29 Aug 2025

TM Q2 NET PROFIT RISES 1.7%, DECLARES 12.5 SEN INTERIM DIVIDEND

TM Q2 NET PROFIT RISES 1.7%, DECLARES 12.5 SEN INTERIM DIVIDEND Article Header
TM

KUALA LUMPUR, 29 August 2025 – Telekom Malaysia Berhad (“TM” or “The Group”) today announced its financial results for the second quarter ended 30 June 2025 (2Q 2025), reflecting resilience in a competitive market and continued progress on its strategic priorities.

During the quarter, Profit After Tax and Non-Controlling Interests (PATAMI) rose 1.7% compared to corresponding quarter last year to RM403.0 million, while Earnings before Interest and Tax (EBIT) grew 4.5% to RM640.0 million.

For the first half of 2025 (1H 2025), revenue stood at RM5.62 billion versus RM5.74 billion a year earlier, as a result of intensely competitive market. Meanwhile, the Group registered EBIT of RM1.19 billion, down 5.8% compared to corresponding period last year, mainly due to forex losses. Adjusting for these, underlying EBIT recorded growth, underscoring TM’s strong fundamentals, core operations and cost discipline in delivering profit despite revenue pressures.

The Group continues to demonstrate its focus towards value creation and disciplined capital management, as reflected in the improvement of Return on Invested Capital (ROIC) to 12.81% from 12.34% a year ago. TM maintains a positive outlook for the year and is confident in meeting its 2025 guidance.

The Board has declared an interim dividend of 12.5 sen per share, amounting to RM479.7 million for the financial year 2025, reaffirming its commitment to delivering sustainable returns to shareholders.

1H 2025 Segment Highlights

  • Business to Consumer (B2C): Unifi registered steady revenue performance and an increase in fixed broadband subscribers driven by Unifi UniVerse convergence offerings, fuelled by content and mobile take up. Its diverse range of device bundles continued to attract strong demands from various segments. Meanwhile, as the preferred partner to more than 400,000 MSMEs nationwide, Unifi Business segment remained a key driver, with tailored digital solutions that promote digital inclusivity.
  • Business to Business (B2B): TM One revenue was softer as several major projects and sizeable deals are expected to be completed in the second half of the year. Nevertheless, beyond connectivity services such as cloud and ICT recorded steady growth.
  • Carrier to Carrier (C2C): TM Global remains well-positioned, with a strong pipeline of large-scale border-to-border bandwidth requirements expected to be delivered by year-end. On the domestic front, the segment is on track with its data centre expansions and the delivery of 5G mobile backhaul in support of the national 5G agenda.

Investing for Future Growth

TM continues to strengthen its long-term position through strategic investments in digital technologies, encompassing AI infrastructure and applications, data centres, edge facilities, expanded fibre coverage, 5G mobile backhaul and submarine cable systems.

“Digital infrastructure and AI are no longer just a vision for TM. It’s becoming a reality, from the establishment of data centres, sovereign cloud and GPU-as-a-Service to various enterprise applications that continuously help businesses to unlock digital capabilities and growth,” said Amar Huzaimi Md Deris, Group Chief Executive Officer, TM.

“Equally important is ensuring digital inclusivity for all communities and businesses, while nurturing the right talent to power Malaysia’s digital future. Through our inaugural Jangkau Digital programme, we are reimagining Kampung Mukut in Pulau Tioman as the nation’s first Smart Eco-Village. At the same time, the launch of Malaysia’s first Faculty of Artificial Intelligence and Engineering at our education arm, Multimedia University, is a clear testament to this commitment. Together, these initiatives reflect TM’s greater purpose of empowering lives and ensuring no one is left behind in the digital era.”

Outlook

“While the market environment remains challenging, our results demonstrated resilience and ability to execute our strategic priorities. We are building positive momentum through stronger convergence growth, improved cost structures and disciplined capital management. With our investments in future-ready infrastructure, we are advancing towards our aspiration to become a Digital Powerhouse by 2030, while delivering sustainable value for our stakeholders,” Amar concluded.

