26 Nov 2019

TM reports operational improvement for 3Q 2019 amidst challenging environment

TM reports operational improvement for 3Q 2019 amidst challenging environment Article Header
TM
UNIFI
TM One
TM GLOBAL

Telekom Malaysia Berhad (TM) today announced its financial results for the quarter ended 30 September 2019.

  • ​Financial and Operational Highlights as at Year-to-Date (YTD) September 2019 vs YTD September 2018:
    • Group Revenue of RM8.40 billion, 3.8% lower against YTD September 2018 – in line with guidance- mainly due to lower contribution from all lines of products except data and non-telecommunication related services.
    • Group Reported Earnings Before Interest and Tax (EBIT) for YTD September 2019 increased to RM1.20 billion, from Loss Before Interest and Tax (LBIT) of RM187.3 million over the corresponding nine (9) months period last year, on the back of lower operating cost, from the Group's various cost optimisation initiatives. 
    • Group Reported Profit After Tax and Non-controlling Interests (PATAMI) showed significant improvement with a 718.9% growth YTD to RM683.8 million, from RM83.5 million in the corresponding period last year. Stripping off non-operational items, Normalised PATAMI stood at RM810.9 million, higher by 53.7% against the same period last year.
    • The total capital expenditure (CAPEX) was within guidance at 8.8% of revenue or RM736.0 million. Out of the amount spent, 16% was made for Core Network, 58% for Access and the balance 26% was made for Support System.
  • unifi updates:
    • Increased YTD convergence penetration to 55% of TM Households compared to 48% in 30 September 2018.
    • Total broadband customers as at 30 September 2019 was more than 2.15 million.
    • #khabarbaik customer experience related initiatives in 3Q2019:
      • Streamlined all Streamyx packages to a new unifi Lite plan at RM69/month for existing Streamyx customers.
      • Introduced unifi Air to elevate the internet experience of existing Streamyx customers residing in TM's LTE coverage areas.
      • Launched an all-in-one app; myunifi for an easy experience in managing unifi account.
  • TM ONE updates:
    • Signed a series of MoUs and cross-industry strategic digital collaborations with Ministry of International Trade and Industry (MITI), Ministry of Rural Development, Global Health, UMW Corporation Sdn. Bhd. (UMW), Open University Malaysia (OUM), Bintang Urusjuta (M) Sdn Bhd and Digital Perak Corporation Holdings (DigitalPerak).
    • TM ONE further demonstrated its capability to enable digital businesses and government with ten (10) smart solutions and end-to-end Hyperconnected Ecosystem.
    • Held its annual flagship event LEAP Summit 2019 themed "Creative Disruption – Get Ready for It!" to share the successes and lessons from global creative disruptors and provide in-depth insights on industry trends towards Industrial Revolution 4.0 (IR 4.0).
  • TM GLOBAL updates:
    • TM as the National Telecommunication Infrastructure Provider continues to serve as the industry backbone - serving and collaborating with all other licensed operators in Malaysia as the strategic enabler of the Government's National Fiberisation and Connectivity Plan (NFCP) towards reaching more underserved areas nationwide and supporting 5G requirements with its ready and upgraded network infrastructure.

 

Dato' Noor Kamarul Anuar Nuruddin, Group Chief Executive Officer, TM, commenting on the results:

"Overall, in 3Q 2019 we saw continued improvements in our fundamentals. I'm pleased to report that our cost management initiatives under our performance improvement plan carried out since last year continues to yield results with profitability improvement. We have managed to keep a closer eye on our operational efficiencies to deliver sustained profitability with lower YTD OPEX/revenue. However, in line with sector contraction, our revenue challenges still persist on the retail front, in line with our expectations and 2019 market guidance.

Our CAPEX for YTD September 2019 is well within guidance, totalling 8.8% of revenue, and on track as we continue our targeted investments to ensure we deliver better service experience for all our customers.

We continue to offer attractive unifi products and promotions to acquire more customers, whilst addressing Streamyx customers and coverage pain points with price adjustments and our wireless offerings. Over the last three months, we have expressed our intention to be the key driver for Malaysia's Digital Nation aspirations. TM is ready to propel the nation into Industrial Revolution 4.0 (IR4.0) with our proposal to be the nation's infrastructure provider in both the fixed and mobile space. This commitment is reinforced with our participation in the 5G demonstration projects and our preliminary moves toward building infrastructure readiness. In the next few months, we will be showcasing our 5G use cases in SS15, Subang Jaya, Selangor and Langkawi, Kedah in collaboration with local municipal councils and other potential partners. The use cases will cover Big Data Analytics, Smart City, Smart Tourism and Smart Agriculture clusters. The deployment of our tested and proven 5G-enabled smart solutions for the showcase are testament of our commitment in humanising technology towards making life easier, and enriching the quality of life for all Malaysians."

