26 Nov 2019

TM reports operational improvement for 3Q 2019 amidst challenging environment

TM reports operational improvement for 3Q 2019 amidst challenging environment Article Header
TM
UNIFI
TM One
TM GLOBAL

Telekom Malaysia Berhad (TM) today announced its financial results for the quarter ended 30 September 2019.

  • ​Financial and Operational Highlights as at Year-to-Date (YTD) September 2019 vs YTD September 2018:
    • Group Revenue of RM8.40 billion, 3.8% lower against YTD September 2018 – in line with guidance- mainly due to lower contribution from all lines of products except data and non-telecommunication related services.
    • Group Reported Earnings Before Interest and Tax (EBIT) for YTD September 2019 increased to RM1.20 billion, from Loss Before Interest and Tax (LBIT) of RM187.3 million over the corresponding nine (9) months period last year, on the back of lower operating cost, from the Group's various cost optimisation initiatives. 
    • Group Reported Profit After Tax and Non-controlling Interests (PATAMI) showed significant improvement with a 718.9% growth YTD to RM683.8 million, from RM83.5 million in the corresponding period last year. Stripping off non-operational items, Normalised PATAMI stood at RM810.9 million, higher by 53.7% against the same period last year.
    • The total capital expenditure (CAPEX) was within guidance at 8.8% of revenue or RM736.0 million. Out of the amount spent, 16% was made for Core Network, 58% for Access and the balance 26% was made for Support System.
  • unifi updates:
    • Increased YTD convergence penetration to 55% of TM Households compared to 48% in 30 September 2018.
    • Total broadband customers as at 30 September 2019 was more than 2.15 million.
    • #khabarbaik customer experience related initiatives in 3Q2019:
      • Streamlined all Streamyx packages to a new unifi Lite plan at RM69/month for existing Streamyx customers.
      • Introduced unifi Air to elevate the internet experience of existing Streamyx customers residing in TM's LTE coverage areas.
      • Launched an all-in-one app; myunifi for an easy experience in managing unifi account.
  • TM ONE updates:
    • Signed a series of MoUs and cross-industry strategic digital collaborations with Ministry of International Trade and Industry (MITI), Ministry of Rural Development, Global Health, UMW Corporation Sdn. Bhd. (UMW), Open University Malaysia (OUM), Bintang Urusjuta (M) Sdn Bhd and Digital Perak Corporation Holdings (DigitalPerak).
    • TM ONE further demonstrated its capability to enable digital businesses and government with ten (10) smart solutions and end-to-end Hyperconnected Ecosystem.
    • Held its annual flagship event LEAP Summit 2019 themed "Creative Disruption – Get Ready for It!" to share the successes and lessons from global creative disruptors and provide in-depth insights on industry trends towards Industrial Revolution 4.0 (IR 4.0).
  • TM GLOBAL updates:
    • TM as the National Telecommunication Infrastructure Provider continues to serve as the industry backbone - serving and collaborating with all other licensed operators in Malaysia as the strategic enabler of the Government's National Fiberisation and Connectivity Plan (NFCP) towards reaching more underserved areas nationwide and supporting 5G requirements with its ready and upgraded network infrastructure.

 

Dato' Noor Kamarul Anuar Nuruddin, Group Chief Executive Officer, TM, commenting on the results:

"Overall, in 3Q 2019 we saw continued improvements in our fundamentals. I'm pleased to report that our cost management initiatives under our performance improvement plan carried out since last year continues to yield results with profitability improvement. We have managed to keep a closer eye on our operational efficiencies to deliver sustained profitability with lower YTD OPEX/revenue. However, in line with sector contraction, our revenue challenges still persist on the retail front, in line with our expectations and 2019 market guidance.

Our CAPEX for YTD September 2019 is well within guidance, totalling 8.8% of revenue, and on track as we continue our targeted investments to ensure we deliver better service experience for all our customers.