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TNB–TM EXPAND GREEN ENERGY AND DIGITAL INFRASTRUCTURE FOR CUSTOMER BENEFIT

Tenaga Nasional Berhad (TNB) and Telekom Malaysia (TM) announced a strategic collaboration to strengthen cooperation in green energy solutions while developing smarter, more sustainable, and interconnected energy and telecommunications infrastructure across the country.The exchange of the Memorandum of Understanding (MoU) documents took place on 9 March, aiming to combine the green energy and digital expertise of both companies, in line with the aspirations of the National Energy Transition Roadmap (NETR) and the nation’s digital transformation agenda. The collaboration focuses on sustainable energy solutions, digital technologies, and artificial intelligence (AI) for the direct benefit of customers.TNB–TM Collaboration Expands Solar, EV and Integrated Digital SolutionsTNB President/Chief Executive Officer, Datuk Ir. Ts. Shamsul Ahmad said, “As an initial implementation of this collaboration, we are assessing the potential installation of solar systems at up to 150 TM premises, while targeting the expansion of solar installations to more residential Unifi Home customers annually. Through GSPARX, solar system packages will continue to be enhanced to provide greater value to consumers. In addition, the expansion of electric vehicle (EV) charging station networks is also being planned under this collaboration.“With the expansion of EV charging infrastructure, users will have greater access to convenient charging locations, enhancing both convenience and the overall user experience. TNB also remains committed to supporting NETR to increase the adoption of renewable energy and strengthen the nation’s transition towards net-zero emissions by 2050,” he said.TM Group Chief Executive Officer, Amar Huzaimi Md Deris said, “TM and TNB represent two pillars of Malaysia’s critical infrastructure, and this collaboration reflects our shared commitment to strengthening the nation’s energy and digital ecosystems in a sustainable and future-ready manner. By combining TNB’s leadership in renewable energy with TM’s strengths in nationwide digital infrastructure, connectivity and AI capabilities, I am confident that this partnership will create value for both organisations.” “Aligned with the Digital Powerhouse 2030 aspirations, this collaboration reflects TM’s efforts in empowering digital transformation across key national sectors,” added Amar.The collaboration between TNB and TM focuses on three key areas:Sustainable Energy Solutions:Through its solutions, GSPARX and TNB Electron, TNB will implement green energy initiatives with TM, including solar installations on buildings, bundled solar solutions, and the expansion of EV charging networks. By leveraging digital technologies, these initiatives aim to enable more efficient energy management while encouraging greater adoption of green energy.Advancing Digital Technology:TM and TNB will explore collaboration in digital technology and innovation as part of their joint efforts to strengthen organisational digital capabilities. These initiatives aim to enhance operational efficiency, improve customer experience, and support the development of a more sustainable and resilient digital ecosystem.Strategic ICT Sourcing:Both companies will evaluate more structured approaches to sourcing existing ICT services while ensuring better price alignment to enhance overall competitiveness. This initiative aims to strengthen the supply chain, optimise costs, and enhance long-term digital readiness. Benefits to CustomersUnder this collaboration, customers will benefit from reduced operational costs, access to EV charging facilities at selected locations, and the use of smart digital systems and AI-driven analytics to monitor energy consumption. These capabilities will enable earlier detection of disruptions and faster power restoration, ultimately enhancing the overall customer experience.The relationship between TNB and TM has long been established, including communications network support to major substations, SMS services, and cloud contact centre services, as well as collaboration in green energy programmes.As of 31 December 2025, GSPARX, which was officially established in January 2018, has successfully secured more than 530 megawatts (MW) of rooftop solar projects, supporting renewable energy adoption across more than 3,000 residential and commercial premises. In addition, TNB has deployed approximately 256 EV charging stations nationwide under the TNB Electron brand, providing grid facilities and electrical support for charging operations. These efforts further reinforce TNB’s commitment to delivering integrated and sustainable energy solutions to customers.

UMW and TM One collaboration for hybrid cloud solutions to spearhead UMW’s digitisation journey

