25 Nov 2021
As nation shows encouraging signs of recovery, TM posts strong results for first nine months of 2021 revenue up 6.8%, net profit increases 7.7%
Group Operating Revenue in Jan - Sept 2021 (YTD Sept) grew 6.8% to RM8.38 billion compared to the same period last year
Continued focus in supporting the nation's sustainability and recovery has resulted in Telekom Malaysia Berhad (TM) posting a strong financial result in the first nine months of 2021. Fuelled by high demand for digital connectivity and solutions, TM continues its positive trajectory for the year with a solid performance in the third quarter (3Q2021).
YTD Sept 2021 Financial Highlights (vs YTD Sept 2020)
- Solid revenue growth, with a 6.8% increase to RM8.38 billion, from RM7.84 billion in the same period last year. This achievement is driven by revenue increase from all lines of products, particularly Internet services which saw a 6.8% increase on the back of steady growth in fixed broadband customer base.
- Earnings Before Interest and Tax (EBIT) grew by 17.1% to RM1,414.8 million, from RM1,208.6 million as a result of revenue growth and continuous cost optimisation initiatives.
- PATAMI increased by 7.7% to RM815.3 million compared to RM756.7 million, following sound operating profits.
Imri Mokhtar, Group Chief Executive Officer of TM commented:
"Throughout 2021, we've focused our efforts to deliver digital connectivity and solutions in supporting the sustainability and recovery of our country. As a result, we are able to deliver another solid quarter of revenue and net profit growth.
Our next focus will be on delivering enhanced customer experience and strengthening our digital offerings across all customer segments in unifi, TM ONE and TM WHOLESALE.
With movement control restrictions in Malaysia continue to be eased and the economy gains momentum, we remain committed to serve the nation. We will continue to play our leading role in Malaysia's digitalisation drive outlined by the Jalinan Digital Negara (JENDELA) action plan, 2022 Budget and the 12th Malaysian Plan, including MyDIGITAL blueprint.
As we continue our shift towards becoming a human-centred technology company, we will develop innovative solutions and drive digital adoption across our broad customer base of home, SME, corporate and Government customers – anchored on enhanced customer experience.
Supporting this evolution, will be our new way of working at TM – focusing on increased productivity through digitalisation and process automation, upskilling of our existing workforce and welcoming new digital talents."
Driving digital adoption and a new way of working in the post-pandemic era
TM recorded the highest increase in unifi subscribers for three consecutive quarters. In the quarter under review, TM registered an additional 210,000 new unifi subscribers in both the consumer and micro, small and medium sized enterprise (MSMEs) segments.
This record-breaking growth is fuelled by high demand for connectivity and digitalisation tools which have become an important necessity. To deliver this demand, TM has been adding higher number of broadband ports and delivering a wider fibre network coverage. This expansion has exceeded TM's committed targets in JENDELA action plan. The fast network rollout together with strong frontline support, a steady marketing push and speedy installation had cemented customer's confidence and trust.
Beyond connectivity, unifi has steadily strengthened its entertainment proposition with the addition of 19 new content offerings comprising 7 content streaming services and 12 new channels.
Supporting the Government's push to digitalise MSMEs, unifi registered encouraging increase of productivity and digital tools utilisation amongst its 375,000 MSME customers, leveraging the Government's Digitalisation Grant.
Focusing on enhanced customer experience
Customer experience remains our key focus across all segments and we continue to introduce new experience features and improvements in this area.
For unifi customers, we continue to innovate and improve in the management of user experience. We now provide customers with a proactive early detection and intervention support for broadband connectivity and ensuring fast resolution of service. As a market leader, TM commits to a continued focus on customer experience, with progressive releases of more new experience leveraging on analytics.
TM WHOLESALE was recently awarded the Best Asia Pacific Zero Outage Supplier by T-Systems amidst intense competition from other established telcos in the region. This recognition signifies TM's commitment and focus to provide the best quality service to our telco and hyperscaler customers.
Enabling digital solutions in the Enterprise and Public sectors
TM ONE remains steadfast in its commitment to realise the nation's MyDIGITAL blueprint and support efforts to rebuild the economy in both the Enterprise and Public sectors.
New sales and contract renewal across the Enterprise and Public sectors are encouraging in the post pandemic recovery period with TM ONE providing digital connectivity and solutions for the Digital Community Centre in rural areas, regional cloud services and major financial institutions.
TM ONE maintains its role as a trusted business partner driving digital transformation for Enterprise and Public sectors especially in business process automation via partnerships with global digitalisation partners such as SAP.
Delivering network for the Industry
TM WHOLESALE continues its "telco for telcos" role by providing wholesale services and solutions to all Malaysian licensed service providers. In line with the overall growth of broadband, TM WHOLESALE recorded high demand for its wholesale broadband service. As the primary mobile backhaul provider for the industry, TM WHOLESALE registered an increase in bandwidth utilisation of its Next Generation Backhaul service by major mobile telcos. This also positions TM as a capable enabler for Malaysia's 5G network deployment.
