20 Dec 2021
TM’s response to the national crisis and assurance to customers, communities and businesses affected
As a result of the extreme and continuous heavy rainfall since Friday (17 December 2021), some telecommunication services provided by Telekom Malaysia Berhad (TM) have been impacted. A number of telecommunication equipment particularly in Selangor, Negeri Sembilan and Pahang were damaged resulting in service disruption in several areas.
At the time of reporting, TM’s National Crisis Command Centre is up and running, and we are closely monitoring our network sites. The flash floods and landslides have caused several of our nodes in the three (3) states to be inaccessible due to high water and unsafe conditions.
In the meantime, we have had to shut down power supply and network equipment in some areas as a precautionary measure to ensure the safety of those in the vicinity and minimise any potential risks.
We have mobilised our front-liners and as conditions permit, we are actively pursuing network restoration in the flood-stricken zones to minimise any service interruption, ensuring customers remain connected.
Our immediate concern is of 50,000 of our valued customers on unifi, streamyx, fixed line and unifi mobile who are affected, and we are working hard to ensure communication services are being safely re-established.
Concurrently, the GLC/GLIC Disaster Recovery Network (GDRN) has been activated to provide welfare aid and support to those affected by this disaster. As a start, a total of RM50 million has been allocated for relief initiatives comprising of a matching grant of RM25 million by the Government, while the GLCs/GLICs will jointly contribute another RM25 million.
As part of GDRN, which TM co-leads as the Secretariat together with Yayasan Hasanah from Khazanah Nasional Berhad, we are collaborating with the National Security Council (NSC) through NADMA (“Agensi Pengurusan Bencana Negara”) and other agencies to assist in furthering other disaster relief assistance.
Together with the members of GDRN, we will mobilise rescue and aid efforts to ensure that basic necessities and healthcare can be provided to those in need. The 56th Royal Signals Telekom Army Reserve Regiment (56 Rejimen Semboyan Pakar Telekom Askar Wataniah) which comprises of volunteers from TM has been deployed on the ground to provide assistance and emergency services involving internet and telephone lines nationwide.
“Though the situation remains uncertain, I am grateful for the quick action especially on the part of the TM engineering and customer care team for keeping our customers updated and working towards restoring the much-needed connectivity services. As we brace ourselves in anticipation of worsening conditions, we remain hopeful that Malaysians in need will receive the help they require. Our front-liners will be on the ground around the clock to restore services and bring the impacted States back on its feet,” said Imri Mokhtar, Group Chief Executive Officer of TM.
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TM records steady performance in 1Q2022 with revenue & PATAMI up 2.9% & 4.4%; maintains focus on its growth strategies execution
In the second year of its Transformation, the Group is on track to achieve its 2022 market guidance, focusing on strengthening its core businesses and investing in new growth areas Telekom Malaysia Berhad (TM) continued its growth trajectory and long-term business sustainability, recording a steady performance in its First Quarter ended 31 March 2022 as compared to the same period last year (YoY). The Group's operating revenue increased by 2.9% to RM2.89 billion, compared to RM2.81 billion in the same quarter last year, driven primarily by increased demand for voice, Internet and multimedia. Despite rising competition to offer converged solutions among telco and other technology players, TM continued to deliver strong customer growth across its operations. Capitalising on its core businesses and investing into new growth areas, TM further ramped up its transformation initiatives, delivering profit after tax and non-controlling interests (PATAMI) for the quarter at RM339.9 million or 4.4% higher than the RM325.5 million recorded in 1Q2021. The Group also recorded lower financial costs subsequent to the early redemption of its RM2.0 billion sukuk in March 2021, as well as lower foreign exchange translation losses on borrowings. The Group has applied the Cukai Makmur statutory tax rate accordingly for the current quarter. Accelerating into the second year of its Transformation, TM brought forward its manpower optimisation to enable earlier realisation of expected benefits to the Group. This, along with foreign exchange impact on trade settlement has led to a 5.0% decrease in EBIT at RM560.4 million for 1Q2022 compared to RM589.7 million in the same