PT Telkom Indonesia (Persero) Tbk
The First Half 2015 Results
August 4, 2015
Disclaimer
This document may contain forward-looking statements within the meaning of
safe-harbor. Actual results could differ materially from projections, estimations or
Content
1. Telkom in Brief
2. 1H15 Financial and Operational Results
3. Company Guidance 2015
Telkom and Subsidiaries
Mobile Business
Multimedia Business
International Business
Infrastructure Business
Singapore Hongkong Timorleste Australia
Macau Arab Saudi USA Malaysia
New Zeland Myanmar Government
52.6%
Public 47.4%
Affiliation
Note :
T: Telecommunication
IME: Information, Media & Edutainment
Telkom Group Portfolios
Well diversified business portfolio: 9 Product Portfolios and 6 Customer Portfolios
Product
•Fixed Phone •Fixed Broadband •WiFi
•Full Mobility •Limited
Mobility
•Interconnection & International Traffic •Network Service •Satellite •Tower
NW & Infra NW & Infra Services Services Platform
Platform Services Services
•Managed Apps & SI
•BPM
•Premise Integration
•E-Payment
•DataCenter & Cloud
•M2M
Digital Life
T I
3 2
1
Ecosystem Ecosystem Solution Solution
•E-Health •E-Tourism •E-Transportation •E-Gov
Big Big Data Data
Digital Home Digital Advertising
ME
Big Data
Current Ownership
Telkom Indonesia is listed at
Indonesia Stock Exchange
(Bloomberg: TLKM IJ) and New York Stock Exchange (Bloomberg: TLK US)
Public 47.4%
Government 52.6%
Treasury Shares 2.6%
Total Shares
100,799,996,400 shares
Market Capitalization at IDX
*) as of June 30, 2015
Rp295.3Tn*
1H15 Financial
1H15 Performance Highlights
Consolidated Revenuegrew by 12.2% Year-on-Year (YoY) with EBITDA and Net
Income grew by 6.3% and 2.2% YoY, respectively.
Telkomsel Revenue grew by 13.0%, EBITDA by 10.7%, and Net Income by 14.7% YoY.
Consolidated Revenuegrew by 12.2% Year-on-Year (YoY) with EBITDA and Net
Income grew by 6.3% and 2.2% YoY, respectively.
Telkomsel Revenue grew by 13.0%, EBITDA by 10.7%, and Net Income by 14.7% YoY.
Data, Internet, and IT Services (exclude SMS) recorded the highest revenue growth, with 28.3% increase.
Telkomsel’s digital business grew by 37.6%, with data traffic jumped 121.4%. Data, Internet, and IT Services (exclude SMS) recorded the highest revenue growth, with 28.3% increase.
Telkomsel’s digital business grew by 37.6%, with data traffic jumped 121.4%.
Telkomsel installed 11,495 new BTS, of which around 90% were 3G/4G BTS
Telkomsel expands its 4G LTE network and services in 7 key cities
(Jakarta, Bali, Bandung, Surabaya, Medan, Makassar and Lombok)
Telkomsel installed 11,495 new BTS, of which around 90% were 3G/4G BTS
Telkomsel expands its 4G LTE network and services in 7 key cities
(Jakarta, Bali, Bandung, Surabaya, Medan, Makassar and Lombok)
1H15 Operational Results
Telkomsel Operational:
• 3.5 mn net add in 1H15. Total customers: 144.1 mn
•Mobile data payload jumped 121.4%. 3G/4G capable device users grew 54.2% to 48.1 million.
•Added 11,495 new BTSs in 1H15
Telkomsel Operational:
• 3.5 mn net add in 1H15. Total customers: 144.1 mn
•Mobile data payload jumped 121.4%. 3G/4G capable device users grew 54.2% to 48.1 million.
•Added 11,495 new BTSs in 1H15
Telkom Operational:
•Fixed line subs increase 7.0% to 10.2 million •Fixed broadband users increased 15.9% YoY to
3.7 million, contributed by IndiHome Triple Play
Telkom Operational:
•Fixed line subs increase 7.0% to 10.2 million •Fixed broadband users increased 15.9% YoY to
Strong Revenue Growth, Driven by
Data Business
▲12.2%
TOTAL Note: “Other” among others consists of CPE, Infrastructure Lease, Directory Assistance and USO.
