06 Sep 2022

UMW and TM One collaboration for hybrid cloud solutions to spearhead UMW’s digitisation journey

UMW and TM One collaboration for hybrid cloud solutions to spearhead UMW’s digitisation journey Article Header
TM
TM One

​UMW IT Services Sdn. Bhd, a wholly owned subsidiary of the UMW Group, today signed an agreement with TM One, the enterprise and public sector arm of Telekom Malaysia Berhad (“TM”), to establish a collaboration on hybrid cloud.

The agreement signifies the next stage in UMW’s digital and transformation roadmap to consolidate and improve its current data centre architecture.  It will also complement the modernisation process of the Group’s various applications and supports its relentless efforts to optimise technology and operations across its Strategic Business Units.

The signatories of the agreement were Shahril Ariffin, Group Chief Transformation & Technology Officer, UMW Corporation Sdn. Bhd. and Shazurawati Abd Karim, Executive Vice President, TM One.  Witnessing the signing ceremony held at the TM Convention Centre were Dato’ Ahmad Fuaad Kenali, President & Group Chief Executive Officer, UMW Holdings Berhad and Imri Mokhtar, Group Chief Executive Officer, TM.

Dato’ Ahmad Fuaad Kenali remarked, “As the UMW Group progresses its transformation journey, it is pivotal that its information technology infrastructure and services are also upgraded to support the diverse needs of our businesses.  We are confident that this collaboration with TM One will lead to the optimisation of our data centre and our efficiency in managing data, improve scalability as well as offer better cost management.  In addition, hybrid cloud offers the UMW Group better flexibility, reliability, agility and improved data security to support the growth of our businesses.” 

Imri Mokhtar said, “We are pleased to work with UMW once again in enabling the next stage of their digital transformation through TM’s hybrid cloud solutions.  As business partners for over 30 years, today’s ceremony strengthens the importance of enterprise digitisation for Malaysian businesses which will lead to the industry and nation’s growth.

With the collaboration, we hope to support and contribute to UMW’s digital and automation journey through our innovative solutions, such as TM One’s Smart Manufacturing and big data solutions, as well as offering fiberisation and 5G connectivity at UMW’s High Value Manufacturing Park – future-proofing this leading organisation in the digital economy and taking UMW’s digital transformation to new heights.”

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TM One reinforces its commitment to oil and gas industry growth with new innovative digital solutions and services at MOGSEC 2018

Aimed at realising productivity gains, the solutions and services are set to provide competitive edge to the Oil & Gas companies in Malaysia   TM One, the business solutions arm of Telekom Malaysia Berhad (TM) today showcased its new digital solutions for the oil and gas industry at the fourth (4th) Malaysian Oil and Gas Service Exhibition and Conference (MOGSEC 2018). The solutions and services, aimed at assisting the industry in realising its hidden productivity gains, reducing costs and increasing efficiency and workforce collaboration as well as workplace safety and security, have received strong interest from oil & gas companies and visitors at the event which is held from 25 September to 27 September 2018. Azizi A. Hadi, Chief Executive Officer, TM One said: “Oil and gas industry is embarking on ambitious digital transformations to reshape their operating models and improve their operations costs. TM Group has long been supporting the industry’s growth and efficiency by providing innovative communications, IT and smart services. Today, we are proud to reveal our digital solutions suites that can accelerate the realisation of the digital transformation benefits. We help our customers to innovate faster by dedicating their valuable resources to their core strategic business while we take care of the rest as their strategic and trusted outsourcing partner. This demonstrates our continuous commitment to this strategic sector, in line with TM’s philosophy of “Business Made Easier”.” “TM One has embarked on workplace digitisation for all industries that we are servicing in order to enable the transition to Industry Revolution 4.0. Specifically for the oil & gas industry, our focus is on operational excellence and high performance infrastructure. In June 2017, we upgraded and enhanced our off shore fiber optic connectivity to serve oil and gas platforms in the South China Sea and today, we are proud to unveil the showcase of our Connected Workforce and Accelerated Artificial Intelligence (AAI) solutions. These solutions are part of the strategic investment and commitment by TM One to enable the oil & gas industry to realise the full potential of digital transformation,” he further elaborated. The solutions also enable the creation of a data driven workforce that will boost the productivity, lower operational costs and create a safe and secure workplace in order to meet the industry’s business drivers and address its challenges. TM One's booth at MOGSEC 2018 is showcasing two (2) key digital solutions for the oil and gas industry throughout the 3-days event, as below:  a) Accelerated Artificial Intelligence (AAI) – aimed at data management and analytics that is used to change and improve business model and increase operational efficiencies. b) Connected Workforce – provides effective real-time location monitoring for fast response and safer workplace These solutions are leveraging on TM One data centre, cloud, managed network and security services as its foundation infrastructure. Visitors can also have the opportunity for hands-on experience of these solutions and get to know other TM One solutions that can support the industry as well as connect and interact with our industry subject matter experts and solutions consultants. Positioned as the enabler for businesses to realise their full potential of their digital opportunities, TM One enables our customers’ digital journey through its seamless vertical and horizontal solutions where it is brought together by our people, processes and state-of-the-art technology. In realising customers’ digital transformation, TM One owns two (2) state-of-the-art Tier III certified twin core data centres located at Cyberjaya and Iskandar Puteri to fulfil the hosting, cloud and IoT requirements of customers. For further information on TM One and its service and solution offerings, visit https://www.tmone.com.my/

