25 May 2023
TM Records a Promising 1Q2023 Performance with 2.0% Revenue Growth; Continues to Strengthen its Core Business
1Q2023 Key Highlights (vs 1Q2022)
· Operating Revenue grew 2.0% from RM2.89 billion to RM2.95 billion, with continuous growth across Unifi and TM Global
· EBIT decreased 15.5% from RM560.4 million to RM473.3 million, following accelerated depreciation and impairment
· PATAMI lower 2.9% from RM339.9 million to RM330.1 million, lower EBIT cushioned by lower net finance cost and effective tax rate
· CAPEX investment stood at 14.0% of revenue or RM413.1 million, heavily attributed to fibre network expansion
Amidst the challenges for the year, Telekom Malaysia Berhad (TM) achieved a steady and promising performance in the first quarter that ended on 31 March 2023, compared to the same period in the previous year (YoY).
Operating revenue grew 2.0% to RM2.95 billion, from RM2.89 billion in 2022, driven by Unifi and TM Global. TM saw an increase in customers with Unifi now serving close to 3.5 million home and MSME customers, TM One catering to 8,800 businesses, and TM Global serving more than 700 local and regional customers.
Its reported Earnings Before Interest and Tax (EBIT) is lower 15.5% to RM473.3 million, from RM560.4 million, following the Group’s decision to accelerate depreciation and impairment of IT assets, due to changes in market conditions.
Profit After Tax and Minority Interest (PATAMI) decreased 2.9% to RM330.1 million from RM339.9 million. Lower net finance cost and lower effective tax rate from the recognition of deferred tax assets mitigated the impact of the lower EBIT on the Group’s overall profitability.
Capital Expenditure (CAPEX) stood at 14.0% of overall revenue, or RM413.1 million. A significant portion of this investment was dedicated to fortifying its fibre infrastructure, delivering new customer acquisition, international subsea cables investment and 5G fibre network deployment to meet Government’s target of 80% coverage by year end.
Unifi sustaining growth trajectory
Unifi continues to deliver leadership in convergence service and solutions for both home and MSMEs customers. Unifi reported a 1Q2023 revenue growth of 4.3% from RM1.38 billion to RM1.44 billion contributed by both, growth in number of subscribers and average revenue per customer (ARPC).
Unifi fixed broadband subscription increased by 8.1% to 3.08 million propelled by aggressive sales, and promotions such as the 6-months complimentary speed upgrade offered to existing Unifi Home users and 7-days free viewing of all Unifi TV channels during Chinese New Year.
Unifi Mobile unveiled its latest offerings, the UNI5G prepaid and postpaid plans, which include complimentary 5G access for all current mobile subscribers. Additionally, Unifi introduced the Pakej Perpaduan Jalur Lebar Tetap (Home Internet) and Pakej Perpaduan Prabayar Mudah Alih (Prepaid Mobile) plans specifically designed for underserved communities, providing inclusive and ubiquitous connectivity for the community.
Unifi Business’ collaborative efforts with local government agencies have been instrumental in supporting MSMEs to digitally grow their businesses. As part of this initiative, Unifi Business launched a programme in Sabah that has resulted in a significant participation of local entrepreneurs.
TM One navigating challenging market and shifting demand
TM One recorded a 6.7% slowdown in revenue from RM773.7 million to RM721.9 million in the current quarter, largely due to the impact of price reduction and lower revenue from one-off customer projects.
The delivery of key projects across several industries shall set the pace for TM One in the coming quarters. TM One delivered a Private 5G solution to enable Smart Industry solutions and completed a hybrid cloud project that is instrumental to the IT backbone transformation of its customer. TM is also the only telco with a 100% completion record for the Point of Presence (POP) Phase 1 Project, successfully delivering 233 sites across the northern states, Sabah and Sarawak.
Building on the success of TM One 5G Sphere Partner Programme launched end of 2022 where more than 90 leading partners are registered today, TM One launched its Sandbox platform providing a secure and controlled environment for enterprise and Government customers with technology partners to co-create and commercialise innovative smart service solutions, which will propel their digitalisation and automation drive.
TM Global catalysing digital inclusivity
TM Global reported continuous growth in 1Q2023, with revenue increasing by 3.9% from RM625.1 million to RM649.2 million, contributed by higher data and data centre co-location services.
As the leading partner for High-Speed Broadband Access (HSBA), TM Global achieved the highest number of new installations in March, supporting collective industry growth throughout Malaysia. Additionally, close to 8,000 4G and 5G fiberisation site were deployed to meet the growing demands of industry players and enhance nationwide edge capabilities, further propelling national digital initiatives.
