Telekom Malaysia has reported a ‘healthy’ financial performance in the first six months of 2014, with group revenue rising 8% year-on-year to MYR5.442 billion (USD1.67 billion). With the telco attributing the increased turnover in part to growth in internet services revenue, which was up 13.3% against H1 2013 at MYR1.453 billion, data revenues were also higher than in the year-earlier period, at MYR1.250 billion (H1 2013: MYR1.191 billion). However, turnover in the fixed voice sector declined in the six months ended 30 June 2014, falling to M YR1.768 billion down from MYR1.814 billion in the corresponding period of 2013.
The telco reported that its operating profit was up 4.4% y-o-y, at MYR655.7 million, meanwhile, on the back of the increase in revenue, while profit before tax (PBT) surged by 24.9% to MY589.0 million in H1 2014. Profit after tax and non-controlling interest (PATAMI) for the period under review was marginally lower against the first half of 2013 at MYR424.7 million, however, with TM citing the absence of tax incentives related to its High Speed Broadband (HSBB) project as the reason for this.
Echoing the revenue trend, fixed broadband accesses were up year-on-year, with TM reporting a total of 2.251 million high speed internet customers at the end of June 2014. Of that total, 673,000 were taking the service over its fibre-based infrastructure, up from 577,000 a year earlier, with xDSL connections numbering 1.578 million, almost unchanged from 1.576 million. Fixed voice lines declined to 4.321 million, however, with traditional copper accesses declining by 4% to 3.648 million, down from 3.800 million at end-June 2013.
Commenting on the company’s performance, TM’s group CEO Tan Sri Zamzamzairani Mohd Isa noted: ‘I’m pleased to announce that for the first half of 2014, we recorded positive improvements with a strong set of results as compared to the corresponding period last year … The continued growth affirms the progress of our current and past marketing, operational and financial initiatives which were well planned and executed. We have identified key areas which are pivotal to our continued growth and are pleased to see that our performance has justified our focused efforts in those segments.’