09 Oct 2021
Communications and Multimedia Minister confident with nation’s digital infrastructure after visit to TM Network Operations Centre
Communications and Multimedia Minister, YB Tan Sri TPr Annuar Haji Musa expressed his confidence with the nation’s digital infrastructure to deliver Malaysia’s communications and digital aspirations for now and into the future.
He expressed this after a working visit to the TM Network Operations Centre in Cyberjaya today.
“I’m very happy with the visit today and from what I see, I’m confident that we have the people, capabilities and infrastructure to ensure 100% connection all over the country. We will leave no Malaysian behind,” YB Tan Sri TPr Annuar Haji Musa said after the visit.
TM’s state of the art network operations centre serves as the brains of the nation’s digital and communications infrastructure managing over 600,000 km of communications cables and over 26,700TB data daily.
The centre also monitors the health and operations of the 30 submarine cable systems that carries 1,990TB of internet data into and out of the country.
Commenting on the visit, TM’s Chairman, Dato’ Mohammed Azlan Hashim said, “We are honoured to have YB Tan Sri TPr Annuar and his senior officers from the Ministry and MCMC with us. This visit gives us the opportunity to showcase the various customer segments we serve and the strength of digital technology available and ready to serve our customers.”
“Befitting our unique and important role as the nation’s connectivity and digital infrastructure provider and the enabler of Digital Malaysia, we are ready to serve Keluarga Malaysia with our comprehensive communications and digital solutions. As a Government-Linked Company (GLC), TM remain commited to contribute towards the country's development through telecommunications and digital in support of the country's digital aspirations including JENDELA and MyDIGITAL towards accelerating the country towards a full-fledged Digital Malaysia by 2023,” he added.
The visit today is expected to nurture even closer ties between both parties.
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TM DELIVERS LANDMARK 2022 PERFORMANCE (FY2022) Revenue up 5.1% at RM12.12 billion; EBIT up 22.2% at RM2.09 billion; PATAMI up 27.7% at RM1.14 billion
FY2022 Key Highlights (vs FY2021) · Operating Revenue grew 5.1% from RM11.53 billion to RM12.12 billion, with growth across all customer segments and product lines · EBIT grew 22.2% from RM1.71 billion to RM2.09 billion, driven by strong revenue growth and improved cost efficiency · PATAMI grew 27.7% from RM0.90 billion to RM1.14 billion, contributed by lower financing cost · CAPEX investment at 20.0% of revenue or RM2.43 billion, highest in 5 years primarily on growth in fibre service and network expansion · Final interim dividend at 7.5 sen per share declared amounting to RM286.6 million, with total dividend of 16.5 sen per share amounting to RM627.5 million for 2022 · ESG rating upgraded, FTSE Russell rated 3.6 from 3.1 in 2021; CDP rated ‘B’ from ‘C’ in 2021. Both above industry average · FY2022 overall performance showed strong results with good trajectory and operational excellence across all lines of business The financial year 2022 (FY2022) performance, ended 31 December 2022, represents Telekom Malaysia Berhad’s (TM) progress of its 3-year transformation programme (2021-2023). Moving into the final year of this transformation phase, TM remains committed to its focus in delivering value to its stakeholders. Operating revenue grew by 5.1% to RM12.12 billion, from RM11.53 billion in 2021, fuelled by demand in connectivity, solutions and infrastructure. TM continued to strengthen its core businesses across Unifi, TM One and TM Global amidst intensified competition in the market. Through revenue growth and improved cost efficiency, TM’s Earnings Before Interest and Tax (EBIT) grew by 22.2% to RM2.09 billion, from RM1.71 billion last year. Profit After Tax and Minority Interest (PATAMI) rose to RM1.14 billion from RM0.90 billion, up 27.7% through higher operating profit and lower financing cost. Capital Expenditure (CAPEX) stood at 20.0% of overall revenue, amounting to RM2.43 billion invested to deliver growth in fibre services, network modernisation and upgrades. Unifi’s continuous growth momentum Unifi continues its leadership in converged solutions of fixed broadband, mobile services, digital content and solutions for both consumers and MSMEs, recording a revenue growth of 7.5% from RM5.22 billion to RM5.61 billion contributed by increased number of home and MSME customers. Unifi fixed broadband customers grew by 9.3% and exceeded the 3 million mark in 2022. To celebrate this milestone, customers were rewarded with free viewing of all 72 Unifi TV channels for one month, as well as pay-per-view movie discounts in appreciation for their trust and loyalty. Unifi launched its 5G services in November 2022, offering Uni5G plans to Unifi Mobile postpaid and prepaid customers. 