21 Sep 2018
TM reiterates commitment to enhance the broadband experience of Streamyx customers
Telekom Malaysia Berhad (TM) today reiterated its support of the Government’s aspirations of improving the reach and experience of broadband services in Malaysia, and its commitment to address the issues faced by Streamyx and its loyal customers in a more comprehensive manner.
In July, TM announced its upgrade plans for Streamyx (pre-unifi) customers tounifiin coverage areas or double the speed for those in non-coverage areas. The upgrade will enable its existing broadband customers to experience faster speeds at their existing package price. Following the announcement, TM has received many enquiries and much feedback from customers who are eager to know whether they are eligible for the speed upgrade. TM is grateful for the feedback given and is working hard to realise the broadband aspirations.
TM has been continuously investing to enhance both its fibre and copper network over the years to deliver high speed broadband with wider nationwide coverage. The copper network is a legacy network and has always faced many challenges, mainly technological limitations. This requires a longer term and more permanent solution, which will take time to implement. Additionally, TM has continuously invested in the rollout of LTE 4G network and WiFi hotspots to complement its fixed network to provision broadband services anywhere, anytime via home@unifi, mobile@unifi and wifi@unifi. TM’s LTE 4G services coverage currently exceeds 77% of the household population in urban and rural areas and together with our partner, complimenting it with 90% 3G services coverage. To enable the convenience of mobility, the Company also enhanced its WiFi coverage and service quality with more than 12,000 hotspots nationwide to date.
Through its Broadband Improvement Plan which began in 2016, TM has been working hard to enhance the experience of both unifi and Streamyx customers, concurrently. Understandably, it has been easier to execute the unifi speed upgrades, which are served by fibre. TM is now giving specific focus to Streamyx and high-rise broadband customers served through its own or the buildings’ copper networks.
Imri Mokhtar, Executive Vice President of unifi, said: “Over 1 million home and business customers nationwide are today on broadband over TM’s copper network – both on landed and high-rise properties. With rising demand of a more digital lifestyle and business needs, what was before termed as a high speedinternet’, may not cut it anymore. We hear your 1 million voices. We remain committed as Malaysia’s nation building partner to invest and build the needed network that brings value to our customers, shareholders and other key stakeholders and for the country’s digital economy.”
“Based on our customer and network analytics, over 340,000 customers reside in a fibre broadband area, but are somehow not yet part of the 1.26 million unifi community. To date, we have successfully upgraded nearly 50% of these customers to unifi at no extra cost to their current bill. We urge remaining customers to grab this opportunity and complete this attractive unifi upgrade exercise by March 2019,” he added.
Imri explained: “Starting from 2010, TM has continuously expanded Malaysia’s fibre broadband coverage. Nonetheless, such coverage is yet to reach all of our existing broadband customers. Copper limitation is more pronounced for Streamyx customers, with 8Mbps being the best broadband speed that can be delivered today. We value your trust and sincerely appreciate your loyalty and more so for your patience and understanding. Where technically possible, we shall double the Streamyx speed at no extra cost to your current broadband bill. Close to 180,000 Streamyx customers can look forward to this free upgrade.”
Streamyx customers who are eligible for the speed upgrade will be contacted via email and phone. TM urges customers to update their latest contact details i.e., telephone number and email address to facilitate this process. This can be done both via the unifi portal and unifi care app. To address the remaining Streamyx customers, TM is working towards a more definitive solution and has initiated discussions with major stakeholders to deliver better broadband experience nationwide by exploring various fit-for-purpose technologies.