Internationally, TM WHOLESALE continues to strengthen its partnership ecosystem with global telcos and hyperscalers, and has recorded significant growth of international bandwidth traffic. This is further complemented by the coverage increase of the global content delivery network (CDN) with more than 80 CDN nodes worldwide.
TM WHOLESALE has also established a collaboration with a Tier 1 Internet Protocol (IP) transit provider – Tata Communications – to offer high-speed and reliable connectivity in the ASEAN region and open access to global enterprises. At the same time, we have successfully on boarded more than 15 major international hyperscalers and digital service providers in TM's core data centres.
All of the above positions Malaysia positively as a digital and technology hub in ASEAN.
A socially responsible Corporate Citizen
TM played its part in supporting the fight against COVID-19 via various programmes. Overall, TM has contributed over RM9.5 million for humanitarian and community initiatives this year including to Tabung CERDIK and COVID-19 GLC/GLIC (GDRN) fund.
TM also provided digital connectivity services to more than 400 PPVs nationwide, in addition to converting three of its premises into PPVs at its Multimedia University (MMU) campuses in Cyberjaya and Melaka, plus Kompleks TM Taiping.
TM had also spent over RM16.0 million on several safety protocols and preventive measures across its customer operations to ensure the wellbeing of our frontliners and customers. These measures include providing personal protective equipment (PPE), weekly COVID-19 screening, UV air treatment and other workplace measures.
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TM and Telin collaborate to enable opportunities and enhanced experience for the region’s digital ecosystem
TM Wholesale, the wholesale domestic and international business arm of Telekom Malaysia Berhad (TM) and Telin, a subsidiary of PT Telkom Indonesia, Tbk (Telkom), have recently signed a Memorandum of Understanding (MoU) to strategically collaborate and jointly explore opportunities on subsea cable business arrangements. The signing ceremony was held at the Grand Hyatt Hotel, Dubai recently, where TM was represented by Amar Huzaimi Md Deris, Executive Vice President of TM Wholesale and Telin was represented by its Chief Executive Officer, Budi Satria Dharma Purba (Budi). This new partnership will further strengthen the Business to Business (B2B) relationship between the two parties and broaden the collaboration while continuing to provide their customers with reliable, diversified and uninterrupted connectivity solutions. Commenting on the partnership, Amar Huzaimi Md Deris, Executive Vice President of TM Wholesale said, "TM Wholesale is committed to deliver greater reachability and resilient connectivity to our customers. This collaboration allows us to gain immediate submarine capacity in response to the growing demand for high bandwidth services. It also gives us more diverse connections and alternative routes connecting Malaysia to the rest of the world, while optimising our existing submarine capacity. Additionally, it will enable us to begin exploring the most cost-effective approach for future submarine cable investment projects that will benefit both parties and this region." Meanwhile, Budi Satria Dharma Purba (Budi), Chief Executive Officer of Telin said, "Telin and TM Wholesale share mutual interests, with the aim of serving our stakeholders with excellence. This time, we are excited to jointly explore opportunities in buying, selling, upgrading and investing activities, especially with regard to subsea cables. Telin's participation in global connectivity focuses on ensuring reliable connectivity in order to meet surging demand for fast internet due to trends such as flexible working arrangements, video streaming, and gaming. We believe that this collaboration will serve our stakeholders' needs accordingly." Currently, TM has 30 submarine cable systems, owned and leased, spanning more than 320,000 kilometres around the globe and Telin has 22 submarine cable system, owned and leased, with over 222,260 kilometres. Together, both parties can leverage on their respective capabilities to provide the highest service performance and best quality experience to all its customers. TM has been a long-standing partner of Telin in many aspects related to business solutions and are mutually delighted to work together in supporting ASEAN and other region's future digital demands for connectivity, digital infrastructure and solutions.