5G will reinforce TM’s converged leadership to provide the widest and fastest all-in-one solution for fixed broadband, mobile service and digital content. Unifi Business’ digital solutions continue to boost and support MSME’s digitalisation needs from cloud storage, eCommerce hub, cybersecurity and digital marketing, serving critical needs from connectivity to digital solutions, accelerating their business growth. TM One drives enterprise-grade innovative solutions TM One reported a 0.5% growth in revenue from RM3.32 billion to RM3.34 billion in 2022, after several years of revenue decline amidst changing market dynamics and competitive landscape. This is attributed to higher recurring revenue and bespoke solutions deployment, as a trusted technology partner for large enterprises and the Government. Utilisation of data centre space and power have also increased in 2022. The twin-core data centre of KVDC and IPDC have obtained Green Electricity Tariff (GET) from TNB as well as Green Building Index (GBI) and Leadership in Energy Environmental Design (LEED) certifications. To strengthen its partner ecosystem, TM One launched ‘5G Sphere’ in October 2022 and today counts on over 70 leading technology and smart solution partners to accelerate the co-creation of 5G use-cases. On the other hand, Credence is advancing enterprise’s ‘cloud-first strategy’ as well as developing technologically-skilled professionals to accelerate cloud adoption in Malaysia. TM Global positions Malaysia forward as a digital hub in the region TM Global (rebranded from TM Wholesale) delivered a strong performance which made a significant contribution to the overall 2022 performance. TM Global’s revenue grew 7.8% from RM2.58 billion to RM2.78 billion, on the back of higher domestic data and international digital demand. Domestically, TM Global is the preferred partner for High-Speed Broadband Access (HSBA) with the highest new installation in 4Q 2022. Advancing the country’s 5G rollout, almost 4,000 fiberisation sites were completed for the year. Internationally, TM Global closed deals from US-based hyperscalers and Asia-Pacific carriers for its wholesale data centre solutions and international data services, elevating Malaysia as a trusted digital hub for the ASEAN region. Commentary and Outlook from Dato’ Imri Mokhtar, TM Group Chief Executive Officer “2022 was a milestone year for TM, tracking well in our transformation with growth across our business segments – Unifi, TM One and TM Global, and cost efficiency improvement. The stronger financial position places TM in a position to deliver better value and benefits for our stakeholders – customers, shareholders, partner ecosystem and community. “TM is committed to continuously invest in shaping a Digital Malaysia through technology that empowers communities, businesses and Government – not just in our core business, but also in new, adjacent growth areas such as cloud, data centre, cybersecurity and platform-services. “Sustainability will also be a domain we strive to make continuous progress. We have seen improvements in TM’s ESG ratings, for example the FTSE Russell ESG score rising from 3.1 to 3.6 in 2022 and also the CDP rating upgrade to ‘B’ from ‘C’ last year, both above the industry average. On governance, TM upholds transparency, disclosure and zero-tolerance to all forms of corruption, receiving the Gold Category in the recent Integrity, Governance and Anti-Corruption Award (AIGA) 2022. “As part of TM’s next transformation to become a human-centred TechCo, we announced a reorganisation in December 2022 to streamline our core businesses and subsidiaries under a new entity named TM Technology Services Sdn Bhd (TM Tech). TM Tech is set to become the main operating entity of the Group with effect from 1 March 2023. This new corporate structure will be the catalyst for the next phase of TM’s transformation to reinforce its fixed-mobile convergence leadership, further improve operational efficiencies and deliver a more seamless customer experience. “On the back of our current business momentum, there are new opportunities in the adjacent growth areas but also industry headwinds in terms of regulatory policy and higher technology costs. We are continuously assessing the impact of industry developments and will work closely with key stakeholders towards providing technology that is accessible to all in this digital era.”
