malaysia Berhad (“TM” or “the Group”), today announced a positive start to the fiscal year, with a strong financial performance for the first quarter ended 31 March 2024 (1Q 2024).
The Group saw its revenue increase by 1.8% to RM2.84 billion, driven by solid performance from TM Global and growth in Unifi’s subscriber base. Correspondingly, Earnings Before Interest and Tax (EBIT) grew 37.5% to RM650.9 million in the quarter under review on the back of lower total Operational Cost.
TM’s Profit after Tax and Non-Controlling Interests (PATAMI) increased by 28.7% to RM424.8 million, demonstrating its sustained profitability.
Meanwhile, the Group’s Capital Expenditure (CAPEX) stood at RM204.0 million, or 7.2% of its revenue. These investments were aimed at expanding the Group’s network infrastructure nationwide and regional submarine cable systems.
Amar Huzaimi Md Deris, TM’s Group Chief Executive Officer said, “Entering 2024, the operating environment remains challenging due to increased competition and evolving market dynamics. Nevertheless, the Group has shown a positive growth trajectory in the first quarter of 2024. This is evidenced by increased revenue, improved profitability, and steady growth in our fixed broadband subscribers, reaffirming our strong position in the market.
“To sustain our positive momentum, we will continue enhancing our retail convergence offerings and value-added solutions in delivering improved customer experience. At the same time, we maintain a strong focus on modernising our data and network infrastructure, as well as enhancing our business-related offerings to meet current and future digital needs.
“Moving forward, as part of our transformative journey towards becoming a Digital Powerhouse by 2030, our priorities over the next few years include growing our core businesses, enhancing beyond connectivity by embedding Artificial Intelligence (AI) and capturing new business growth to meet future demands. In addition, we will continue to optimise costs and enhance profitability to ensure better returns for our shareholders,” Amar concluded.
The Group maintains a positive outlook for the current year, staying aligned with the previously provided 2024 guidance.
Lines of Businesses (LOBs) Performance
Unifi maintains leadership in converged services
Unifi maintained consistent year-on-year (YoY) growth with a 1.8% increase in fixed broadband subscribers, reaching a total of 3.135 million. This is driven by convergence marketing strategies, aggressive sales and customer retention programmes. It recently launched UniVerse, the best convergence plan to date for broadband, mobile, entertainment, and digital lifestyle solutions, designed to enhance connectivity, content and Home Hub needs of today’s customers. For more information about Unifi UniVerse, visit www.unifi.com.my.
During the quarter, Unifi Business, the leading digital solutions partner of over 400,000 Micro, Small and Medium Enterprises (MSMEs) nationwide, partnered with Maybank Islamic Berhad to launch ‘Go Niaga’, a mobile banking bundle to help businesses manage finances and improve income with digital payment options. It also launched e-Pharmacy Solution, a mobile app enabling e-prescriptions via teleconsultation to provide digital inclusion and accessible healthcare for prescribed medications and wellness especially to the underserved communities.
Looking ahead, Unifi will continue to solidify its role as a leader in convergence to deliver unmatched converged digital services.
TM One drives innovative solutions for enterprise and Government
TM One, the enterprise and government sector business solutions arm of TM continues to adapt to market dynamics while seeking new opportunities for growth. During the quarter under review, it recorded a revenue of RM673.0 million.
In February, TM One launched the Innovation Lab and Enterprise 5G Lab to accelerate the realisation of emerging digital services and solutions. These labs bring together the latest technologies, digital leaders, inspiring ideas and collaborative spaces to create tailored solutions for its customers and partners. These facilities were set to further develop key areas like Enterprise 5G and innovative AI-powered industry solutions to help organisations thrive in the digital era.
Moving forward, TM One will continue to strengthen its core connectivity offerings while driving innovation in digital services, expanding partnerships, and developing solutions that empower its customers.
TM Global positions Malaysia as a digital hub for the region
TM Global saw a 12.1% YoY increase in revenue to RM742.8 million in 1Q 2024, fuelled by demand for domestic and international data. It has remained as Malaysia’s preferred network infrastructure provider, catalysing the digital industry, fostering 5G ecosystem and expanding High-speed broadband (HSBB) Access in the country. Globally, it provisioned significant managed wavelength capacity for hyperscalers, connecting key regional data centres. It also recorded substantial growth in Content Delivery Network (CDN) traffic to cater to the demand from digital players, enabling Malaysia as a digital hub for the region.
TM Global recently received recognition in two categories: Telecom Company of the Year – Malaysia, and the Wholesale Company Initiative of the Year – Malaysia, at the Asian Telecom Awards held in Singapore. This is the second consecutive year TM Global has received these accolades, maintaining its leadership as a shaper of the telecommunications landscape in Malaysia and across ASEAN.
TM Global will continue to broaden its digital infrastructure solutions while forging strategic alliances with global carriers to facilitate seamless digital connectivity and services across borders.