Internationally, TM Global secured deals from US-based hyperscaler and North Asia digital provider for its wholesale data centre solutions as well as a substantial deal from ASEAN telecommunication player for more than 10Tbps data requirement within this region. TM Global remains focused on positioning Malaysia as the preferred digital hub for the ASEAN region through its comprehensive and customised offerings for hyperscalers, global carriers and digital players.
Commentary and Outlook from Dato’ Imri Mokhtar, TM Group Chief Executive Officer
“2023 is expected to be a challenging year with changes in the regulatory landscape, heightened competition and other market structure changes. TM will continue strengthening its core business to be commercially sustainable as a Public Listed Company (PLC) whilst continuing to contribute to the nation’s growth via its role as a Government Linked Company (GLC).
“As the national connectivity and digital infrastructure provider, TM will continue to execute the fiberisation plan to support the Government’s National Digital Network (JENDELA) programmes as well as the 5G rollout nationwide. TM looks forward to continue playing an active role in the 5G implementation, leveraging its nationwide fibre infrastructure, extensive digital platforms (data centres, edge nodes) and rollout experience.
“We remain steadfast as we enter the final year of our 2021-2023 Transformation Programme, and pursue the next wave of growth beyond 2023. In line with our journey to become a human-centred TechCo, we announced the launch of TM’s new HQ and Campus, located in Cyberjaya. The campus will serve as a catalyst for a new way of working that drives agility and flexibility through digital collaboration and hybrid work environment, propelling innovation among our employees, customers and partners.
“We will continue to advocate sustainability efforts and strive for progress. TM has released our first Task Force on Climate-related Financial Disclosures (TCFD) report, 2 years ahead of Bursa Malaysia’s 2025 requirement. The report focuses on increasing transparency around the financial implications of an organisations’ climate-related risks and opportunities.
“Though cautious with the overall outlook, we remain optimistic with the prospects of increased hyperconnectivity, continuous growth investments in connectivity and digitalisation across all customer segments. TM will continue to enable a Digital Malaysia by offering comprehensive suite of communication services and digital solutions benefitting communities, businesses and Government.”
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TM receives national recognitions for its continous efforts in Energy Management
The Company walked away with four (4) recognitions at the recent National Energy Awards 2020, organised by the Ministry of Energy and Natural Resources (KeTSA). Telekom Malaysia Berhad (TM) was recently bestowed with multiple recognitions for its continuous commitment and best practices in energy management at the National Energy Awards 2020, organised by the Ministry of Energy and Natural Resources (KeTSA). The accolades received by TM were: Rank Category Sub-category Building Winner Category I: Energy Efficiency Energy Management (Small Building) TM Node, Skudai, Johor Bahru Runner-up Category I: Energy Efficiency Energy Management (Large Building) Menara TM, Kuala Lumpur Special Awards Institute of Higher Education Multimedia University, Melaka Special Awards Energy Performance Contracting (EPC) TM Node, Bandar Tun Razak Commenting on the achievements, Badrul Hisham Ahmad, Vice President, Support Business, TM said: "We are humbled and honoured to receive these awards and would like to thank KeTSA for recognising our continued commitment to Energy Efficiency (EE) initiatives, which is part of our overall sustainability agenda. Such initiatives not only provide cost optimisation and increased efficiency, but also contribute towards environment conservation. We understand that while we are advancing towards an increasingly digital economy and lifestyle, ensuring the sustainability of our environment is equally important for future generations. In addition to economic development, TM's role in empowering a Digital Malaysia is also driven by our potential to play our part to combat climate change. Although the ICT sector contributes 2% of global carbon emissions, increasing connectivity offsets the emissions. By providing digital solutions, we enable other sectors of the economy to grow while reducing energy use, travel and greenhouse gas (GHG) emissions. Therefore, the transition towards a digital economy helps achieve global carbon-reduction targets." "As we work to increase connectivity and digital, the necessary network and infrastructure expansion brings upon risks of environmental harm. As a responsible business, TM is implementing strict policies and innovative solutions that reduce the carbon emissions resulting from its operations and infrastructure development. A key way to reducing TM's carbon emissions is by lowering our overall energy consumption. As such, our facilities are supported by Energy Saving Initiatives (ESI), which describes how we can improve energy-efficiency at network and non-network buildings. We also adopt sustainable practices for emissions management that adhere to regulatory standards. We conduct regular monitoring of the air, noise and water of areas surrounding our operations. We strive to consistently comply with the environmental monitoring limits