1Q14 Conference Call Presentation

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PT

Telekomunikasi

Indonesia,

Tbk.

1Q14 Results

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Disclaimer

(3)

C O

N

T E

N

T

C O

N

T E

N

T

01

Telkom

in

Brief

Financial

and

Operational

Results

(4)

01

(5)

Indonesia

Telecommunication

Industry

Indonesia

Telecommunication

Industry

Prabayar Pasca Bayar

FY 2013 Subscriber Market Share

y

Penetration (SIM Card)

•Total Cell Subs >325 mn

Tsel 40%

•Total Cell Subs >325 mn • Total BIG 3 Subs: 251.6mn

56.5M 18%

54.2M 17%

Telkom Flexi

40%

Isat 18%

(6)

Business

and

Customer

Portfolio

Business

and

Customer

Portfolio

Telecommunication

POTS

Information

Premise Integration Services

Media

&

Edutainment

Media : Pay TV & FTA POTS FWA Mobile / Cellular International Services Premise Integration Services VA, Managed App & Performance/ITO E‐Payment Media : Pay TV & FTA Content / Portal Broadband Network Services Tower ITeS (BPO, KPO) Retail Wholesale International

Personal

Consumer/Home

SME

Enterprise

OLO ( Other Local Operators )

(7)

Telkom

and

Subsidiaries

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Current

Ownership

Current

Ownership

Telkom Indonesia is listed at Indonesia Stock Exchange (IDX), New York Stock Exchange (NYSE), London Stock Exchange (LSE) and also Publicly Offering Without Listing also Publicly Offering Without Listing (POWL) in Japan.

Public

46.9%

Government

53.1%

Public

46.9%

Treasury

Shares

3.7%

Tot a l Sha re s (a ft e r St ock Split )( p ) M a rke t Ca pit a lizat ion at I DX

100,799,996,400

shares

p

To p 5

223.3Tn*

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02

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Highlights

Well maintained strong financial results Well maintained strong financial resultse a ta ed st o g a c a esu ts

Consol Revenue grew 8.7% YoY to Rp21.3tn

Tsel Revenue grew by 9.8% YoY to Rp15.3tn

e a ta ed st o g a c a esu ts

Consol Revenue grew 8.7% YoY to Rp21.3tn

Tsel Revenue grew by 9.8% YoY to Rp15.3tn

Gaining remarkable subscribers growth

Broadband users grew 65.3% YoY to more than 28.1mn.

Cellular subscribers grew 10.0% YoY to 132.7mn Gaining remarkable subscribers growth

Broadband users grew 65.3% YoY to more than 28.1mn.

Cellular subscribers grew 10.0% YoY to 132.7mn

Telkomsel continues the leadership in network quality and coverage Telkomsel continues the leadership in network quality and coverage

Total BTS 74,326 units, a 28.9% YoY growth

3G BTS 30,575 units, a 72.2% YoY growth.

New BTS 1Q14 4,462 units, a 32.5% YoY growth, average >1,000

BTS/month.

Total BTS 74,326 units, a 28.9% YoY growth

3G BTS 30,575 units, a 72.2% YoY growth.

New BTS 1Q14 4,462 units, a 32.5% YoY growth, average >1,000

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Data

Services

Data

Services

Revenues (Rp Tn)

Users (Mn)

4.8

Mobile Data Speedy

14.8%

25.7%

3.1

32.3%

3.1

Fixed Bband

Mobile Data

49.9

63.0

2.7

7.7%

2.3

Mobile Data

26.3%

1Q13 1Q14

49.9

63.0

1Q13 1Q14

1.1

1.2

(12)

Cellular

BTS

Cellular

BTS

SUMATERA 29%

21.5K BTS

KALIMANTAN 9%

6.9K BTS

SULAWESI & PAPUA 13%

9.6K BTS

JAVA 43%

32.1K BTS BALI & NUSRA 5% 4.0K BTS

Java

43%

(13)

Revenues

YoY

Revenues

YoY

((RpRp TnTn))

▲ 8.7% 1Q13 1Q14

▲ 8.7% 3.1 2.2 1.1 3.1 3.0 1.2 21.3 7.6 7 3

8.0 8.4

Cellular SMS Data Comm Oth

Speedy Inet mo. subscription

7.6 7.3 19.5 2.5 0 7 2.3 0 9 1Q13 1Q14

N t “Oth ” th i t f CPE P TV L d

TOTAL

1Q13 1Q14

1.1 1.2 0.3 0.4 0.7

0.9

Cellular voice Data, Internet, & IT

Fixed line voice Interconnection Network Other

Note: “Other” among others consists of CPE, Pay TV, Leased

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Expenses

YoY

Expenses

YoY

((RpRp TnTn))

▲ 11 5%

▲ 11.5%

14.3

4.7

5.1

1Q13

4.7

3.5 3.9

1Q14

12.8

2.3

1.2 2.2

1.3

TOTAL

1Q13 1Q14

0.7 0.6

(0.2) 0.7 0.9

0.1 O&M D&A Personnel Interconnection Marketing G&A Other

Note: “Other” consist of (gain)on forex – net, Other Income & Expense – net.

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Cellular Performance

YEAR‐ON‐YEAR ACHIEVEMENT

REVENUE EBITDA NET INCOME CAPEX TO REVENUE

+10% 15.3 3.4 13.9 2.6 In Trillion 16.3% 14.4% 13% 13% Digital

Business 31%31%

In Trillion In Trillion 8.5 7.9 4.4 4.3 2% 2% 7% 7%

Q1‐14 11.9

Q1‐13 11.4

Q1‐14 Q1‐13

13% 13% 5% 5% Legacy Margin 55% 57% Margin 29% 31%

Q1‐14

Q1‐13 Q1‐13 Q1‐14

2% 2%

Q Q

132.6

120.6 +33% 4.5

In Million In Thousand

CUSTOMER BASE BTS ROLL OUT BTS ON AIR

In Thousand 74.3 +29% 63 0 DATA ENABLED CUSTOMER In Million 2.3 Q1 14 0.9 3.5 Q1 13 3.4 1.0 17.8 43.8 30.6 Q1 13 57.7 Q1 14 39.9

Q1 13 Q1 14 63.0 49.9 3G 2G 3G 2G 10%

10% 26%26%

52% 52% --12%12% 72% 72% 10% 10%

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2014

Company

Outlooks

2014

Company

Outlooks

Continue

to

Deliver

Value

to

Shareholders

Continue

to

Deliver

Value

to

Shareholders



In line with or slightly above the market

for both TLKM Consolidated and

Telkomsel

Revenue Growth

e o se



Stable to slight decline for both TLKM

Consolidated and for Telkomsel

EBITDA Margin



Group (Consolidated): 20-25% over Revenue



Allocation:

Capex



Telkomsel: 60%

(17)

Capital

Expenditure

Capital

Expenditure

((RpRp TnTn))

1Q14, Total CAPEX Rp4.1 Tn or 19.1% over Revenue

0 7

2.5

0.9

0.7

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Question

and

Answer

(19)