quarter last year. Excluding these costs, the Group's underlying EBIT is 14.0% higher at RM650.2 million compared to RM570.5 million in 1Q 2021. Free Cash Flow is lower by 15.1% at RM658.8 million compared to RM775.7 million due to higher CAPEX as the Group continues to invest in business expansion and meeting customers' demands through technology refresh and network delivery, ensuring steady growth. unifi: Double-digit revenue and subscriber growth unifi continued its growth performance, recording revenue increase of 10.6% from RM1.25 billion to RM1.38 billion in the current quarter. Sustained by increasing demand from Internet, voice and sales of devices, with cumulative fixed Internet subscribers increasing by 17.5% against the corresponding quarter last year. unifi remains the largest growth contributor for the Group. unifi will continue to maintain its leadership in fixed broadband and enhance its Fixed-Mobile Convergence (FMC), enriched with TV and streaming content. This reflects its commitment to improve its FMC customer experience with better and seamless service. unifi will also grow its SME digital platform as a one-stop service centre for solutions catering especially to SMEs nationwide. TM Wholesale (TMW): Higher revenue from increased demand for data services TM Wholesale (TMW) also recorded a growth performance for 1Q2022, with revenue increasing by 1.2% from RM631.9 million in 1Q2021 to RM639.5 million, mainly contributed by higher revenue from voice and data services. This was underpinned by increasing demand from High-speed Broadband Access (HSBA) and higher International Voice and Data. To date, TMW continues to enable industry broadband and 4G network via its fibre infrastructure, with the ongoing 5G rollout further strengthening that role. On the international front, it will continue to serve other OTTs and hyperscalers with connectivity and data centres, while regionally, TM Wholesale aspires to establish Malaysia as a digital hub for ASEAN via new submarine cables, enhanced data centre solutions and edge computing. TM One: Renewed focus on growing B2B digital solutions market TM One, the Group's enterprise and public sector arm, recorded a 7.4% decrease in revenue from RM925.2 million to RM856.8 million in 1Q2022 due to decline in data services revenue. Strengthening and growing its B2B digital solutions, TM One has focused its efforts on high potential industry verticals, namely healthcare, manufacturing, education, oil & gas, banking, financial services & insurance (BFSI) and public sector. It has entered a partnership with Tune Protect and Huawei Malaysia that saw Tune Protect becoming the first organisation in Malaysia to host an insurance core system on public cloud (Cloud αEdge). Commentary and Outlook from Imri Mokhtar, TM Group Chief Executive Officer "With our economy and borders reopening, TM is powering Malaysia's journey on its road towards recovery, by ensuring the vision of an inclusive and extensive Digital Malaysia becomes a reality. "Into the second year of our Transformation, we are focused on strengthening our core business while investing into new growth areas to meet customers' demands. In ensuring sustainability in the long run, we continue to grow our profitability to invest and seize opportunities arising from digital acceleration. "One of these opportunities is in the exciting space of digital solutions and services for enterprises. Building on TM One's existing capability and relationships with enterprises and the public sector, we will deliver speed and agility through our new digital arm Credence: a corporate start-up led by technology leaders. "unifi continues to better its fixed broadband and Fixed-Mobile Convergence value proposition to improve customer experience, while expanding our offerings to provide quality entertainment to customers at home or on-the-go. "We have also achieved some key milestones in our sustainability efforts. TM One has successfully secured the Green Electricity Tariff from Tenaga Nasional Berhad for its data centres in Kuala Lumpur, Cyberjaya and Johor Bahru, contributing to a lower carbon footprint as the demand for cloud storage inevitably increases. This is in addition to the existing Green Building Index (GBI) certification earlier obtained for its core data centres. TM's broader ESG commitment also remains consistent with Malaysia's initiatives towards achieving net-zero Greenhouse Gas emission for the country by 2050. "Meanwhile, TM Wholesale continues to establish Malaysia as a regional digital hub via new submarine cables, edge computing, data centres and supporting international connectivity. On the domestic front, TM Wholesale continues performing its role as the enabler for industry broadband, 4G and 5G network via fibre infrastructure that will transform the nation's connectivity capabilities."
