Telkomsel’s 2007 revenues climb 24% on strong subscriber growth

16 Jan 2008

Indonesia’s leading mobile operator by subscribers PT Telekomunikasi Selular (Telkomsel) has reported a 24% year-on-year rise in revenues in 2007 to IDR29.15 trillion (USD3.09 billion), driven by sustained subscriber growth. Commenting on the strong performance, Telkomsel president director Kiskenda Suriahardja said the cellco was upping its CAPEX for 2008 from USD1.5 billion to USD1.7 billion to further improve coverage and service quality. The operator, which is 65% owned by the country’s largest telecoms company Telkom and 35% owned by Singapore’s SingTel, hopes to boost revenues by 15% in fiscal year 2008. ‘We are trying to maintain our EBITDA (earnings before interest, tax, depreciation, and amortisation) level. Last year we had an EBITDA margin of 69%’, Reuters reports Suriahardja as saying. Telkomsel had 47.8 million users as at 31 December 2007 and Suriahardja says the total could break the 50 million barrier by the end of this month, following a decision to cut pre-paid tariffs.

Indonesia, Telkomsel (Telekomunikasi Selular)