PT Telkom Indonesia (Persero) Tbk
The First Quarter 2015 (1Q15) Results
The First Quarter 2015 (1Q15) Results
Disclaimer
hi d i f d l ki i hi h i f f
This document may contain forward‐looking statements within the meaning of safe‐
harbor. Actual results could differ materially from projections, estimations or expectations. These may involve risks and uncertainties, and may cause actual results
d d l t t diff b t ti ll f th d i li d i th
and development to differ substantially from those expressed or implied in the statements. The company does not guarantee that any action, which may have been taken in reliance of this document will bring specific results as expected.
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Content
1. Telkom in Brief
2. 1Q15 Financial and Operational Results
3. Company Guidance 2015
Telkom in Brief Telkom in Brief
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Telkom Group Portfolios p
Well diversified business portfolio: 9 Product Portfolios and 6 Customer Portfolios
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1 ME Digital Life Digital Home Digital Advertising 2
9
7 8 11
10
•Managed Apps & SI
•BPM
•Premise Integration
•E‐Payment
I
•E-Health
•E-Tourism
•E-Transportation
•E-Gov
Big Data 12
Product Portfolio
Customer
Portfolio ervices
Platform Platform Services Services
•DataCenter & Cloud
•M2M
I
Ecosystem Ecosystem Solution Solution
E Gov
Big Big Data
Data 5 6
4
13
Portfolio Portfolio
Se
•Fixed Phone
•Fixed Broadband
•WiFi
•Full Mobility
•Limited Mobility
•Interconnection &
International Traffic
•Network Service
T
14Government
ob ty
•Satellite
•Tower
Fixed
Fixed MobileMobile NW & InfraNW & Infra
T 15
16 Services
Services 1 ServicesServices 2 ServicesServices 3
Telkom and Subsidiaries
Government Public
Mobile Business
Multimedia Business
International Business
Infrastructure Business
52.6% 47.4%
T IME T T
Business
T
Business BusinessT
BusinessT
Singapore Hongkong Timorleste Australia
Macau Arab Saudi USA Malaysia
New Zeland Myanmar
Affiliation 6
Note :
T: Telecommunication
IME : Information, Media & Edutainment
Current Ownership p
Telkom Indonesia is listed at Indonesia Stock Exchange (Bloomberg: TLKM IJ) and New York Stock Exchange (Bloomberg: TLK US)
Government 52.6%
Public 47.4%
Treasury Shares 2.6% y
Total Shares Market Capitalization at IDX
100,799,996,400 shares
*) as of March 31, 2015
Rp291.3Tn*
1Q15 Financial
and Operational Results p
8
1Q15 Performance Highlights Q g g
Continued strong revenue growth with healthy margins
Consolidated Revenuegrew by 11.1% Year‐on‐Year (YoY) with EBITDA and Net Income grew by 13.9% and 6.4% YoY, respectively
Continued strong revenue growth with healthy margins
Consolidated Revenuegrew by 11.1% Year‐on‐Year (YoY) with EBITDA and Net Income grew by 13.9% and 6.4% YoY, respectively
Telkomsel Revenue grew by 12.1%, EBITDA by 9.0%, and Net Income by 11.3% YoY Telkomsel Revenue grew by 12.1%, EBITDA by 9.0%, and Net Income by 11.3% YoY
Data, Internet, and IT Services (exclude SMS) recorded the highest revenue growth, with 27.6% increase from 1Q14.
Telkomsel’s digital business grew by 37.4%, with data traffic jumped 110%.
Data, Internet, and IT Services (exclude SMS) recorded the highest revenue growth, with 27.6% increase from 1Q14.
Telkomsel’s digital business grew by 37.4%, with data traffic jumped 110%.
Continued leadership in infrastructure Continued leadership in infrastructurep
Telkomsel expands its 4G LTE network and services in key cities including Jakarta, Bali, Bandung, Surabaya and Medan
p
Telkomsel expands its 4G LTE network and services in key cities including Jakarta, Bali, Bandung, Surabaya and Medan
Strong Revenue Growth, Driven by D t B i
Data Business
Revenue YoY (Rp Trillion)
▲11.1%
▲11.1%
▲5.6%
8.0 8.5 ▲27.6%
▲5.2%
23 6
5.5
7.1
1Q14 1Q15
▼6.4%
▲47.6%
▼4.5%
21.3
23.6
3.3
2.3 3.4
2.2
1Q14 1Q15
1.2 1.1 0.9 1.3
Cellular voice Data, Internet, &
IT (excl SMS)
SMS Fixed line voice Interconnection Network and other telco service
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TOTAL Note: “Other” among others consists of CPE, Infrastructure Lease, Directory Assistance and USO.