stipulated by the Department of Environment (DoE) thus ensuring that our business does not harm nearby environment and communities. We have been continuously improving on our emissions and consumption policies, objectives, targets and strategies. Additionally, we monitor and measure activities that contribute to our carbon footprint, including energy use and waste production, resulting in a 7.5% reduction in overall GHG emissions for 2019. We also recorded a 7.4% reduction in energy consumption," Badrul elaborated. The annual National Energy Awards (NEA) highlights the development of ideas and best practices in driving the country's sustainable energy sector. The award recognises the efforts of the public and private sectors in energy innovation that manifests positive impact to the nation and all Malaysians. It acknowledges the adopters of energy efficiency technology and renewable energy in driving towards Malaysia's sustainable development aspirations. It is also the Government's strategic move to promote innovation in local technology, research and development (R&D) as well as to create awareness on a broad level across the different facets of society, in line with the country's aspiration to spur energy sector as the new area for economic growth. Previously in 2019, the National Energy Awards also honoured TM for the first time as the winner for Category I: Energy Efficiency under sub-category of Energy Management (Small & Medium Building). The award recognised energy saving initiatives at Menara TM, Melaka which include upgrading of conventional lighting to LED, chillers optimisation, reuse of ablution water for watering plant and installation of motion sensor lighting, among others. For more info on TM's efforts towards sustainability, visit www.tm.com.my/sustainability.
unifi TV service disruption nationwide, service estimated to resume later this evening
At approximately 9:50pm on 3 January 2022, unifi TV services experienced service disruption nationwide due to impact to the power system triggered by a fire that affected the “Uninterruptible Power Supply” (UPS) equipment at TM IT Complex in Cyberjaya. The Fire and Rescue Department of Malaysia (Bomba) took control of the situation to extinguish the fire and ensure the safety of the premises. We have received the necessary building assessment and clearance from Bomba at 4.00am. The building block was not in full operation at the time, with only a small number of employees on site. There have been no reports of injuries. The cause of the fire is unknown at this stage and TM will fully cooperate with any investigation as required by authorities. An immediate announcement has been released on TM’s social media channels to notify our affected customers and we have since ramped up our customer service engagements to attend to calls and enquiries. This incident has caused unifi TV service interruptions affecting close to 300,000 of our unifi TV viewers. Other TM and unifi services are not affected. We are working tirelessly with our contractors and engineering teams to ensure that services are being restored gradually, with power restoration expected to be completed by 12 noon today. unifi TV is estimated to resume its services by 3.00pm today. However, TMpoint Cyberjaya will remain closed temporarily due to low power supply. We apologise for any inconvenience this may have caused our customers, and will continue to prioritise the safety and well-being of our employees and contractors during this restoration process. More regular updates are available on TM’s social media channels, or visit our website at https://unifi.com.my/unifi-alerts for updates.
Jangkau Digital TM Reimagines Kampung Mukut, Pulau Tioman as Malaysia’s First Smart Eco-Village, Driving Rural Digital Inclusion and Nation-Building
KUALA LUMPUR, 14 August 2025 – Telekom Malaysia Berhad (“TM” or “the Group”) has identified Kampung Mukut, Pulau Tioman as the first village for its inaugural Jangkau Digital programme, reimagining the small coastal settlement as a Smart Eco-Village that blends digital connectivity, economic empowerment, education, and environmental stewardship. The initiative is aligned with the Government’s call for organisations to contribute in uplifting rural communities through sustainable and inclusive development. Home to just over 100 residents, Kampung Mukut is renowned for its crystal-clear waters, lush rainforests, serene waterfall, and the towering Dragon Horns of Tioman. Its remoteness has also meant limited access to connectivity and public infrastructure, challenges that Jangkau Digital seeks to address while preserving the village’s unique culture and biodiversity. The programme in Mukut was officially launched by His Royal Highness The Sultan Pahang, Al-Sultan Abdullah Ri’ayatuddin Al-Mustafa Billah Shah, during his recent visit to the village. Amar Huzaimi Md Deris, TM’s Managing Director and Group Chief Executive Officer said, “Jangkau Digital TM is about building the right foundations for communities to thrive, from expanding digital access, to unlocking new economic opportunities, nurturing future-ready talent, and safeguarding environment. It reflects our role as a nation builder, ensuring that even the most remote communities are part of Malaysia’s digital future. In Mukut, we are working closely with the community and the Tioman Development Authority as our strategic partner to demonstrate that rural and island villages can progress sustainably, while preserving the heritage and natural beauty that make them