KUALA LUMPUR – Telekom Malaysia Bhd’s (TM) net profit surged 26% to RM329.40 million for the third quarter (Q3) ended September 30, 2020, from RM261.31 million a year earlier due to lower direct costs as well as higher other operating and investment income.
Revenue, however, eased to RM2.69 billion from RM2.85 billion previously, the telecommunications company said in a filing with Bursa Malaysia today.
TM said the lower performance was due to declining revenue for all lines of products and lower volume as a result of restricted economic activities during the movement control order.
It said revenue for the unifi segment declined 2.4% year-on-year (y-o-y) to RM1.18 billion in Q3 due to reduction in voice services from lower usage and decrease in cumulative customer base.
Internet and multimedia services revenue also fell following the Streamyx price adjustment provided to customers from September 2019 onwards, said the company.
Revenue from TM ONE, which focuses on enterprise and public sector customers, fell 10.3% y-o-y to RM962.1 million in the quarter under review mainly due to lower revenue from voice, data and other telecommunication-related services from lower usage volume and deferment of customer project activities.
In a media statement, group chief executive officer Imri Mokhtar said TM’s priority continued to be the safety and health of its employees while continuously delivering connectivity and solutions excellence to its customer base.
“We are seeing unifi gaining momentum, posting a 6.3% growth to 1.65 million subscribers, with our total broadband customer base now at 2.26 million.
“We achieved the highest convergence penetration (of three services or more) in TM households since 2018, 58%, as more Malaysians embrace digital living-working in this new norm,” he said.
On the wholesale front, Imri said TM continued to collaborate with industry players in Malaysia and abroad.
On prospects, TM said it would continue to serve as an essential service provider, ensuring stable network performance for the entire nation via both its retail and wholesale fronts.
“The government’s introduction of the National Digital Network (Jendela) in September, as well as the RM7.4 billion allocation in Budget 2021 to deliver upgraded broadband services in 2021 and 2022, will serve as a platform to accelerate Malaysia’s digital connectivity through wider deployment of mobile, fibre and fixed wireless access.
“This will pave the way for 5G network technology under the 12th Malaysia Plan (2021–2025) as TM is at the forefront in collaborating with other service providers, enabling and delivering Jendela’s initiatives,” it said. – Bernama, November 25, 2020
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