Indonesian state-owned telecoms operator PT Telekomunikasi Indonesia (Telkom) reported a decline in quarterly profits in the first six months of this year, despite a rise in overall subscribers. The telco booked net income of IDR5.94 trillion (USD699.4 million) in January-June 2011, down 1.5% compared to IDR6.03 trillion in the same period a year ago. Telkom president director Rinaldi Firmansyah attributed the fall to a rise in operational expenditure, which reached IDR23.53 trillion. However, The Jakarta Post writes the executive also noted ‘significant year-on-year growth in the number of customers in its various business portfolios’ in 1H11, with the mobile subscriber base up 15.8% year-on-year to 102.3 million from 88.3 million previously. Furthermore, the operator’s fixed-wireless service, TELKOMFlexi, saw its user base climbing 17.9% to 18.7 million from 15.9 million, while fixed line (PSTN) users inched up to 8.42 million from 8.40 million. Telkom reported operating revenue of IDR34.46 trillion in the first six months of the year, up 2.2% from IDR33.71 trillion in the corresponding year-earlier period. Rinaldi also reported encouraging growth from its various internet services, with the total number of wireless broadband (Flash) subscribers increasing 74.4% to 5.19 million from 2.97 million at 30 June 2010.