Prospects for the Financial Year Ending 31 December 2019

The Group's performance improvement initiatives and efficient cost management continue to improve our profitability. Our focus remains toward our customers, and to strengthen the Group's performance by investing to improve customer experience across segments to grow our revenue.

YOU MAY ALSO LIKE

28 Jun 2023
TM Committed For Success Of TVET Madani

Following the official launch of ‘Portal TVET Madani’ and the exchange of Memorandum of Collaboration with the Government today, TM has reaffirmed its commitment to the success of TVET Madani through its tailored vocational education modules along with RM3.5 million contribution for training facilities and scholarship.   TM is presently in the final stage of discussions with several TVET institutions to form partnerships that will help transform these institutions into industry-ready technical development centres, towards enhancing the employability of their graduates.   This will be achieved through the introduction of industry-relevant modules on fibre networks and digital skillsets, the certification of trainers aligning to industry standards, as well as examinations for student certification.   The company plans to develop highly qualified and experienced instructors among its partner institutions to provide expert guidance, especially for B40 students, throughout their vocational journey, and to offer mentorship and support to help them succeed.   TM also plans to equip its partner institutions with access to requisite facilities, relevant modern equipment and technology that will provide students with hands-on learning experience that prepares them for real-world fibre network and digital work.   TM shall invest RM2.5 million to upgrade the facilities and equipment to selected TVET institutions and a further RM1 million in scholarships for students from the B40 group.  As a start, this will facilitate employment opportunities for close to 400 graduates per year to work within its business eco-system.   “TM is pleased to announce its commitment to the Government’s TVET Madani initiative through a comprehensive programme that will address the entire value chain. With our strong focus on skills development and industry-relevant training, TM is determined to transform lives and bridge the gap between education and employment for a digitally skilled future workforce,” said Datuk Imri Mokhtar, Group Chief Executive Officer of TM.   “Across TM’s eco-system, we have over 430 fibre contractor partners, 880 vendors and over 90 TM 5G Sphere technology partners that will provide graduates close to 400 skilled job openings in the near future.   “Vocational education will continue to play a crucial role in nurturing a skilled workforce and driving Malaysia’s digital economic growth. By equipping young Malaysians with the practical knowledge and skills needed in our telco and technology sector, we aim to empower the next generation of skilled talents to pursue meaningful careers and contribute to the development of communities and the nation,” he concluded.

07 May 2021
unifi offers subsidised mobile internet plans through Jaringan Prihatin Programme

Introduces unifi Mobile 39 postpaid plan, now priced at only RM24 (exclusive of SST) per month with RM15 monthly subsidy from the Government In support of the Jaringan Prihatin programme announced by the Government through the Malaysian Communications and Multimedia Commission (MCMC), unifi is offering unifi Mobile 39 postpaid plan and unifi #BEBAS prepaid plan to Malaysians who are eligible for Bantuan Prihatin Rakyat ("BPR"). Understanding the need for fast and efficient data, especially when many need to stay connected constantly in the current digital age, unifi is offering these mobile plans designed to give more value in the form of FREE mobile data to its customers for 12 months. The postpaid plan; unifi Mobile 39, is now priced at only RM24 (exclusive of SST) per month with a RM15 monthly subsidy from the Government. The plan also comes with a whopping additional 30GB LTE data per month on top of the existing 5GB of data quota. Meanwhile, the unifi #BEBAS prepaid starter plan priced at RM10 comes with a 2GB data quota monthly and free 1GB LTE data daily. "We applaud the Government's continuous efforts in helping the B40 group to stay connected. It is especially crucial now where aggressive digital transformation is happening in our society. We hope that BPR recipients will find unifi Mobile as the most suitable mobile plan for them and take this opportunity to enjoy unifi's seamless mobile and Internet offerings, along with the Government's subsidy. We hope to ease the financial burden of this group and help bridge the digital divide," said Anand Vijayan, Chief Commercial Officer, Telekom Malaysia Berhad (TM). He added, "In line with TM Group's unique role as the enabler of Digital Malaysia, we will continue to deliver the best broadband experience to our customers. We will also actively play our part in realising the Government's aspirations of bridging the digital gap through various initiatives such as Jaringan Prihatin, MYBAIKHATI, PEMERKASA, and beyond, transforming Malaysia into a fully digital society." The details of unifi Mobile 39 Postpaid plan and unifi #BEBAS postpaid plan are as below: unifi Postpaid Prepaid Plan Name unifi Mobile 39 #BEBAS Data Quote 5GB (4GB LTE & 1GB 3G/LTE) 3GB LTE Call/SMS Quota 50 mins call & 25 SMS N/A Jaringan Prihatin Subsidy RM15/month for 12 months 2GB* LTE data/month for 12 months Extra Value from unifi 30GB LTE data/month for 12 months 1GB LTE data daily for 12 months Contract No No Monthly Fee RM24 exclude 6% SST N/A Subscription channel www.unifi.com.my/jaringanprihatin mobile@unifi app