We continue to offer attractive unifi products and promotions to acquire more customers, whilst addressing Streamyx customers and coverage pain points with price adjustments and our wireless offerings. Over the last three months, we have expressed our intention to be the key driver for Malaysia's Digital Nation aspirations. TM is ready to propel the nation into Industrial Revolution 4.0 (IR4.0) with our proposal to be the nation's infrastructure provider in both the fixed and mobile space. This commitment is reinforced with our participation in the 5G demonstration projects and our preliminary moves toward building infrastructure readiness. In the next few months, we will be showcasing our 5G use cases in SS15, Subang Jaya, Selangor and Langkawi, Kedah in collaboration with local municipal councils and other potential partners. The use cases will cover Big Data Analytics, Smart City, Smart Tourism and Smart Agriculture clusters. The deployment of our tested and proven 5G-enabled smart solutions for the showcase are testament of our commitment in humanising technology towards making life easier, and enriching the quality of life for all Malaysians."

Prospects for the Financial Year Ending 31 December 2019

The Group's performance improvement initiatives and efficient cost management continue to improve our profitability. Our focus remains toward our customers, and to strengthen the Group's performance by investing to improve customer experience across segments to grow our revenue.

YOU MAY ALSO LIKE

29 Apr 2019
TM One unveils its latest state-of-the-art Klang Valley Core Data Centre

The new data centre completes TM One’s Twin Core Data Centre to serve Malaysia’s digital needs TM One, the enterprise and public sector business solutions arm of Telekom Malaysia Berhad (TM), today officially unveiled its latest data centre – Klang Valley Core Data Centre (KVDC) in a tour session specially for members of the media. The KVDC, located at the global technology hub of Cyberjaya, completes TM One's Twin Core Data Centre after the launch of the Iskandar Puteri Core Data Centre (IPDC) in Nusajaya, Technology Park, Iskandar Puteri, Johor back in November 2017.​ Present at the event were Ir. Ts Azizi A. Hadi, Chief Executive Officer, TM One; Mohd Roslan Mohd Rashidi, Vice President, Sales, TM One; Nizam Arshad, Chief Technology Officer, TM Oneand TM One's management line-up. Speaking at the event, Ir. Ts. Azizi said, "At TM One, we are always committed to our role in realising Malaysia's Digital Nation aspirations, enabling Digital Society, Digital Economy and Digital Government through Connectivity and Digital Infrastructure, in line with TM's vision, "Making Life and Business Easier, for a better Digital Malaysia". It is therefore our pleasure to announce that with the official opening of this KVDC, our Twin Core Data Centre is ready for service. We are fully aware that businesses nowadays are becoming increasingly dynamic and aggressively adopting digital in their operations. Our state-of-the-art core data centres are purposely designed to fulfill the hosting, cloud and Internet of Things (IoT) requirements of business and enterprise customers, as well as the public sector, towards facilitating their digital transformation journey." The KVDC is a carrier-neutral and green data centre, that serves as a regional hub in providing high value managed services. These include cloud computing, virtualisation, workspace and collaboration services, as well as high-speed broadband connectivity to cater for enterprise and business customers particularly in Malaysia and the ASEAN region. "This KVDC is certified by the Uptime Institute as Tier III in design and in constructed facility, apart from being certified as Threat, Vulnerability and Risk Assessment (TVRA), ISO 27001 and Payment Card Industry - Data Security Standard (PCI-DSS) compliant. These certifications demonstrate TM One's unparalleled service quality and uncompromised security standards that will enable us to enhance our customers' business productivity and market competitiveness," Ir. Ts. Azizi added. Through the Twin Core Data Centre, TM One is positioning itself as a comprehensive Information and Communication Technology (ICT) services provider, delivering value added services on top of the Data Centre facility service. Meanwhile, TM One also announced the launch of TM One Azure Stack, a hybrid cloud solution which offers a platform that focuses on delivering the innovative Infrastructure-as-a-Service (IaaS) and Platform-as-a-Service (PaaS) via Microsoft Azure Stack technology, and is operated in TM One's Twin Core Data Centre. To date, TM One has 12 data centres located across Malaysia, including in Hong Kong and the United States. For more information on TM One and its product offerings, log on to www.tmone.com.my.