TM wins two (2) platinum awards at NACRA 2020
Bagged Platinum Excellence Award for Companies with RM2 billion to RM10 billion in Market Capitalisation and Platinum Award for Best Annual Report in Bahasa Malaysia. Telekom Malaysia Berhad (TM) continues its winning streak at the National Annual Corporate Report Awards (NACRA) 2020 when the Company walked away with two (2) Platinum awards at the awards presentation ceremony, held virtually in Kuala Lumpur, recently. TM bagged the Platinum Excellence Award for Companies with RM2 billion to RM10 billion in Market Capitalisation and this is the fifth (5th) time the Company clinched the most coveted award, after its win in 2014, 2013, 2011 and 2006, thus portraying its long history of exemplary corporate reporting. The other Platinum award that TM won at NACRA 2020 was the Special Awards – Best Annual Report in Bahasa Malaysia. Commenting on the win, Imri Mokhtar, Group Chief Executive Officer, TM, said: “We are both humbled and thrilled to be recognised once again at NACRA 2020. As a public listed company, we are committed to good shareholders’ communication to keep all our stakeholders well informed about the company. This underpins the foundation of corporate reporting; building trust, reputation and value whilst complying to Bursa Malaysia’s listing requirements. These awards are testament to our resolve to uphold a high level of corporate governance, transparency and disclosure of information as we work towards delivering higher value for our all stakeholders.” “On behalf of TM’s management team, I would like to take this opportunity to congratulate each and every Warga TM for their hard work and tireless efforts towards producing the Annual Report year after year; and especially for the 2019 edition. The ongoing Covid-19 pandemic proved not a hindrance to the team in delivering their best. This year also saw us conducting TM’s very first virtual Annual General Meeting (AGM). I am personally proud with these achievements and hope that this will give a boost for all of us to deliver even better in the future,” he added. The 2020 National Annual Corporate Report Awards (NACRA) was jointly organised by Bursa Malaysia Berhad (Bursa Malaysia), Malaysian Institute of Accountants (MIA) and The Malaysian Institute of Certified Public Accountants (MICPA). In its 30th year, NACRA 2020 continues to be a force for spurring continuing excellence and improvement in corporate reporting in Malaysia, in line with its evergreen theme, “Towards Accountability & Excellence”. Every year, NACRA guidelines are reviewed and enhanced to ensure that the standards and quality of the production of annual reports are in line with current requirements and the latest global developments. NACRA 2020 introduces a brand-new awards structure and assessment criteria that augments recognition to many more leading organisations and is aligned with global and integrated reporting framework (IRF) and best practices. It has become the benchmark, in which stakeholders associate with fair, transparent and informative corporate reporting. Earlier in 2020, NACRA introduced a new framework which integrates elements of sustainability and integrated reporting in line with evolving expectations.
Yayasan TM hands over 60 refurbished laptops under #MYBAIKHATI to aid underprivileged students with online learning
YTM collaborated with PINTAR Foundation to contribute 60 refurbished laptops to underprivileged students under Pejabat Pendidikan Daerah Bangsar/Pudu (PPDBP) to facilitate their online learning session. In its continuous effort to ease the burden of underprivileged students during this unprecedented period, Yayasan TM (YTM), the foundation arm of Telekom Malaysia Berhad (TM), together with PINTAR Foundation has reached out to the beneficiaries group under the #MYBAIKHATI initiative. Through the collaboration, YTM contributed 60 units of refurbished laptops together with 15GB LTE unifi Mobile #BEBAS packages FREE for one (1) year to Pejabat Pendidikan Daerah Bangsar/Pudu (PPDBP), Kuala Lumpur. Eligible students from 16 primary and secondary schools have been identified by PPDBP to receive the contribution. When handing over the contribution, Izlyn Ramli, Director of YTM said: “We understand the critical need of good, workable devices and internet connection for Home-Based Learning and Teaching (PdPR) sessions in the new norm. Under the #MYBAIKHATI initiative, we have refurbished used laptops that we received from the kind and caring public. Coupled with our unifi Mobile #BEBAS data plan, we hope the identified students can have a better PdPR experience. TM through YTM will continue to pave the way for deserving students to have greater access to education as we believe no one should be left behind, especially in this digital age.” Meanwhile commenting on this contribution, Tuan Hj Azuar Hj Hussin, Bangsar/Pudu District Education Officer said: "PPDBP would like to express our deepest appreciation to YTM and PINTAR Foundation. We believe this contribution would be invaluable to the recipients and facilitate their learning process in this very challenging period. We hope more corporates will come forth and provide their support to fulfil the needs of these underprivileged students.” TM is supporting the #MYBAIKHATI initiative, an industry-wide device crowdsourcing initiative aimed to collect and repair used communication devices to be distributed to low-income families (B40). TM has set up six (6) of its TMpoint outlets in the Klang Valley as collection points to facilitate the donation drive. The outlets are TM Experience Centre (TMEC) at Menara TM, Bangsar; TMpoint Cyberjaya, TMpoint Shah Alam, TMpoint Setapak, TMpoint Bukit Raja and TMpoint Taman Desa. To further encourage the public to donate their used smart devices, TM has partnered with realme, a smartphone manufacturer, where realme has allocated 300 realme vouchers worth RM50 each for individuals who contribute their used devices. They can then use the vouchers to purchase any realme devices at realme Official Store on Shopee. "realme Malaysia is pleased to join forces with TM in encouraging Malaysians to donate their used smart devices. We also hope that realme fans with old but usable devices can donate them to support a good cause during this challenging time," said Tiffany Teh, Brand Director of realme Malaysia. For more information on how you can be part of the #MYBAIKHATI initiative supported by TM, visit www.tm.com.my/mybaikhati.
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