Telkom’s Q1 profit down 23%, report says

11 May 2009

Indonesia’s largest telecoms group by revenues and subscribers, PT Telekomunikasi Indonesia (Telkom), said its net income for the three months ended 31 March 2009 plummeted 23% year-on-year on the back of a sharp rise in operating expenses, The Jakarta Post reports. The telco’s net profit reached IDR2.5 trillion (USD241.1 million) in January-March, down from IDR3.21 trillion in the corresponding period of 2008, while turnover dipped by 2% to IDR14.7 trillion. Meanwhile, the group’s first-quarter operating costs and revenue costs rose 11% and 93% respectively to IDR9.4 billion and IDR533 billion. Last month CommsUpdate reported that Telkom’s full-year 2008 unaudited profit fell nearly 20% – the worst drop in three years – largely the result of significant losses suffered on the foreign exchange markets. The operator’s net income fell to IDR10.3 trillion (USD957.9 million) from IDR12.86 trillion in 2007.

As at 31 March 2009 Telkom had 716,000 ADSL subscribers, up 144.8% from 292,000 in the first quarter of 2008. The operator’s fixed-wireless user base rose by 99.4% to 13.4 million over the same period, while mobile subscribers expanded by 40.5% to 72.1 million subscribers.

Indonesia, Telkom Indonesia, Telkomsel (Telekomunikasi Selular)