TM ELEVATES ITS GLOBAL STANDING, ATTAINS OPEN API DIAMOND CERTIFICATION FROM TM FORUM
KUALA LUMPUR, 18 June 2024 – TM achieves TM Forum Open API Diamond Conformance Certification with 60 certified APIs, surpassing industry giants. This milestone underscores the company's commitment to industry standards and innovation. TM Forum Open API enables seamless connectivity, interoperability and portability across complex ecosystem services. This “API-first” approach fosters collaboration and simplifies integration for developers. With over 770,000 downloads by over 2,700 companies worldwide, TM Forum’s Open APIs are a game changer for the industry. By achieving this certification, TM actively contributes to this global shift. While at the TM Forum: Ignite conference in Copenhagen, Ivan Chong, TM’s Chief Information Officer (CIO) commented, “This certification aligns with our aspiration of becoming a Digital Powerhouse by 2030. We have established a reusable API framework, streamlined high-volume custom APIs and consolidated siloed API gateways into a single cohesive gateway, strengthening our platform play approach. This boosted our system response time by 34%, exemplifying a truly ‘plug and play’ technology capability.” “The standardised Open APIs, tested in real-world deployment, enable faster time to market with 100% reusable and secure APIs from a curated catalogue. For example, by exposing API capabilities such as Digital Solutions to third-party partners, we can accelerate the development of new products and services for Smart Cities, Smart Education and Smart Healthcare. This fosters the creation of more innovative solutions and new revenue streams while adhering to global industry standards,” added Ivan. TM's certification journey started with a Bronze in September 2023 with three APIs and quickly progressed to Diamond with 54 certified APIs in just seven months. Now at 60 certified APIs, TM demonstrates its dedication to agility, innovation, and collaboration. By joining 11 of the world's largest service providers including Vodafone, China Mobile and Telefónica, who have adopted TM Forum's suite of Open APIs for digital service management, TM solidifies its global recognition among industry leaders.
TM accorded special Kincentric COVID Resilience Award Malaysia 2020 for its efforts and proactive measures in combating Covid-19 pandemic
The Company received special recognition for its efforts and proactive measures in handling, mitigating and curbing the spread of COVID-19. Telekom Malaysia Berhad (TM) was recently awarded the Special Kincentric COVID Resilience Award Malaysia at the Kincentric Best Employers Malaysia 2020 Learning Conference and Award Ceremony which was held virtually. As the COVID-19 pandemic continues, people and organisations face unprecedented new challenges. The special awards recognise companies that have been actively managing the employee experience in the rapidly unfolding COVID-19 crisis; especially for those in critical functions ensuring business continuity and recovery. The judging criteria is based on key themes of Senior Leadership/communication, virtual work effectiveness, concern and engagement on employee wellness; supported by people practices. Badrul Hisham Ahmad, Vice President, Support Business TM who is also the Chairman of TM's COVID-19 Crisis Response Team (CRT) virtually received the award on behalf of TM. He was also one of the panelists in the sharing session among the winners of the COVID Resilience Award. Commenting on the achievement, Imri Mokhtar, Group Chief Executive Officer, TM said, "We are humbled and honoured to receive this meaningful award on behalf of all our Warga TM. In these challenging times, their dedication and commitment to serve our customers and the nation with essential connectivity have been exemplary. We would like to especially thank our COVID-19 Crisis Response Team and volunteers such as PAKAR Semboyan, TM Rovers, the 'buddies' and others behind the scenes; who have gone beyond the call of duty to ensure all are taken care of." "TM will continue to take proactive measures to curb the spread of COVID-19 for the safety of our employees, customers and stakeholders. We remain committed to help Malaysia rebuild its economy via connectivity and digital solutions. Together may we return stronger," he added. Kincentric, a Spencer Stuart Company through its Kincentric Best Employers programme gives high-performing organisations credit and visibility for the quality of their employer brand – and an edge in the talent marketplace. With 20 years of robust data on employee experience behind it, the programme measures and differentiates employers on the four (4) people-factors that are key to success, namely high employee engagement, agility, engaging leadership and talent focus. This year, Kincentric has introduced a special COVID Resilience Award to recognise organisations that have risen above and holistically supported their employees in managing the significant emotional, social and economic impact brought on by the pandemic. This award demonstrates how a great employee experience defines the ability for a business to survive and thrive, especially in critical moments.
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