TM & Astro collaborate to deliver high quality digital experience
TM provides Astro with full suite of wholesale infrastructure and connectivity solutions to enable Astro to serve its customers with reliable broadband and content services. Telekom Malaysia Berhad (TM) and Astro Malaysia Holdings Berhad’s wholly-owned subsidiary, MEASAT Broadcast Network Systems Sdn Bhd (Astro) today inked deals to collaborate in delivering a high quality digital experience to all Malaysians. The collaboration also signifies both companies' commitment to support the “Jalinan Digital Negara” (JENDELA) initiative in providing wider broadband coverage and a better experience nationwide. The agreements were signed by Imri Mokhtar, Group Chief Executive Officer of TM and Amar Huzaimi Md Deris, Executive Vice President, TM WHOLESALE while Astro was represented by Henry Tan, Group Chief Executive Officer and Shafiq Abdul Jabbar, Group Chief Financial Officer. Through this strategic collaboration, TM, via TM WHOLESALE, its global and wholesale business arm, will provide Astro with a full suite of infrastructure and connectivity solutions that comprises the whole range of wholesale services inclusive of high speed broadband (HSBB), bandwidth, backhaul and Internet access. This extensive and robust fibre network infrastructure will enable TM together with Astro to provide high-quality and reliable connectivity to their end-users. With TM’s HSBB service, Astro also will be able to provide broadband services to its customers without having the need to build a new infrastructure while extending its coverage to wider areas across the country via a fibre network. As for Internet services, TM’s internet access solution will enable Astro to offer high performance internet connectivity and a comprehensive solution to its customers. To complete the services, TM will also provide Astro with its Content Delivery Network (TM CDN), a newly developed content platform service that delivers seamless, faster and secure digital content. This will enable Astro to strengthen its video streaming efficiency to its current service offerings. Commenting on the collaboration, Imri said: “TM as the leading infrastructure partner for High Speed Broadband wholesale services, leveraged its superior network nationwide to support the industry’s broadband growth. We are also the primary mobile backhaul infrastructure provider for the industry with extensive coverage and capacity. As the digital infrastructure accelerator in Malaysia, we have always been a strong advocate of infrastructure sharing. Thus we are honoured to be given this opportunity to leverage each other’s expertise to provide Malaysians with high quality broadband and content services that we have. This strategic collaboration also demonstrates our commitment to ensure Malaysians are provided with a seamless and “always-on” connectivity experience. We are happy to work with Astro and this is yet another testament to our pivotal role as the enabler of Digital Malaysia aspirations.” Meanwhile, Henry Tan said: “This strategic partnership with TM lays the foundation for Astro to be an internet service provider. Astro’s goal is to provide Malaysians with the best digital experience and broadband value proposition. Leveraging on the strength of TM’s wide HSBB network will enable Astro to realise new revenue streams, scaling our broadband service with content bundles, or standalone broadband and other product lines. This deal gives us more flexibility to offer great value and convenience to our customers.”
TM One-UC Tati collaboration to enhance Terengganu’s tech research and development; enables education equity for students in the state
The Master Services Agreement (MSA) between TM & UC TATI will enable the digital transformation initiatives of this state government university college TM One, the enterprise and public sector business solutions arm of Telekom Malaysia (TM), has signed a Master Services Agreement (MSA) with University College Terengganu Advanced Technical Institute (UC TATI) to provide high speed managed data and Internet services at its Teluk Kalong Kemaman Campus and Kuala Terengganu City Campus respectively, for the benefit and use by the students, lecturers and staff. The partnership, which includes a complete end-to-end package of both Wide Area Network and Local Area Network effectively enables wireless connectivity throughout the campuses, and is part of the Terengganu-based institution's efforts to enhance its digital research and development field, as well as delighting student experiences post pandemic. In particular, TM One’s high-speed Internet services will support the Terengganu Big Data Institute (BDIT) located at UC TATI to conduct research and activities related to public data for the university college and the Terengganu State Government. With this, TM One enables UC TATI to explore new digital technologies such as Cloud-Based Services, Public Data and Disaster Recovery Centres that will enhance student learning as well as potentially serve the local Government and surrounding communities. General Manager of State Sales for TM One, Jamalullail Mohd said, “This agreement symbolises the strong partnership between TM One and UC TATI to provide next gen connectivity services for more contextual teaching and learning experiences to students. The accelerated adoption of digitisation has impacted the lives of Malaysians everywhere, with access to fast and reliable Internet services becoming a necessity in households, workplaces and learning institutions. This collaboration ensures educational equity and equal access to students from all parts of the country and we are pleased to support UC TATI in their transformation.” "This collaboration will also be a catalyst for UC TATI in its digital transformation journey and is among the first steps for us to meet the IR 4.0 revolution. In addition to enhancing our research and development efforts into Big Data and other key technologies, this Internet service will enhance the university's operational efficiency, teaching and learning, and overall student experiences – especially for those who are resident on-campus. Working with TM One enables us to improve our capabilities and the quality of our services in these fields and to bring our institution into the next phase of its growth," explained Professor Dr. Anuar Bin Ahmad, Rector of UC TATI.
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