Strong EBITDA & Net Income Growth g
EBITDA (Rp Tn) Net Income (Rp Tn)
▲ 13.9%
EBITDA (Rp Tn) Net Income (Rp Tn)
▲ 6.4%
12.4 Flexi Impairment
R 870 B i 1Q15 10.9
3.6 3.8
Rp870 Bn in 1Q15 vs Rp30 Bn in 1Q14
1Q14 1Q15 1Q14 1Q15
Manageable Operating Expenses g p g p
Operating Expenses YoY (Rp Trillion)
▲ 12.8%
▲20.2%
▲29.1%
6.2 1Q14
▲
5.1
3.9
5.1
1Q15
▼18.0%
▼1.1%
▲3.6%
▲0.7%
14.3 16.2
3.9
2.3 2.3
▼1,050.0%
1Q14 1Q15
1.3
0.9 0.7
(0.02)
1.0 1.0
0.7
(0.2) O&M D&A Personnel Interconnection G&A Marketing Other
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TOTAL
Telkomsel: Continued Solid Financial and O ti l P f
Operational Performance
YEAR‐ON‐YEAR ACHIEVEMENT
+12% 17.1
4.6 15.3
3 4
REVENUES
In Trillion
2 6 2 8
CAPEX PAID
Digital 37%37%
EBITDA NET INCOME
In Trillion In Trillion
8.5 9.2
4.4 4.9
In Trillion
11.9 12.5 3.4
1Q‐15 2.8
1Q‐14 2.6
8%
8%
5%
Legacy 5%
Business 37%37%
1Q‐15
1Q‐14 1Q‐14 1Q‐15
11%
11%
9%
9%
1Q‐15 1Q‐14
Margin 54%
55%
Margin 28%
29%
+15%
5.1 4.5 0 7
In Million In Thousand
TOTAL ASSET BTS ROLL OUT BTS ON AIR
In Thousand
+22% 90.6 74.3 0.9
CUSTOMER
In Trillion
82 9
141.5 132.7
4G 4G
3.9 0.7
3.5 0.0
47 0 42.7 74.3
43 8 30.6 0.0 10%
10% 40%40%
7%
7%
76.9 82.9
8%
8%
7%
7% 3G
4G
3G
0.9
43.8 47.0 -
-39%39% 7%7% 2G
Telkomsel: Continued Focus on Digital B i
Business
DIGITAL BUSINESS
YEAR‐ON‐YEAR ACHIEVEMENT
Broadband:
+37% 4.6 DIGITAL BUSINESS
REVENUE
In Million In Trillion
DATA USER
89.6 DATA TRAFFIC
In PB
Telkomsel BlackBerry 63 0 63 9
3.4
3.1
4.2
Di it l Broadband
38%
38% 42.7
110%
110%
Flash
y
Digital Services:
- Digital Lifestyle
63.0 63.9
2%
2%
1Q‐14 0.3
1Q‐15 31% 0.4
Digital 31%
Services
1Q‐15 1Q‐14
3G/4G CAPABLE 3G & 4G BTS 3G & 4G BTS
Digital Lifestyle - Digital Advertising
- Digital Payment & Mobile Banking - M2M
1Q‐15 1Q‐14
43 7 3G/4G CAPABLE
DEVICE
In Million
3G & 4G BTS ROLL OUT
In Thousand
3G & 4G BTS ON AIR
In Thousand 4 6
43.6 43.7 0.9
28.2 55%
55%
3G 4G
4.6
3.9 3.5 0.7
3.5 0.0
10%
10% 3G
4G
42.7 30.6
30.6 0.0
40%
40%
14 1Q‐15
1Q‐14 1Q‐14 1Q‐15 1Q‐14 1Q‐15
Telkomsel: Widest coverage
Population Coverage:
2G: ± 95% | 3G: ± 60%
Papua, Maluku, Papua, Maluku,
l l
l l
Sumatera Sumatera
Sulawesi, Kalimantan Sulawesi, Kalimantan CB portion: 22%
Sumatera Sumatera
CB portion: 28%
Greater Jakarta &
Greater Jakarta &
West Java West Java
CB portion: 24% Java & Bali Java & Bali CB portion: 26%
Flexi Spectrum in 800 Mhz to be utilized by Telkomsel
Completed Sulawesi‐Maluku‐Papua Cable S t (SMPCS) U til P
System (SMPCS) Until Papua
Kauditan‐Ambon‐
Sorong + branches
Sorong‐
Jayapura Sorong‐Waisai
y p
Kendari‐Ambon
Ambon‐Fakfak + branches
(Masohi, Bandaneira)
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Company Guidance 2015
Company Guidance 2015
2015 Management Guidance g
In line with or slightly above the market for TLKM and
Telkomsel, with focus on strengthening mobile broadband and
Revenue Growth , g g
accellerated fixed broadband through triple play and FTTH Revenue Growth
Slightly decline for TLKM and Telkomsel in line with EBITDA Margin
accellerated investment in digital business EBITDA Margin
Group (Consolidated): around 25% over Revenue
Mobile related: 60% ‐65%
Capex
Fixed broadband related: 20% ‐ 25%
Other business: 10%
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
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Maintain double digit growth
Grow digital business
Turn‐around fixed line
Drive digital business
Stretch & Expand int’l business
Strengthen footprint in regional
Jayalah Indonesia ! y
Jayalah Telkom Indonesia !
Th k Y
Thank You
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