01 Mar 2023
CONSOLIDATION OF TM’S BUSINESS IN MALAYSIA INTO TM TECH TO STRENGTHEN CONVERGENCE LEADERSHIP AND IMPROVE OPERATIONAL EFFICIENCY
Following the earlier communication on 14 December 2022, Telekom Malaysia Berhad (“TM”) today announced the internal reorganisation of its business in Malaysia into a single operating entity named TM Technology Services Sdn Bhd (“TM Tech”) following the approval of various bodies, including the High Court of Malaysia and the Malaysian Communications and Multimedia Commission.
Effective today, 1st March 2023, Telekom Malaysia Berhad will serve as an investment holding company for this single operating entity (TM Tech), along with other wholly owned subsidiaries, covering TM’s international, digital, education, support business and other non-wholly owned subsidiaries. This group in totality will continue to be governed by the current TM’s Board of Directors and managed by the same Senior Management team.
The reorganisation into TM Tech – which includes Unifi, TM One and TM Global, amongst others – marks the next phase of TM’s transformation that will reinforce its fixed-mobile convergence (FMC) position, further improve operational efficiencies and deliver a more seamless customer experience. Resource-wise, the reorganisation brings together the diverse talents, facilitating greater cross-functional collaboration and agility through more streamlined and simplified processes.
Group CEO of TM, Dato’ Imri Mokhtar explained, “As customer demand, increasing competition and stakeholder expectations reshape the industry, it is timely to consolidate our telco business in Malaysia into a single operating entity that will allow us to serve our diverse customer segments better and quicker, as well as drive operational efficiency.”
“We have recently notified all of our valued customers on this internal reorganisation via email and digital letters. At this point, for all payment transactions - the beneficiary name will now be “TM Technology Services Sdn Bhd” instead of “Telekom Malaysia Berhad”. All other payment details remain the same, such as the bank account and JomPAY code,” Imri added.
“The success of TM to shape a Digital Malaysia through technology that empowers communities, businesses and Government truly lies in our Warga TM. With majority of Warga TM realigned into this single operating entity, the individual job functions, entitlements and benefits will remain unchanged. Similarly, all of TM’s current obligations in terms of partnerships, vendor and service agreements will remain in effect.”
“We believe this reorganisation will strengthen TM’s role in advancing the country’s digital economy and to serve our growing customers in a more cohesive manner. It will reinforce TM’s competitive edge, solidifying our transition towards being a human-centred TechCo,” Imri concluded.
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Nurturing future digital leaders through YTM Future Skills Champion Schools
Enhances its adopted schools programme to be more holistic by embedding digital technology and leadership skills TM, through Yayasan TM (YTM), recognises the need to equip the next generation with the digital and technology skills required for Industrial Revolution 4.0 (IR4.0). In view of this, in 2014, YTM began its Science, Technology, Engineering, and Mathematics (STEM) oriented programmes, such as robotics, 3D modelling, coding, and big data analytics, to promote those subjects amongst students and education communities at schools nationwide. In 2020, the modules were conslidated into TM Future Skills (TMFS) programme, with the aim of making it more comprehensive and beneficial to the intended participants. The programme was tailored to the syllabus outlined by the Ministry of Education (MOE) and covered the nine (9) pillars of the IR4.0. It has been receiving positive feedback from the teachers and students involved and more schools have requested to be part of the programme. Supporting MOE’s aspiration for digital education transformation, YTM continues to spread the positive impact of TMFS in a more structured approach. Towards this end, the foundation has embarked on TM Future Skills Champion School (TMFS School) initiative, as a continuation of the TM School Adoption Programme with enhanced contents. TMFS Schools foster future digital skills by embracing digital technology in its classroom activities where leadership, design thinking and cognitive abilities were emphasised to prepare the students for future employment. SMK Gunung Semanggol (SMKGS) in Perak, with more than 90% of its students from B40 families, was selected as the first TMFS School, aligned with YTM’s aspiration to assist B40 students in rural areas. To further facilitate the initiative, YTM is establishing TMFS Digital Hub at TMFS Schools where the schools will be equipped with a PocketLab, robotics set, 3D printer, smart TV, desktop, and digital learning content to gain more interest from its students as well as the neighbouring schools. "SMK Gunung Semanggol was identified based on its active involvement in various STEM initiatives, including previous TMFS programmes. The school also has passionate and dedicated teachers, where they adopt integrated and innovative approach for more in-depth understanding of the modules among the students. With such exposure and capabilities, we