▲7.8%
▲28.3%
▼5.6%
▲36.3% ▼6.1%
Revenue YoY (Rp Trillion)
▲6.8%
43.5 48.8
1H14 1H15
16.4
11.6
6.6
4.6
1.9 2.4
17.7
14.9
7.1
4.4
2.5
2.2
Cellular voice Data, Internet, & IT (excl SMS)
SMS Fixed line voice Network & Other telco services
Interconnection 1H14
1H15
Strong Normalized EBITDA & Net Income Growth
(Excluding Early Retirement Program)
▲6.3%
▲2.2%
EBITDA (Rp Tn) Net Income (Rp Tn)
Without ERP :
EBITDA growth 10.2%
Net Income growth 11.3%.
7.3 7.4
1H14 1H15
22.1 23.5
Increased Operating Expenses in line with
Infrastructure Development
Operating Expenses YoY (Rp Trillion)
▲14.4%
Note: others included (gain)/loss on forex
29.5 33.7
1H14 1H15
10.8
O&M D&A Personnel Interconnection G&A Marketing Others 1H14 1H15
ERP amounting Rp844 billion in 1H15 ERP amounting Rp844 billion in 1H15 -TSEL BTS increased 21.8%
-IndiHome roll-out -Additional backbone -TSEL BTS increased 21.8% -IndiHome roll-out -Additional backbone
+13%
In Million In Thousand
YEAR-ON-YEAR ACHIEVEMENT
In Trillion
1H-15
TOTAL ASSET BTS ROLL OUT BTS ON AIR
In Thousand
+22%
CUSTOMER
In Trillion
6
EBITDA NET INCOME
In Trillion In Trillion
Margin
In Trillion
3G
Telkomsel: Triple Double-Digit Growth
+38%
DIGITAL BUSINESS REVENUE
In Million
YEAR-ON-YEAR ACHIEVEMENT
In Trillion
DATA USER Digital Services
DATA TRAFFIC
121%
3G/4G CAPABLE DEVICE
54% In Million
1H-15 1H-14
3G & 4G BTS ROLL OUT In Thousand
3G & 4G BTS ON AIR In Thousand
Broadband: Broadband: Broadband: Broadband:
Digital Services: Digital Services: Digital Services: Digital Services:
-
--- Digital LifestyleDigital LifestyleDigital LifestyleDigital Lifestyle
-
--- Digital Advertising Digital Advertising Digital Advertising Digital Advertising
-
--- Digital Digital Digital Payment & Mobile Digital Payment & Mobile Payment & Mobile Payment & Mobile BankingBankingBankingBanking
-Telkomsel: Continued Focus on Digital Business
15
On July 6, 2015 Telkomsel officially used 1800 MHz spectrum
for 4G LTE services.
Now available in 7 cities:
Jakarta, Bali, Bandung, Surabaya, Medan, Makassar and
Lombok. More cities to come.
Current subscribers: 655,000
Recent Development
Review on Interconnection tariff 1800 Mhz spectrum rearrangement: expected completion by end 2015
International Expansion
To build data center in Jurong Singapore of 20,000 M2
To acquire Guam GTA. Expected closing by end 2015.
Current Development Fixed Broadband/Capex
Employee: 692 persons Expenses: Rp844 Bn
Rp7 trillion bonds in June 2015 Tenor: 7 yrs, 10 yrs, 15 yrs, 30 yrs to support infrastructure development
HR & Corporate Finance
3.7 mn Fixed Broadband subs 427 thousand Indihome subs
Regulation
Mitratel Deal Early Retirement Program
Telkom Bond I
CSEA is in the process of termination. 1H2015 Capex: Rp11.9 Tn
Telkomsel: Rp5.8 Tn
Telkom & Other Subs: Rp6.1 Tn
2015 Management Guidance
In line with or slightly above the market for TLKM and Telkomsel, with focus on strengthening mobile broadband and accellerated fixed broadband through triple play and FTTH
Revenue Growth
Slightly decline for TLKM and Telkomsel in line with accellerated investment in digital business
EBITDA Margin
19
Mobile Business
Main Program
Indonesia Digital Network International Expansion
1. Protect Legacy Business 2. Strengthen The Core 3. Trigger Digital Services
1. ID-Ring 2. ID-Access 3. ID-Convergence
1. Follow the People 2. Follow the Network 3. Follow the Traffic & Money
Maintain double digit growth Grow digital business
Turn-around fixed line Drive digital business