unique.” Digital Foundation for Inclusive Growth The transformation begins with robust digital infrastructure across Pulau Tioman. The 75km submarine cable from Kuala Rompin that was deployed by TM, forms the backbone that connects the entire island to Malaysia’s national digital network, effectively bringing the world to Tioman and Tioman to the world. This is followed by the rollout of high-speed fibre broadband and expanded mobile coverage that now reaches all key settlements and tourism hotspots. This upgrade ensures that residents, businesses and visitors across Tioman enjoy stable, high-quality internet access, a critical enabler for economic activity, education, and tourism. In Kampung Mukut, this connectivity has been further strengthened with the installation of outdoor WiFi spanning the village from the jetty and school to the mosque, eateries, homestays, and along scenic trails, enabling tourists to navigate, locals to run online businesses, and students to participate in virtual learning without interruption. Complementing this, TM’s Vision AI CCTV systems have also been deployed at strategic points to improve public safety, manage visitor flows and support responsible tourism in line with Mukut’s eco-tourism appeal. MSME Empowerment & Economic Upliftment With strong digital connectivity as the foundation, entrepreneurs in Mukut are now better positioned to tap into the digital economy. Tourism operators, guesthouses, and boat service providers have been onboarded to visitmukut.com – a community-managed tourism portal powered by TM and enhanced with AI to deliver an end-to-end experience, from discovering Mukut’s natural beauty to booking and engaging with local operators. This is integrated with the Unifi Business Go Bookit app for seamless visitor experiences. This transition to online visibility is strengthening business resilience, particularly for operators who once depended solely on walk-in visitors. To support this shift, TM will conduct targeted training sessions to equip local MSMEs with skills in booking management, social media promotion, and digital content creation, with additional support extended to B40 entrepreneurs via the Sejahtera MADANI programme. By building these capabilities, TM aims to ensure that the economic benefits of tourism are shared more broadly across the community, while positioning Mukut as a destination that is digitally accessible. Equipping Students and Teachers for the Future The Jangkau Digital TM also brings the TM Future Skills (TMFS) to SK Mukut as the Champion School. SK Mukut is now linked to SMK Tekek, Tioman’s “nucleus” digital hub school, enabling resource-sharing and access to advanced digital tools. Through this collaboration, students are exposed to coding, robotics, 3D printing and AI learning modules – subjects that previously seemed out of reach in rural settings. Teachers in Mukut also benefit from training programmes that help them integrate STEM content into lessons and maximise the use of digital tools. Beyond the classroom, TM is investing in capability building for the community’s core sporting tradition - sailing. Efforts include upgrading essential infrastructure such as dedicated walkway and slipway to provide safe and convenient access to the waterfront. The Group also goes the extra mile by providing a comprehensive coach training and talent development programme, and providing official sports attire for the school’s sailing team. These initiatives are designed to inspire the students, enhance competitive readiness, and cultivate a new generation of talent capable of competing at the highest levels. This integrated approach ensures that Mukut’s youth can excel both in academics and in sports, proving that rural communities can nurture future champions on multiple fronts. Preserving Environment and Biodiversity In preserving Mukut’s charm, TM is embedding environmental stewardship into every aspect of development. The village’s coral reefs, rainforest trails, and marine biodiversity are recognised as irreplaceable assets, and planned coral protection and trail conservation programmes will ensure these remain intact for future generations. TM’s sustainability commitment extends to the seabed where the presence of submarine cables naturally fosters the formation of artificial reefs, providing vital habitats for marine life and cultivating to long-term biodiversity ecosystem. To further support eco-tourism safety, TM is enhancing measures to ensure the safety of both tour guides and hikers on treks to the Dragon Horns including providing GPS trackers and other digital solutions, helping Mukut maintain its reputation as a safe, well-managed destination for adventure tourism. By combining digital technology with environmental care, Jangkau Digital TM reinforces the idea that progress in rural communities can go hand in hand with sustainability. Greater Purpose of TM “Our aspiration to become Malaysia’s Digital Powerhouse by 2030 is grounded in our greater purpose to enable progress that is inclusive, sustainable, and meaningful for all. When students in Mukut can explore robotics, local entrepreneurs can reach customers worldwide, and young athletes can train for national glory, all while preserving their environment, we see the true value of digital transformation. Jangkau Digital TM in Mukut is just the beginning, and we are committed to extending this progress to other rural islands and communities across the nation,” concluded Amar.
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