are confident that SMK Gunung Semanggol is able to play the role as a hub to spread the digital technology knowledge to more students and teachers including at the five (5) neighbouring schools, and approximately over 20 secondary schools in the Kerian district," said Izlyn Ramli, Director of YTM, during the launching ceremony of TMFS School in November 2022. Throughout this three-year programme, YTM, together with its strategic partner, Creative Minds, will work with Multimedia University (MMU), Yayasan Universiti Multimedia (YUM), TM Perak, and other YTM's partners to design and deliver engaging programmes providing the tools and support for students in rural schools to flourish. "We are also happy to see that SMK Gunung Semanggol promotes the development of other skills, such as urban farming and entrepreneurship, to empower the local communities sustainably. So as we continue to identify more potential schools in more states of Malaysia, we hope this programme will unearth more talented students towards building a competitive and sustainable community in the future," she added. Salmah Iman, the Principal of SMK Gunung Semanggol, expressed her enthusiasm, "We feel honoured and privileged to be chosen as the first TMFS School in the Northern Zone and Malaysia. We are excited and look forward to share the positive impact of this programme with the nearby schools. As we are committed to ensuring that this programme achieves its goals, we are also confident that YTM's support and assistance will help these students be prepared for future employment and enhance their standard of living." At the event, Bakri Arsad, Chief Assistant Director of Mathematics and Science, Learning Sector, Perak State Education Department, said, "We welcome such initiatives through collaboration with the private sector, especially for rural schools that need exposure to digital technology. These programmes will inspire students to explore their potential beyond academics and increase the number of students choosing STEM-related fields." During the launch, guests had the opportunity to visit the Pusat Sumber Sekolah Pendeta Za'aba and experience content and materials created by the students based on specific themes including unique handicrafts and martial arts performances. Guests toured the school's urban farm, where they sampled delicious cuisine prepared by students from the special education class using produce from the farm. SMK Gunung Semanggol provided a wonderful ambience of positive vibes that attract students' engagement and boosted their creativity. 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TM Records Stronger 2Q 2023 Financial Performance; Sustaining the Group’s Growth Momentum
KUALA LUMPUR, 25 August 2023 – Telekom Malaysia Berhad (“TM” or “the Group”) recorded a stronger financial performance in the second quarter of the year that ended 30 June 2023, compared to the same period in the previous year. Its operating revenue grew 0.3% to RM3.10 billion, propelled by Unifi’s expansion which saw a substantial increase to 3.11 million fixed broadband subscribers. The growth was also due to TM Global’s solid 10.0% revenue growth driven by higher demand for domestic and international data services. Profit After Tax and Non-Controlling Interest (PATAMI) rose 50.4% from RM378.0 million to RM568.7 million due to lower net finance cost and the recognition of tax credits from unutilised tax losses. TM’s Capital Expenditure (CAPEX) allocation for the first half of 2023 stood at RM942.8 million, which accounts for 15.6% of the overall revenue for the expansion of network infrastructure to enhance nationwide coverage. Meanwhile, Earnings Before Interest and Tax (EBIT) was lower by 10.3% at RM630.0 million from RM702.7 million, due to higher preventive maintenance costs to better serve our customers and higher depreciation from revision of asset useful life. TM declared a higher Interim Dividend of 9.5 sen per share. This is a testament of the Group’s positive financial performance and its ongoing commitment to shareholder value. Commenting on these results, Amar Huzaimi Md Deris, TM’s Group Chief Executive Officer said, “We are pleased with this quarter’s performance, which is marked by overall positive results across our Lines of Business (“LOBs”). These achievements further strengthen TM’s growth momentum in facing a more competitive market.” “In the coming months, TM expects to face a more challenging marketplace but remains confident in our overall positive financial performance. The Group remains steadfast to continue strengthening its core business to be commercially sustainable whilst also continuing to contribute to the nation’s growth. “TM is excited by the huge potential of fixed, mobile and lifestyle convergence in the digital market, as well as digital infrastructure and solutions for MSME, enterprise and government sectors, whilst pursuing to capture opportunities from International partners including hyperscalers. “We also remain committed to continuously invest in expanding our network to enable the nation’s progress towards a Digital Malaysia. TM will continue to collaborate closely with the Government to serve as the nation’s trusted partner to grow Malaysia’s overall connectivity and digital ecosystem, including 5G,” Amar concluded. 