Corporate Presentation 1Q17 - Final...ABDUS SOMAD ARIEF Director of EBIS DIAN RACHMAWAN Director...
Transcript of Corporate Presentation 1Q17 - Final...ABDUS SOMAD ARIEF Director of EBIS DIAN RACHMAWAN Director...
Corporate Presentation1Q17 Results
PT Telkom Indonesia (Persero) TbkMay 2017
Disclaimer
This document may contain forward-looking statements within the meaning of safe-harbor. Actual results could differ materially from projections, estimations orexpectations. These may involve risks and uncertainties, and may cause actual resultsand development to differ substantially from those expressed or implied in thestatements. The company does not guarantee that any action, which may have beentaken in reliance of this document will bring specific results as expected.
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TELKOM in BriefTELKOM in Brief
1Q17 Financial & Operational Results1Q17 Financial & Operational Results
Company Guidance 2017Company Guidance 2017
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Telkom and Subsidiaries
Note:T : TelecommunicationIME : Information, Media & Edutainment
Telkom Group Portfolios
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6 product portfolios with 5 Customer Facing Units (CFU)
6ProductPortfolios
5CustomerFacing Units
MobileCFU
Digital Services CFU
EnterpriseCFU
ConsumerCFU
Wholesale/ InternationalCFU
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2
3
4
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MobileServices
n Mobile Legacyn Mobile
Broadbandt
1FixedServices
2Interconnect’& Int’l Traffic
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EnterpriseDigital
ICT Platformn Enterprise
Connectivityn IT Servicesn Data Center and
Cloudn BPOn Devices/Hardware
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ConsumerDigital
6MEME
II
TT
Smart Enablersn Paymentsn Digital Advertisingn Big Data & Other
Smart Enablers
n e-Commercen Video/TVn Mobile Digital (e.g., Games, Music)
Others n Property
NetworkInfrastructure
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n Fixed Voicen Fixed
Broadbandt
n Wholesale -Interconnection
n International Businest
n Satellitesn Towerst
Share Ownership
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Government 52.1% Public 47.9% Treasury Stock1.7 Bn shares
Total Shares
100,799,996,400 shares
Market Capitalization
Rp445.5 Tn (USD32.8 Bn)*
Telkom Indonesia is listed at Indonesia Stock Exchange (Bloomberg: TLKM IJ)and New York Stock Exchange (TLK US)
*as of April 21, 2017
Board of Directors
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Telkomsel
Telkom
CEO TelkomselRIRIEK ADRIANSYAH
DirectorHERI SUPRIADI
DirectorEDWARD YING SIEW HENG
DirectorALISTAIR D JOHNSTON
Director of ConsumerMAS’UD KHAMID
DirectorSUKARDI SILALAHI
DirectorPRIYANTONO RUDITO
PRESIDENT DIRECTORALEX J. SINAGA
Director of FInanceHARRY M. ZEN
Director of HCMHERDI R. HARMAN
Director of WINSABDUS SOMAD ARIEF
Director of EBISDIAN RACHMAWAN
DirectorMONTGOMERY HONG
Director of NITSZULHEFI ABIDIN
Director of DSPDAVID BANGUN
TELKOM IntroductionTELKOM Introduction
1Q17 Financial & Operational Results1Q17 Financial & Operational Results
Company Guidance 2017Company Guidance 2017
1Q17 Performance Highlights
Telkom Indonesia delivered remarkable results in 1Q17, posting triple double-digit growth in Revenue, EBITDA, and Net Incomeof 12.6%, 14.7%,and 45.8% YoY respectively.
Data, Internet & IT Services sharply increased by 25.4% YoY. The segment contributed 41.6% to total revenue.
Telkomsel recorded another triple double-digit with Revenue grew by 10.4%, EBITDA 13.0%, and Net Income 17.8% respectively.
Telkomsel installed 7,060 new BTSs, all of which are 3G/4G BTSs toenhance mobile broadband experience.
