Indosat’s first-quarter up 27% y-o-y on mobile

28 May 2008

Indonesia’s second largest telecoms group Indosat says its mobile arm Satelindo helped drive a 27% year-on-year rise in first-quarter net profits to IDR613.9 million (USD65.87 million), up from IDR483.9 billion in the corresponding period of 2007. Quarterly revenues were up 13% y-o-y at IDR4.27 trillion, although operating profit flat-lined at IDR1.05 trillion, from IDR1.04 trillion previously. EBITDA grew 9.3% in the last year to IDR2.2 trillion. Satelindo had 26.4 million mobile subscribers by 31 March 2008, up from 18.02 million a year earlier. Reuters quotes Indosat president Johnny Swandi Sjam as saying that the group hopes to add ‘at least’ eight million new cellular users this year, although he concedes that strong competition and weak consumer purchasing power could drive down average revenue per user (ARPU) by as much as 15%-20% this year, steeper than its previous estimate of between 10% and 12%.

Indonesia, Indosat Ooredoo (incl. IM2)