YOU MAY ALSO LIKE
TM R&D’s Customer-focused innovations recognised at the Malaysia Technology Excellence Awards
In-house smart solutions for Fixed Wireless Access connectivity and customer experience platform for frontliners awarded under “Connectivity-Telecommunications” and “AI-IT Services” categories respectively Telekom Research & Development Sdn Bhd (TM R&D), the innovation arm of Telekom Malaysia Berhad (TM), recently bagged two awards at the Malaysia Technology Excellence Awards 2022, organised by the Singapore Business Review. The Malaysia Technology Excellence Awards spotlights exceptional companies who are technology disruptors that boosts Malaysia’s economy. TM’s Fast Internet for All (FIRA) solution was bestowed the award under the “Connectivity-Telecommunications” category, while TM’s Single Platform on Intelligent Customer Experience (SPICE.ai) won the award in the “Artificial Intelligence (AI)-IT Services” category. Commenting on these awards, Dr. Sharlene Thiagarajah, Chief Executive Officer, TM R&D said, “I couldn’t be prouder of my team as these awards reflect their commitment to meet the fast-evolving digital needs of today’s customers and strengthen our position as a research leader in these fields. This recognition also reaffirms our efforts in building smarter digital ecosystems to facilitate the ease with which Malaysians can embrace a more digital lifestyle, while also bringing progress to the nation.” FIRA was introduced as a way to support the government in providing Malaysians with quality access to digital connectivity nationwide. Aimed at offering better internet service to underserved communities, FIRA uses Fixed Wireless Access (FWA) technologies to improve connectivity in rural areas across Malaysia. Since its first deployment in Malacca back in July 2020, the solution has demonstrated promising success in improving download and upload link speeds compared to other broadband services. The solution has since been implemented at a rural school in Selangor and at Pusat Komuniti Desa sites under the Ministry of Rural Development. It has also supported an IR4.0 use case in Terengganu. “FIRA is formulated to address two common issues: coverage and speed. The solution is capable to deliver connectivity up to 50Mbps within 5-8km range, compared to a traditional 4G cell within 1km range. Furthermore, with its quick deployment procedures, FIRA can help mitigate customers’ connectivity concerns in a cost-effective and timely manner,” shared Dr. Sharlene. SPICE.ai, on the other hand, aims to assist frontliners in their daily task of addressing customer service enquiries and requests. Dr Sharlene explained, “SPICE.ai consists of multiple components that cover different parts of an existing customer experience system. By integrating these components, frontliners gain a more holistic view of each customers’ profiles. The solution then implements real-time analytics to improve customer experience, giving frontliners the right information at the right time which allows them to deliver a better experience to customers.” This analytics system has been deployed nationwide for nearly two years and becomes the primary touchpoint for more than 5,000 TM frontliners in most customer interactions across multiple channels. The performance of SPICE.ai has proven to be reliable and seamless even when integrated with more than 20 existing, standalone systems and was still able to relay the processed information through one single platform, on top of providing analytics and advisory. Established in 2001, TM R&D is the innovation arm of TM Group focusing on creating smarter ecosystems to make business and life easier for a better Malaysia. TM R&D’s solutions are clustered around four pillars namely Intelligent Platforms, Data Brokerage, Connectivity/Tools and IR4.0/Digital Solutions. Growing from strength to strength, TM R&D has won multiple global awards and generated more than 2,800 Intellectual Property Rights (IPRs) and 1,400 digital assets to date. TM R&D’s innovations are developed in-house and cut across multiple industries such as Utilities, Retail, Agriculture, Healthcare and Education, with safety and productivity as its top priority.