15 Feb 2024
MAYBANK ISLAMIC AND TM FORGE PARTNERSHIP TO DELIVER FIRST ISLAMIC BANKING AS A SERVICE SOLUTION POWERED BY 5G

KUALA LUMPUR, 15 FEBRUARY 2024: Maybank Islamic Berhad and TM, the nation’s leaders in Islamic banking and telecommunications, have forged a partnership to deliver the country’s first Islamic Banking as a Service (BaaS) solution powered by 5G. Designed for consumers and micro, small and medium enterprises (MSMEs), this collaboration combines the best of Maybank Islamic’s diverse financial services and TM’s recognised Uni5G Postpaid Biz mobile packages, creating seamless access and experiences for today’s digital customers. With local entrepreneurs and MSMEs to gain the most, Maybank Islamic and Unifi Business, TM’s digital business solutions arm, today launched their inaugural ‘Go Niaga’, a mobile business banking bundle to help businesses manage finances, improve incomes and offer digital payment options powered by secure 5G connectivity and networks. The bundle will address current market gaps among this segment, and enable businesses to better participate in e-Commerce and expand their customer reach. Dato’ Mohamed Rafique Merican, Maybank Islamic’s CEO, said, “This partnership between Malaysia's largest telecommunications company and the country's leading Islamic banking institution opens up unique opportunities for us in delivering Islamic banking services to customers. This partnership is a significant step forward in financial inclusion. By embedding Maybank Islamic’s BaaS solutions within Unifi Business’ platforms, previously unbanked or underbanked individuals and businesses will gain access to Maybank’s essential financial services and 5G mobile connectivity through TM’s cutting-edge technologies.” “While the technology originates from the BaaS concept, what makes it unique is its adherence to Islamic principles, making it the pioneering example of its kind in Malaysia. It combines modern technology with the ethical requirements of Islamic finance, providing innovative and faith-based financial services,” he said. Shanti Jusnita Johari, Chief Commercial Officer for Consumer Strategy & Business at Unifi, said, “MSMEs are a key growth engine for the nation’s economy. At present, this segment accounts for nearly 38% of Malaysia’s GDP, yet their potential is often dimmed by limited access to digital tools and financial services. This is even more apparent among underserved segments, micro and small businesses who face the most challenges in accessing financial services and digital innovations that are necessary to elevate their lives and livelihoods. “As a trusted partner to more than 400,000 MSMEs across the nation, we believe this partnership is a timely intervention to effectively address these challenges and help local businesses seize the opportunities of the digital economy. This partnership is the next milestone in our vision to become a digital powerhouse by 2030 and our mission to power a Digital Malaysia, improving businesses and communities through technology, and paving the way for a digitally inclusive nation,” Shanti shared.   Highlights of Maybank Islamic and Unifi Business’ Go Niaga offering As the first bundle from Maybank Islamic and Unifi Business’ joint collaboration, the Go Niaga mobile business banking bundle aims to address the essential banking needs of local entrepreneurs and MSMEs. To help local businesses streamline their operations, the Go Niaga bundle offers: a)    A lower minimum deposit of only RM 100 for customers to open an SME First Account-i – allowing them to clearly segregate their personal and business accounts that will help improve their long term credit rating. b)    Payment acceptance facilities through Maybank Islamic’s QRPay Biz, and Tap2Phone – enabling cloud POS via mobile devices to facilitate digital / card payments. c)    Credit Facilities including Maybank Islamic’s SME Digital Financing: Aspirasi Wanita Programme – providing more entrepreneurs access to funds that could help them stabilise and expand their business. d)    Uni5G Postpaid Biz 39, Uni5G Postpaid Biz 55 and Uni5G Postpaid Biz 89 mobile plans bundled with free 5G mobile devices – ensuring secure access to financial services anywhere, anytime and bringing 5G capabilities to more communities. e)    Cash rebates for Unifi Mobile bills when customers sign up and activate Maybank Tap2Phone merchant payment facility bundled with Uni5G Postpaid Biz packages. This initial offering will be made available from 21 February until 29 May 2024. Customers are welcome to visit selected Unifi Stores on Tuesdays, selected Maybank branches on Wednesdays and selected Pusat Ekonomi Digital (PEDi) nationwide on event days, to find out how they can benefit from these offerings. For more info, please visit maybank.my/goniaga or http://biz.unifi.com.my/goniaga

NEWSLETTER

Just drop your details and stay updated with the world of Telekom Malaysia. We promise – no spam!​