03 Oct 2023
TM Wins Asia Best Employer Brand Awards 2023

KUALA LUMPUR, 3 October 2023 – TM is proud to have received the Best Employer Brand Award at the prestigious Asia Best Employer Brand Awards held in Singapore recently. The award acknowledges TM’s commitment to nurturing employee growth, continuous learning, and fostering a high-performance culture. Commenting on the award, Sarinah Abu Bakar, Chief Human Capital Officer, TM said, “Our TM employees are the driving force behind our success. The recognition at Asia Best Employer Brand Awards 2023 reaffirms our dedication to the growth and well-being of every Warga TM. People are at the core of our business strategy. This investment in our workforce is not solely targeted at their personal and professional development, but also aims to instil the right competencies that underpin our business performance. The award reflects our relentless pursuit of excellence and transformation towards becoming a TechCo, not only in Malaysia but also throughout the region.” “On behalf of TM’s management team, I would like to extend our heartfelt gratitude to all Warga TM, whose dedication and hard work have made this achievement possible. Our unwavering commitment to becoming the best and an exceptional employer continues as we aspire to grow and succeed together,” Sarinah concluded. Nurturing employee personal development and growth is an essential aspect of TM’s efforts that highlights HR’s pivotal role in shaping positive business outcomes. Over the years, TM has introduced a culture that values high performance, continuous learning and digitalisation, aligning with the Agile work approach to empower teams for greater flexibility and productivity. As TM steers towards the next level of growth, it remains committed to investing in future skills to further enhance the Company’s business performance. The Asia Best Employer Brand Awards 2023, hosted by the Employer Branding Institute and World HRD Congress, honour organisations for their exceptional contributions in talent management, development, and innovation. Award recipients were chosen by a panel of jury members following a comprehensive evaluation and assessment of their performance over the past 24-months.

10 Oct 2025
TM WELCOMES BUDGET 2026 AS A CATALYST FOR A MORE CONNECTED AND INCLUSIVE MALAYSIA

KUALA LUMPUR, 10 October 2025 – “TM, welcomes Budget 2026 announcement and lauds the Government’s continued focus on economic reform and uplifting the well-being of the rakyat. The strong emphasis on digital infrastructure and inclusivity from the expansion of JENDELA 2, Points of Presence (PoP), NADI Centres, and the new Sambungan Kabel Dasar Laut MADANI (SALAM) will further strengthen our national digital resilience. We are encouraged by the Government’s strategic intent to advance the Sovereign AI Cloud and establish an AI Transformation Centre, which embodies Malaysia’s determination to lead in a digital-first world. We align closely with this direction through TM Cloud Alpha Edge, our platform built to safeguard national data sovereignty while enabling innovation across industries. We are also proud that Multimedia University (MMU), our education arm, has been recognised as part of this journey to develop future AI talent and research excellence. Recognising the Budget’s focus on people, TM is heartened to see continued support for MSMEs, TVET and capability building, alongside the expansion of Kampung Angkat MADANI and Sekolah Angkat MADANI. These initiatives remind us that true progress happens when communities are empowered, opportunities are created, and every Malaysian is able to participate meaningfully in the nation’s progress and digital journey. As TM continues our path towards becoming a Digital Powerhouse by 2030, we remain steadfast in enabling the digital economy and partnering with the Government to realise a sustainable, inclusive and digitally powered Malaysia by expanding national connectivity, strengthening sovereign digital capabilities, nurturing talents as well as driving greater purpose together.” – Amar Huzaimi Md Deris Managing Director / Group Chief Executive Officer, Telekom Malaysia Berhad

NEWSLETTER

Just drop your details and stay updated with the world of Telekom Malaysia. We promise – no spam!​