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TM reports operational improvement for 3Q2018 despite challenging environment
Key Highlights of 3Q2018: Group Revenue of RM2.95 billion Group Reported Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) at RM941.4 million Group Reported Loss After Tax and Non-controlling Interests (LATAMI) of RM175.6 million from impairment of network assets Key Highlights of YTD 2018: Group Revenue of RM8.73 billion Group EBITDA at RM2.55 billion Group Reported Profit After Tax and Non-controlling Interests (PATAMI) at RM83.5 million Announces Revised Dividend Policy Telekom Malaysia Berhad (TM) today announced its financial results for the quarter ended 30 September 2018. The Group saw steady operational performance, amidst heightened challenges in its operating environment, namely industry and market challenges impacting its revenue. The Group held revenue steady, at RM2.95 billion in 3Q2018, 0.3% higher from RM2.94 billion in the previous quarter, on the back of higher data as well as other telecommunication related services revenue. Group Reported Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) for 3Q2018 grew 11.3% to RM941.4 million as compared to RM845.9 million in 2Q2018 mainly due to lower operating costs. Group Normalised EBITDA, which excludes non-operational items, increased 13.1%, at RM930.9 million. However, due to impairment loss on wireless and fixed network assets, the Group recorded Loss Before Interest and Tax (LBIT) at RM631.8 million for 3Q2018. Without the reported impairment and other non-operational items, the Group’s Normalised Earnings Before Interest and Tax (EBIT) is at RM315.6 million for 3Q2018, a 39.4% increase against Normalised EBIT of RM226.4 million in 2Q2018. Consequently, the Group reported Loss After Tax and Non-controlling Interests (LATAMI) of RM175.6 million compared with RM102.0 million Profit After Tax and Non-controlling Interests (PATAMI) in the prior quarter. TM’s core net profit, or Normalised PATAMI excluding non-operational items, stood at RM266.4 million, a 71.0% improvement sequentially. The total capital expenditure (CAPEX) investment for the first nine months of 2018 at RM1.32 billion, or 15.1% of revenue. This is within TM’s full year capex guidance of 19-20% of revenue. By asset type, access comprised 62% of total spending, followed by core network at 15% and the remaining 23% was for support systems. Imri Mokhtar, Acting Group Chief Executive Officer, TM said: “We continue to face various headwinds from competitive market dynamics. Nonetheless, we held revenue steady over the quarter, and saw our cost reduction initiatives bearing fruit, by recording improved operational performance for QoQ and YoY. However, in light of the continued pressure from industry and market challenges and its impact on our revenue thus far, we have taken a prudent view, by undertaking the impairment of our network assets – this resulted in close to a RM1.0 billion impairment loss this quarter.” “The operational improvement in 3Q2018 is testament to the Group’s commitment to the four (4) pillars of our Performance Improvement Programme (PIP 2018) - Revenue Uplift / Preservation, Sustained Profitability, Improved Cash Flow and Increased Productivity that will navigate us through these headwinds. We are rationalising our business, reducing operating costs and focusing our resources on the opportunities that will have the most impact,” Imri elaborated. “We currently have 2.29 million broadband customers and our unifi customer base continues to grow at 1.26 million as at end of 3Q2018 as compared to 1.06 million as at the end of the corresponding quarter last year. In terms of convergence, we saw more customers moving up the value chain with having triple-play services and above, evidenced by our convergence penetration now at 48% of TM’s household penetration compared with 39% this time last year,” he added. “We will continue to strengthen our products and services portfolio and we are stepping up how we aggressively compete in the market, with greater sales and Go-To-Market activities on the ground. We are also working hard to reach more customers with various fit-for-purpose technologies to ensure that everyone can have the benefit of higher broadband speeds and enhanced experience. 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In light of the current operating landscape and after careful consideration of the potential impact on our earnings alongside our efforts to transform the Company to adapt thereto, the Board has determined the review of our dividend policy to support TM’s long-term strategic objectives.” As Malaysia’s Convergence Champion, TM remains committed to fulfilling Malaysians’ digital and communication needs of all customer segments i.e., consumer, SME, corporate enterprises, public sectors, access seekers etc via our business clusters, unifi (consumer & SME), TM ONE (Enterprise and Public sectors) and TM Global (Global and Wholesale). Prospects for the Current Financial Year Ending 31 December 2018 The recent industry challenges and market environment have had major impact to the overall revenue estimates and earnings of TM Group in the financial year. TM anticipates that the challenging environment will persist for both its retail and wholesale segments. In the midst of these challenges, TM will continue to focus towards strengthening performance of its core business and operations.
TM eases the burden of its adopted school
Zulkarnain Hassim, Assistant Manager, TM Miri (2nd from right), representing TM Sarawak handing over the mock cheque of the contribution to Raja Manikam, the Principal of SMK Medamit (2nd from left), flanked by Azizul Salfaizal Aziz, Assistant Manager, Corporate Responsibility, TM (left) and Dayang Rohani Bujang of TM Sarawak (right). Telekom Malaysia Berhad (TM) recently lent a helping hand to one of its adopted schools, Sekolah Menengah Kebangsaan (SMK) Medamit, Limbang, Sarawak with a cash contribution of RM13,000.00 to help rebuild the school’s administration building which was destroyed in a fire recently. Zulkarnain Hassim, Assistant Manager, TM Miri who represented Jafer Sadig Abdul Lathiff, State General Manager, TM Sarawak handed over the cash contribution to Raja Manikam, the Principal of SMK Medamit. Commenting on the initiative, Jafer Sadig said; “We hope this contribution will assist and alleviate some of the school’s burden to rebuild its administration building as well as to purchase the necessary office equipment, especially with the school’s new season has already begun. TM will continue to support and lend a helping hand to those in need in any way possible, including towards a nation-building cause through sustainable initiatives. Furthermore, SMK Medamit is one of the schools under TM Adopted School programme which is part of TM’s Corporate Responsibility initiative.” Meanwhile, members of the public can contribute to Tabung Bantuan Kebakaran SMK Medamit, which was launched via TM’s e-donation application called ‘Ensani’.
TM Melaka contributes pendarfluor lamps to those in need in Melaka
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