Yayasan TM issues two requests for proposal (RFP) for Muzium Telekom Kuala Lumpur Transformation Plan 2022 - 2024; seeks interested parties to apply
Request For Proposal (RFP) On Food And Beverage (F&B) Operator At Muzium Telekom, Kuala Lumpur Yayasan TM (YTM), the foundation arm of Telekom Malaysia Berhad (TM), today has issued a Request for Proposals (RFP) seeking multiple partner organisations to be part of Muzium Telekom Kuala Lumpur Transformation Plan 2022 - 2024. YTM launched The Muzium Telekom Transformation Plan with the objective to placemake the 94-year-old heritage building as an engaging public space, for education, entertainment and monetisation opportunities. "We are calling on many experts and practitioners to join forces with us in the spirit of collaboration and creativity, to curate programmes, services, activities or events that can help us to reimagine and transform Muzium Telekom as a placemaking public venue that is vibrant, educational and inclusive to everyone," said Izlyn Ramli, Director of Yayasan TM. "As the economy has opened up, public spaces and museums are seeing an increasing number of visitors looking for iconic venues and engaging activities. Muzium Telekom's differentiation is through the marriage of technology and arts, where digitalisation plays a significant role, in line with our TM Group vision as a human-centred tech company and the enabler of Digital Malaysia. YTM will continue its ongoing mission to preserve and celebrate the nation's arts, culture & heritage, as well as supporting community sustainable livelihoods by placemaking Muzium Telekom into an engaging public digital arts space with future-forward immersive museums' exhibits and various community and micro-SME (such as retail and F&B) programmes," she added. Since 1994, Muzium Telekom also known as Muzium Telekomunikasi Negara, has been showcasing the history and evolution of telecommunications in Malaysia. Befitting the times, YTM aims to reinvigorate this beautiful historic building as an engaging hub that connect the dots across the many facets within the TM Group and beyond, to include the industry and overall ecosystem. Within TM Group, it aims to showcase talents from Multimedia University (MMU) students, alumni and faculty in digital, creative and cinematic arts as well as TM's heritage and innovation in telecommunications. Concurrently, this is extended to the rich ecosystem of collaboration partners in the same fields. In 2018, YTM launched the Telegraph Museum, Taiping graced by HRH the Sultan Perak, Sultan Nazrin Muizzuddin Shah. This unique and niche museum features the history of the country's telegraph communications system including its maiden breakthrough in Taiping, Perak and how technology has contributed to the development of the nation. Both Muzium Telekom Kuala Lumpur and Telegraph Museum Taiping aim to be key resources for students, researchers and the communities to deepen their understanding on the complex telecommunications industry and how it has contributed to both nationbuilding and the world telecommunication history. YTM is calling for interested parties to participate in two (2) RFPs issued earlier. Details are as follows: 1) Request For Proposal (RFP) On Food And Beverage (F&B) Operator At Muzium Telekom, Kuala Lumpur YTM is seeking F&B companies who are capable to manage end-to-end F&B outlets' operations at Muzium Telekom KL. The scope will be covering F&B outlets' concept (inclusive design & build), compliance to heritage building guidelines, F&B business model and operations. There are TWO (2) F&B outlets available at Muzium Telekom whereby the interested party can choose to operate F&B outlet 1 that is located at the corner lot in the front of main road or/and F&B outlet 2 which located in the courtyard of museum. These share a common kitchen located next to outlet 2. 2) Request Of Proposal (RFP) For The Appointment Of Museum Operator (Service Provider) For Muzium Telekom Kuala Lumpur And Telegraph Museum Taiping YTM is seeking proposals from firms / consortiums or interested qualified parties with experience in the museums / galleries / arts and culture / tourism or related experience industries to be The Museum Operator (Service Provider) for Muzium Telekom Kuala Lumpur and Telegraph Museum Taiping; and implement The Muzium Telekom Transformation Plan 2022-2024 By the year 2024, YTM hopes to complete the new museum experience built on the theme of "Art & Technology: Future Forward", providing access to a variety of experiences that educate, inspire and engage the public with telecommunication technologies and innovations. The new Muzium Telekom will unveil more than 27,000 sq ft of completely reimagined spaces, including its National Telecommunication Gallery, Digital Art Gallery, Museum Black Box Theater, Museum Cafe & Restaurant, Kids Discovery, Thematic Exhibition Rooms and many more. The RFPs can be downloaded at https://bit.ly/museumoperator or https://bit.ly/RFPmuseumcafe. The deadline for submitting proposals for Food And Beverage (F&B) Operator is 16 September 2022 and Museum Operator (Service Provider) For Muzium Telekom Kuala Lumpur And Telegraph Museum Taiping is 20 September 2022. YTM looks forward to all proposals and wishes participants all the very best in making these aspirations a reality for the community and the city.
TM STATEMENT ON BUDGET 2025
TM welcomes the Government’s Budget 2025 announcement, themed “Ekonomi MADANI: Negara Makmur, Rakyat Sejahtera”, and applauds its continued focus on economic reform and uplifting the well-being of the rakyat. In line with these goals, TM is committed to playing a key role in the nation’s digitalisation journey, ensuring that technological advancements contribute to sustainable and inclusive growth that benefits businesses, MSMEs, communities, and the public sector. In line with Budget 2025’s priorities, TM continues to support digital inclusivity by collaborating with the relevant Ministries and Government agencies to enhance high-speed internet access for underserved areas and improve the quality of digital services in various industries such as education and healthcare. TM also remains dedicated to nurturing the nation’s digital talent by integrating crucial skills such as AI, IoT, cybersecurity, and cloud computing into education and training programmes through our Multimedia University (MMU) and collaborations with TVET institutions. As a trusted partner of over 400,000 MSMEs, TM supports the Government’s ongoing initiatives to strengthen this key segment through various financial initiatives. We will continue providing customised digital solutions and empower MSMEs to thrive in the digital economy. As we progress towards becoming a Digital Powerhouse by 2030, TM is well-positioned to drive Malaysia’s digital transformation. Our key investments in digital infrastructures, talent development, and sustainability will fuel the nation’s long-term growth, reinforcing Malaysia’s position as a digital hub for the ASEAN region.
NEWSLETTER
Just drop your details and stay updated with the world of Telekom Malaysia. We promise – no spam!