​UMW IT Services Sdn. Bhd, a wholly owned subsidiary of the UMW Group, today signed an agreement with TM One, the enterprise and public sector arm of Telekom Malaysia Berhad (“TM”), to establish a collaboration on hybrid cloud. The agreement signifies the next stage in UMW’s digital and transformation roadmap to consolidate and improve its current data centre architecture.  It will also complement the modernisation process of the Group’s various applications and supports its relentless efforts to optimise technology and operations across its Strategic Business Units. The signatories of the agreement were Shahril Ariffin, Group Chief Transformation & Technology Officer, UMW Corporation Sdn. Bhd. and Shazurawati Abd Karim, Executive Vice President, TM One.  Witnessing the signing ceremony held at the TM Convention Centre were Dato’ Ahmad Fuaad Kenali, President & Group Chief Executive Officer, UMW Holdings Berhad and Imri Mokhtar, Group Chief Executive Officer, TM. Dato’ Ahmad Fuaad Kenali remarked, “As the UMW Group progresses its transformation journey, it is pivotal that its information technology infrastructure and services are also upgraded to support the diverse needs of our businesses.  We are confident that this collaboration with TM One will lead to the optimisation of our data centre and our efficiency in managing data, improve scalability as well as offer better cost management.  In addition, hybrid cloud offers the UMW Group better flexibility, reliability, agility and improved data security to support the growth of our businesses.”  Imri Mokhtar said, “We are pleased to work with UMW once again in enabling the next stage of their digital transformation through TM’s hybrid cloud solutions.  As business partners for over 30 years, today’s ceremony strengthens the importance of enterprise digitisation for Malaysian businesses which will lead to the industry and nation’s growth. With the collaboration, we hope to support and contribute to UMW’s digital and automation journey through our innovative solutions, such as TM One’s Smart Manufacturing and big data solutions, as well as offering fiberisation and 5G connectivity at UMW’s High Value Manufacturing Park – future-proofing this leading organisation in the digital economy and taking UMW’s digital transformation to new heights.”

PETRONAS AND TM DRIVE SUCCESSFUL PRIVATE 5G NETWORK DEPLOYMENT AT PETRONAS LNG COMPLEX BINTULU

BINTULU, 9 AUGUST 2024 – Petroliam Nasional Berhad (PETRONAS) in collaboration with TM inaugurated a Private 5G network at the PETRONAS LNG Complex in Bintulu, Sarawak – signalling further advancements in connectivity and efficiency for the energy industry. The event was attended by Minister of Digital Gobind Singh Deo, Deputy Minister of Digital Datuk Wilson Ugak Kumbong, Sarawak Deputy Minister of Utilities and Telecommunications Datuk Liwan Lagang, and Digital Nasional Berhad (DNB), the nation’s 5G network provider. Following the historic launch of Malaysia's first Private 5G network for enterprise at PETRONAS’ Regasification Terminal Sungai Udang (RGTSU) in 2022, the new Bintulu location is one of four of PETRONAS’ sites installed with the technology. The PETRONAS LNG Complex is one of the world’s largest liquefied natural gas (LNG) plants in a single location with a production capacity of 29.8 million tonnes per annum, and deployment of the 5G network is expected to improve productivity and increase operational efficiency across critical production processes. In his speech, Gobind Singh Deo emphasised the role of 5G technology in the energy sector transformation, saying, “5G is amongst the key technologies that is gaining importance in the energy sector. The technology, which offers ultra-high speed coupled with low latency communication between control hubs, production sites and vessels, helps to streamline the growing complexity in operational activities. Increased use of 5G-enabled intelligent systems such as industrial IoT, drones, robotics, extended reality (XR), and artificial intelligence (AI) enhances operational efficiency and safety. “Energy companies around the world are racing to modernise their operations, and I applaud PETRONAS, TM and DNB for taking the lead in digitalising Malaysia’s energy sector.” Meanwhile, PETRONAS Senior Vice President of LNG Assets Abang Yusuf Abang Puteh said, “PETRONAS is positioning itself at the forefront of the global technological race while meeting the evolving demands of the energy landscape. The integration of 5G with the Internet of Things (IoT), Artificial Intelligence (AI), and automation will streamline workflows, increase productivity by automating data collection, while enhancing safety across all levels.” Amar Huzaimi Md Deris, TM’s Group CEO said, “This private 5G deployment is the next phase in TM and PETRONAS’ long-standing partnership to future-proof its businesses for a sustainable future. Leveraging on advanced technologies like AI, the Enterprise 5G application is expected to yield optimum operational efficiencies for its highly secure reliable connection, real-time monitoring and analytics as well as remote maintenance. “Furthermore, this collaboration will further catalyse digital innovation and industry adoption which are key to ensure business resiliency in the future and this intent is also aligned with TM’s aspiration of becoming a Digital Powerhouse by 2030,” he added. Looking ahead, PETRONAS and TM aim to explore opportunities to transform the energy industry through potentially expanding the distribution of Private 5G networks to newer sites for greater integration and efficiency.

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