TM DELIVERS LANDMARK 2022 PERFORMANCE (FY2022) Revenue up 5.1% at RM12.12 billion; EBIT up 22.2% at RM2.09 billion; PATAMI up 27.7% at RM1.14 billion

FY2022 Key Highlights (vs FY2021)   ·        Operating Revenue grew 5.1% from RM11.53 billion to RM12.12 billion, with growth across all customer segments and product lines ·        EBIT grew 22.2% from RM1.71 billion to RM2.09 billion, driven by strong revenue growth and improved cost efficiency ·        PATAMI grew 27.7% from RM0.90 billion to RM1.14 billion, contributed by lower financing cost ·        CAPEX investment at 20.0% of revenue or RM2.43 billion, highest in 5 years primarily on growth in fibre service and network expansion ·        Final interim dividend at 7.5 sen per share declared amounting to RM286.6 million, with total dividend of 16.5 sen per share amounting to RM627.5 million for 2022 ·        ESG rating upgraded, FTSE Russell rated 3.6 from 3.1 in 2021; CDP rated ‘B’ from ‘C’ in 2021. Both above industry average ·        FY2022 overall performance showed strong results with good trajectory and operational excellence across all lines of business   The financial year 2022 (FY2022) performance, ended 31 December 2022, represents Telekom Malaysia Berhad’s (TM) progress of its 3-year transformation programme (2021-2023). Moving into the final year of this transformation phase, TM remains committed to its focus in delivering value to its stakeholders.   Operating revenue grew by 5.1% to RM12.12 billion, from RM11.53 billion in 2021, fuelled by demand in connectivity, solutions and infrastructure. TM continued to strengthen its core businesses across Unifi, TM One and TM Global amidst intensified competition in the market.   Through revenue growth and improved cost efficiency, TM’s Earnings Before Interest and Tax (EBIT) grew by 22.2% to RM2.09 billion, from RM1.71 billion last year.   Profit After Tax and Minority Interest (PATAMI) rose to RM1.14 billion from RM0.90 billion, up 27.7% through higher operating profit and lower financing cost.   Capital Expenditure (CAPEX) stood at 20.0% of overall revenue, amounting to RM2.43 billion invested to deliver growth in fibre services, network modernisation and upgrades.   Unifi’s continuous growth momentum   Unifi continues its leadership in converged solutions of fixed broadband, mobile services, digital content and solutions for both consumers and MSMEs, recording a revenue growth of 7.5% from RM5.22 billion to RM5.61 billion contributed by increased number of home and MSME customers. Unifi fixed broadband customers grew by 9.3% and exceeded the 3 million mark in 2022. To celebrate this milestone, customers were rewarded with free viewing of all 72 Unifi TV channels for one month, as well as pay-per-view movie discounts in appreciation for their trust and loyalty.     Unifi launched its 5G services in November 2022, offering Uni5G plans to Unifi Mobile postpaid and prepaid customers. 5G will reinforce TM’s converged leadership to provide the widest and fastest all-in-one solution for fixed broadband, mobile service and digital content.   Unifi Business’ digital solutions continue to boost and support MSME’s digitalisation needs from cloud storage, eCommerce hub, cybersecurity and digital marketing, serving critical needs from connectivity to digital solutions, accelerating their business growth.   TM One drives enterprise-grade innovative solutions   TM One reported a 0.5% growth in revenue from RM3.32 billion to RM3.34 billion in 2022, after several years of revenue decline amidst changing market dynamics and competitive landscape. This is attributed to higher recurring revenue and bespoke solutions deployment, as a trusted technology partner for large enterprises and the Government.   Utilisation of data centre space and power have also increased in 2022. The twin-core data centre of KVDC and IPDC have obtained Green Electricity Tariff (GET) from TNB as well as Green Building Index (GBI) and Leadership in Energy Environmental Design (LEED) certifications.   To strengthen its partner ecosystem, TM One launched ‘5G Sphere’ in October 2022 and today counts on over 70 leading technology and smart solution partners to accelerate the co-creation of 5G use-cases. On the other hand, Credence is advancing enterprise’s ‘cloud-first strategy’ as well as developing technologically-skilled professionals to accelerate cloud adoption in Malaysia.   TM Global positions Malaysia forward as a digital hub in the region   TM Global (rebranded from TM Wholesale) delivered a strong performance which made a significant contribution to the overall 2022 performance. TM Global’s revenue grew 7.8% from RM2.58 billion to RM2.78 billion, on the back of higher domestic data and international digital demand.   Domestically, TM Global is the preferred partner for High-Speed Broadband Access (HSBA) with the highest new installation in 4Q 2022. Advancing the country’s 5G rollout, almost 4,000 fiberisation sites were completed for the year.   Internationally, TM Global closed deals from US-based hyperscalers and Asia-Pacific carriers for its wholesale data centre solutions and international data services, elevating Malaysia as a trusted digital hub for the ASEAN region.     Commentary and Outlook from Dato’ Imri Mokhtar, TM Group Chief Executive Officer   “2022 was a milestone year for TM, tracking well in our transformation with growth across our business segments – Unifi, TM One and TM Global, and cost efficiency improvement. The stronger financial position places TM in a position to deliver better value and benefits for our stakeholders – customers, shareholders, partner ecosystem and community.   “TM is committed to continuously invest in shaping a Digital Malaysia through technology that empowers communities, businesses and Government – not just in our core business, but also in new, adjacent growth areas such as cloud, data centre, cybersecurity and platform-services.   “Sustainability will also be a domain we strive to make continuous progress. We have seen improvements in TM’s ESG ratings, for example the FTSE Russell ESG score rising from 3.1 to 3.6 in 2022 and also the CDP rating upgrade to ‘B’ from ‘C’ last year, both above the industry average. On governance, TM upholds transparency, disclosure and zero-tolerance to all forms of corruption, receiving the Gold Category in the recent Integrity, Governance and Anti-Corruption Award (AIGA) 2022.   “As part of TM’s next transformation to become a human-centred TechCo, we announced a reorganisation in December 2022 to streamline our core businesses and subsidiaries under a new entity named TM Technology Services Sdn Bhd (TM Tech). TM Tech is set to become the main operating entity of the Group with effect from 1 March 2023. This new corporate structure will be the catalyst for the next phase of TM’s transformation to reinforce its fixed-mobile convergence leadership, further improve operational efficiencies and deliver a more seamless customer experience.   “On the back of our current business momentum, there are new opportunities in the adjacent growth areas but also industry headwinds in terms of regulatory policy and higher technology costs. We are continuously assessing the impact of industry developments and will work closely with key stakeholders towards providing technology that is accessible to all in this digital era.”

