29 Aug 2025

TM Q2 NET PROFIT RISES 1.7%, DECLARES 12.5 SEN INTERIM DIVIDEND

TM Q2 NET PROFIT RISES 1.7%, DECLARES 12.5 SEN INTERIM DIVIDEND Article Header
TM

KUALA LUMPUR, 29 August 2025 – Telekom Malaysia Berhad (“TM” or “The Group”) today announced its financial results for the second quarter ended 30 June 2025 (2Q 2025), reflecting resilience in a competitive market and continued progress on its strategic priorities.

During the quarter, Profit After Tax and Non-Controlling Interests (PATAMI) rose 1.7% compared to corresponding quarter last year to RM403.0 million, while Earnings before Interest and Tax (EBIT) grew 4.5% to RM640.0 million.

For the first half of 2025 (1H 2025), revenue stood at RM5.62 billion versus RM5.74 billion a year earlier, as a result of intensely competitive market. Meanwhile, the Group registered EBIT of RM1.19 billion, down 5.8% compared to corresponding period last year, mainly due to forex losses. Adjusting for these, underlying EBIT recorded growth, underscoring TM’s strong fundamentals, core operations and cost discipline in delivering profit despite revenue pressures.

The Group continues to demonstrate its focus towards value creation and disciplined capital management, as reflected in the improvement of Return on Invested Capital (ROIC) to 12.81% from 12.34% a year ago. TM maintains a positive outlook for the year and is confident in meeting its 2025 guidance.

The Board has declared an interim dividend of 12.5 sen per share, amounting to RM479.7 million for the financial year 2025, reaffirming its commitment to delivering sustainable returns to shareholders.

1H 2025 Segment Highlights

  • Business to Consumer (B2C): Unifi registered steady revenue performance and an increase in fixed broadband subscribers driven by Unifi UniVerse convergence offerings, fuelled by content and mobile take up. Its diverse range of device bundles continued to attract strong demands from various segments. Meanwhile, as the preferred partner to more than 400,000 MSMEs nationwide, Unifi Business segment remained a key driver, with tailored digital solutions that promote digital inclusivity.
  • Business to Business (B2B): TM One revenue was softer as several major projects and sizeable deals are expected to be completed in the second half of the year. Nevertheless, beyond connectivity services such as cloud and ICT recorded steady growth.
  • Carrier to Carrier (C2C): TM Global remains well-positioned, with a strong pipeline of large-scale border-to-border bandwidth requirements expected to be delivered by year-end. On the domestic front, the segment is on track with its data centre expansions and the delivery of 5G mobile backhaul in support of the national 5G agenda.

Investing for Future Growth

TM continues to strengthen its long-term position through strategic investments in digital technologies, encompassing AI infrastructure and applications, data centres, edge facilities, expanded fibre coverage, 5G mobile backhaul and submarine cable systems.

“Digital infrastructure and AI are no longer just a vision for TM. It’s becoming a reality, from the establishment of data centres, sovereign cloud and GPU-as-a-Service to various enterprise applications that continuously help businesses to unlock digital capabilities and growth,” said Amar Huzaimi Md Deris, Group Chief Executive Officer, TM.

“Equally important is ensuring digital inclusivity for all communities and businesses, while nurturing the right talent to power Malaysia’s digital future. Through our inaugural Jangkau Digital programme, we are reimagining Kampung Mukut in Pulau Tioman as the nation’s first Smart Eco-Village. At the same time, the launch of Malaysia’s first Faculty of Artificial Intelligence and Engineering at our education arm, Multimedia University, is a clear testament to this commitment. Together, these initiatives reflect TM’s greater purpose of empowering lives and ensuring no one is left behind in the digital era.”

Outlook

“While the market environment remains challenging, our results demonstrated resilience and ability to execute our strategic priorities. We are building positive momentum through stronger convergence growth, improved cost structures and disciplined capital management. With our investments in future-ready infrastructure, we are advancing towards our aspiration to become a Digital Powerhouse by 2030, while delivering sustainable value for our stakeholders,” Amar concluded.

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09 Sep 2025
TM and Scicom Form Strategic Partnership to Deliver World-Class, AI-Powered Customer Experience

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16 Dec 2021
TM inks agreement with DNB to provide fibre connectivity in accelerating rollout of 5G network services nationwide

With a total contract value of RM2 billion over 10 years, the signing of a Fibre Leasing Service agreement with DNB demonstrates TM’s commitment to enable the provision of 5G infrastructure in supporting the Government’s ambitious digital aspiration ​Telekom Malaysia Berhad (TM) today announces the signing of a Fibre Leasing Service agreement with Digital Nasional Berhad (DNB) to speed up the deployment of the Government-owned 5G network nationwide. Taking on a leading role in enabling a Digital Malaysia, and as the national connectivity and digital infrastructure provider, TM is at the forefront of technology and innovation to support the country as it moves forward to realise a more digital society, digital business, digital industry and digital Government by 2030. The term sheet agreement with a total contract value of RM2 billion over 10 years was duly signed by Imri Mokhtar, Group Chief Executive Officer of TM and Amar Huzaimi Md Deris, Executive Vice President, TM Wholesale while DNB was represented by Augustus Ralph Marshall, Chief Executive Officer and Dushyanthan Vaithiyanathan, Chief Operating Officer. Commenting on the signing, Imri said: “Today’s signing further reinforces the Government’s aspiration of putting in place Malaysia’s digital infrastructure and network. We have always been a strong advocate of infrastructure sharing in providing connectivity services and end-to-end solutions, to enable excellent wireless solutions and services.” DNB will be able to leverage on TM’s extensive fibre and network infrastructure, and subscribe to TM’s 5G RAN-to-Edge Fronthaul and Backhaul solution for the provision of fibre connectivity, enabling DNB to provide 5G network services nationwide. Under the agreement, TM will provide DNB with 5G fibre leasing services for connectivity between DNB’s 5G mobile sites and nodes, leveraging on TM’s domestic fibre cable network spanning over 640,000 km across Malaysia. Prior to this, TM along with other fibre providers in Malaysia had participated in the 5G Fiber Leasing Request for Quotation (RFQ) exercise conducted by DNB in June 2021. “As DNB’s selected partner in implementing the Government’s 5G network rollout plan in Malaysia, the signing of this Fibre Agreement is testament to our advanced network technology and workforce capabilities in delivering fibre solutions throughout the country. Critical in executing this mission is to ensure our network is robust to support the future requirements of 5G and further fuel technological innovation in Malaysia,” Imri added. “In delivering the fibre connectivity for DNB’s 5G network, the local telecommunications vendors and suppliers’ ecosystem shall benefit too, in areas such as engineering services, supply of fibre, accessories, poles, manholes and premise equipment. Based on our current fibre implementation, we expect more than 70% of the work to involve and benefit bumiputera and local companies.” “TM is also excited to utilise DNB’s 5G network to provide 5G services and solutions to our home, SME, enterprise and public sector customers. With the launch of DNB 5G network services yesterday, we will be able to test the 5G network and offer services on a trial basis in selected areas across Kuala Lumpur, Putrajaya and Cyberjaya,” Imri concluded. Today’s signing is in tandem with the implementation of Jalinan Digital Negara’s (JENDELA) action plan and cements TM’s commitment of enabling Digital Malaysia through MyDIGITAL. It is also in support of the Government’s other digital plans encompassing digital connectivity (domestic fiberisation, international connectivity), digital infrastructure (cloud, data centre and cybersecurity) and digital talents (via Multimedia University and TM Digital Academy).

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