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Strong EBITDA & Net Income Growthwith Healthy Margins
810
EBITDA YoY(Rp Trilion)
EBITDA Margin
ì14.7%
Net Income YoY(Rp Trilion)
Net IncomeMargin
ì45.8%
ì12.6%
Strong Revenue Growth, Driven by Data Business
12,9
10,3
1,91,1 1,3
13,0 12,9
1,91,3
2,0
1Q16 1Q17
ì12.6%
Revenue YoY (Rp Trillion)
Cellular Voice and SMS
ì 0.9%
Data, Internet & IT Services
ì 25.4%
Fixed Line Voice
î 4.1%
Interconnection
ì 17.4%Network & Other Telco Services
ì 48.2%
Note: SMS included SMS Banking and SMS advertising 1Q171Q16
41.6%contribution to total revenue (vs 37.4% in 1Q16)
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Relatively Low Growth in Expenses
7,7
3,0
0,8 0,8 0,7
4,4
0,7
8,3
3,0
0,7 1,0 1,2
4,8
-0,5
Expenses YoY (Rp Trillion)
O & M
ì 8.5%Personnel
î 0.7%Interconnection
î 7.3%Marketing
ì 31.0%G & A
ì 74.9%D & A
ì 8.4%
ì3.1%
Others-net*
î 167.1%
*Others-net included Forex loss
1Q171Q16
+10%
1Q17
22.3
13.9
8.4
1Q16
20.2
13.3
6.9
REVENUES
In Million
YEAR-ON-YEAR ACHIEVEMENT
In Trillion
1Q17
2.8
1Q16
2.3
CAPEX PAID
TOTAL ASSET BTS ON AIRIn Thousand
1Q17
136.1
1Q16
110.5
CUSTOMER In Trillion
4%Legacy
DigitalBusiness
23%
EBITDA NET INCOMEIn TrillionIn Trillion
Margin59%58%
Margin35%32%
1Q17
13.2
1Q16
11.7
1Q17
7.7
1Q16
6.5
18%13%
1Q17
92.9
1Q16
93.9153.6
1Q17
169.4
1Q16
10%
In Trillion
Maintained Strong Performance Momentum during 1Q17Telkomsel: Performance Highlights
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23%
-1%23%
0.6
6.3
+23%
1Q17
8.4
0.8
7.6
1Q16
6.9
DIGITAL BUSINESS REVENUE In Million
YEAR-ON-YEAR ACHIEVEMENT
In TrillionDATA USER
35%Digital Services
Broadband
21%
1Q17
357.4
1Q16
165.9
DATA TRAFFIC
115%
In PB
84 65
1Q171Q16
3G/4G CAPABLEDEVICE
30%
In Million
3G & 4G BTS ON AIR
In Thousand
Broadband:
Telkomsel Flash
BlackBerry
Digital Services:- Digital Lifestyle- Digital Banking & Advertising - Mobile Financial Services- Enterprise Digital Services1Q17
89.6
1Q16
71.725%
Continued to Focus on Digital Business
3G
4G
86.3
75.2
11.161.4
57.2
4.2
1Q171Q16
31%
Telkomsel: Performance Highlights
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164%
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Excellent Operational Results
n IndiHome subs reached 1.78 Mn increased 31.7% YoY
n More content, added HOOQ video streaming platform.
n ARPU in 1Q17 Rp350K (vs Rp341K in 4Q16)n Pursuing new revenue stream from
advertisingn Fixed broadband users (incl. non-IndiHome)
increased 4.8% YoY to 4.4 Mn
n 3G/4G-capable device users: 83.8 mn(+29.9% YoY). 22 Mn has enjoyed 4G.
n Mobile data payload jumped 115.5% YoY to 366.0 TB.
n Added 7,060 new BTSs (all are 3G/4G).Total BTS 136K (63% 3G/4G).
n 4G LTE Service: 239 cities across Indonesia, 11,130 BTS
n Total customers: 169.4 mn, increased10.3% YoY.
TELKOM OperationalTelkomsel Operational
Satellite
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After successfully launched on 15 February 2017, Telkom 3S Satellite was officially operated. The satellite is managed by Telkom Satellite Main Control Station in Cibinong Indonesia starting 17 April 2017.
Telkom-4 Satellite is planned to be launched in 3Q18.
It will carry 48 C-Band and 12 extended C-Band transponders and cover Southeast Asia and South Asia region.
Currently, the progress of thisproject is around 53%.
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Recent Development
70% Dividend Payout
AGMS on April 21, 2017 approved total 70% of dividend payout, consists of 60% cash dividend or Rp11,611,211,188,567.60 (inclusive of interim dividend) and 10% special dividend or Rp1,935,200,213,724.32, represents total dividend per share of Rp136.7465.
Payment date is on 26 May 2017.
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Recent Development
Change in Board of Directors and Board of CommissionersAGMS on April 21, 2017 approved new composition of BoD & BoC:
Board of Directors
President Director : Alex J. Sinaga
Director of Finance : Harry M. Zen
Director of Consumers Service : Mas’ud Khamid
Director of Human Capital Management
: Herdy R. Harman
Director of Network & IT Solution
: Zulhelfi Abidin
Director of Digital & Strategic Portfolio
: David Bangun
Director of Wholesale & International Service
: Abdus Somad Arief
Director of Enterprise & Business Service
: Dian Rachmawan
Board of Commisioners
President Commissioner : Hendri Saparini
Commissioner : Hadiyanto
Commissioner : Devy W. Suradji
Commissioner : Rinaldi Firmansyah
Independent Commissioner : Dolfie Othniel Fredric Palit
Independent Commissioner : Margiyono Darsasumarja
Independent Commissioner : Pamiyati Pamela Johanna Waluyo
Independent Commissioner : Cahyana Ahmadjayadi
TELKOM in IntroductionTELKOM in Introduction
1Q17 Operational & Financial Results1Q17 Operational & Financial Results
Company Guidance 2017Company Guidance 2017
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2017 Guidance
Telkomsel IndonesiaDigital Network
InternationalExpansion
Leading Mobile Digital Business
Drive Digital Home & Enterprise
Smart International Business Growth
MAIN PROGRAM
Revenue Growth
EBITDA & Net Income Margins CAPEX
To grow better than industry.Telco industry is expected to grow at 8% to 9% in 2017.
To slightly decline as Telkom is shifting towards digital telco company with higher proportion of revenue from digital business and lower revenue portion from legacy (voice and SMS services)
Around 23%-25% of revenue with focus onbroadband infrastructures, both mobile and fixed line