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TM One Drives Innovation with Smart Solutions and Private 5G Advancements TM One experience a decline in revenue by 11.4% to RM732.0 million in 2Q 2023 as a result of price reductions in connectivity services and lower one-off revenue from customer projects. To mitigate this, TM One is driving the rapid development of smart innovative solutions for verticals such as smart cities, healthcare, agriculture and industries. As a trusted digital partner for large enterprises and government, TM One is also leading Private 5G propositions and solutions across diverse industries spanning across oil & gas, transportation hubs and manufacturing to drive the country’s advancement. As the largest local cloud provider, TM Cloud Alpha remains the preferred local sovereign hyper-scaled cloud for data residency and locality in Malaysia. It has also reinforced its role in shaping Malaysia’s modern urban landscapes by being the strategic partner for smart city low-carbon initiatives with local councils. Along with its growing local and global partnerships, it has been appointed to implement and support various digital transformation programmes for its customers. In recognition of its industry excellence across a suite of end-to-end next generation business solutions, TM One received the accolade for "Best Enterprise Telco" from PC.com. TM Global on track to make Malaysia the preferred digital hub for ASEAN TM Global recorded a 10.0% solid revenue growth from RM739.9 million to RM813.6 million, contributed by higher demand for both domestic and international data services. TM Global remains steadfast in solidifying its stature as Malaysia’s preferred network infrastructure provider, catalysing digital industry and 4G/5G ecosystem while simultaneously positioning the country to become a digital hub for ASEAN. TM Global continues to deploy its 4G/5G fibre backhaul rollout and drive greater demand for High Speed Broadband Access (HSBA) ports, reinforcing its commitment to support the Government’s aspirations for digital inclusivity in the country. Beyond borders, TM Global has reinforced its position by enriching the platform play services via strategic collaborations with partners on A2P SMS Gateway in Philippines and Content Delivery Network (CDN) Last Mile Delivery in Thailand. Additionally, TM Global continued to cater to mega bandwidth requirements with dynamic and customised solutions for hyper-scalers as well as global service providers, cementing its significance on the international stage.
TM helps local entrepreneurs in Perlis to meet their digital needs
“Program Usahawan Digital Bersama TM” is set to empower local entrepreneurs in Beseri and Padang Besar with digital tools Telekom Malaysia Berhad (TM), through TM Perlis and Kedah, today organised a special programme on digital awareness for local entrepreneurs in Beseri and Padang Besar at Dewan KEMAS, Alor Tampang, Beseri, Perlis. Aptly titled "Program Usahawan Digital Bersama TM", the programme was officiated by YB Datuk Zahidi Zainul Abidin, Deputy Minister of Communications and Multimedia Malaysia. Also present were YB Rozieana Ahmad, Exco of Education, Human Resource Development, Science and Technology Innovation, Information Technology and Communications, Datuk Rozlan Mohamed, Regional Head Northern, TM, Anis Ahmad Mohd Ibrahim, State General Manager, TM Perlis and Kedah, as well as Azhar Abdul Rahman, State Office Director, Malaysian Communications and Multimedia Commission (MCMC). Speaking at the event, YB Datuk Zahidi said: "The Government continues to organise programmes skewed towards the development of digital economy, which are very relevant in today's new normal. In shifting the entrepreneurs to digital journey, it needs to be supported with the right skills and knowledge in ensuring the entrepreneurs' sustainability. Thus, we laud TM's initiatives such as today's event to increase the digital awareness and further promote the adoption of digital tools amongst the local entrepreneurs, including in sub-urban area." Meanwhile in his speech, Datuk Rozlan said that this programme reflects TM's commitment towards enabling the digital economy. "Digital is the way to go and "the name of the game" for businesses nowadays. So businesses, including local entrepreneurs need to keep abreast of and quickly adapt the digital technologies to stay ahead. Today's "Program Usahawan Digital Bersama TM" is among our initiatives to facilitate this and we are excited to play our role towards this end." "We have various solutions for entrepreneurs to get on board the digital journey to grow their business further. So, we really hope they will grab this opportunity to get business tips and know-how for their benefits. In addition, we are rapidly upgrading our network infrastructure in Beseri and Padang Besar to Fibre-to-the-home (FTTH) to enable communities in the areas to enjoy unifi high speed broadband services. This fits well with the Jalinan Digital Negara (JENDELA) action plan which aspires to deliver connectivity for all," he added. The overall network upgrading exercise for Perlis is expected to be fully completed by end of 2021. At the event, TM Perlis and Kedah also handed over its zakat contribution of RM250 each to 15 selected asnaf residing in Beseri reflecting its caring side to the communities.
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