TM STATEMENT ON BUDGET 2025

TM welcomes the Government’s Budget 2025 announcement, themed “Ekonomi MADANI: Negara Makmur, Rakyat Sejahtera”, and applauds its continued focus on economic reform and uplifting the well-being of the rakyat. In line with these goals, TM is committed to playing a key role in the nation’s digitalisation journey, ensuring that technological advancements contribute to sustainable and inclusive growth that benefits businesses, MSMEs, communities, and the public sector. In line with Budget 2025’s priorities, TM continues to support digital inclusivity by collaborating with the relevant Ministries and Government agencies to enhance high-speed internet access for underserved areas and improve the quality of digital services in various industries such as education and healthcare. TM also remains dedicated to nurturing the nation’s digital talent by integrating crucial skills such as AI, IoT, cybersecurity, and cloud computing into education and training programmes through our Multimedia University (MMU) and collaborations with TVET institutions. As a trusted partner of over 400,000 MSMEs, TM supports the Government’s ongoing initiatives to strengthen this key segment through various financial initiatives. We will continue providing customised digital solutions and empower MSMEs to thrive in the digital economy. As we progress towards becoming a Digital Powerhouse by 2030, TM is well-positioned to drive Malaysia’s digital transformation. Our key investments in digital infrastructures, talent development, and sustainability will fuel the nation’s long-term growth, reinforcing Malaysia’s position as a digital hub for the ASEAN region.

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