TM’s net profit soars by 63.6% to RM1.87bil in FY23

KUALA LUMPUR: Telekom Malaysia Bhd’s (TM) saw its net profit jump 63.6 per cent to RM1.87 billion for the financial year ended Dec 31, 2023 (FY2023) from RM1.14 billion achieved in FY2022, amid lower net finance cost and tax impact.

Revenue rose to RM12.26 billion in FY2023 from RM12.12 billion previously propelled by the strong performance of Unifi and TM Global, the telecommunication group said in a filing with Bursa Malaysia today.

“Unifi’s fixed broadband subscriptions experienced a 3.1 per cent growth, reaching 3.13 million, while TM Global’s revenue grew from heightened demand for domestic and international data services,” it said in a statement.

The group’s capital expenditure (capex) in FY2023 stood at RM1.9 billion or 15.9 per cent of its revenue, which was primarily aimed at expanding the TM’s network infrastructure nationwide and regional submarine cable system.

TM also declared a second interim dividend and final dividend totalling 15.5 sen per share amounting to RM594.9 million.

In the fourth quarter of FY2023, TM’s net profit surged by 170.6 per cent to RM433.53 million against RM160.18 million recorded in the same quarter of FY2022, while revenue improved by 5.1 per cent to RM3.13 billion compared to RM2.98 billion previously.

The better performance was mainly due to the increase in data, Internet and multimedia services, as well as other telecommunication services.

Group chief executive officer Amar Huzaimi Md Deris said TM has sustained its performance amidst challenging regulatory landscapes, heightened competition and evolving market dynamics.

“Our convergence solutions, paired with attractive packages have continued to appeal to our customers, reinforcing our position as the only Fixed Mobile Convergence with quad-play in Malaysia.

“The ongoing expansion of our nationwide fibre coverage, coupled with the enhancement of data and network infrastructure, have also contributed to our growth,” said Amar Huzaimi.

He added that TM remain committed to promoting digital inclusivity and wider digital adoption while addressing the evolving needs of its customers, both domestically and internationally.

He said TM is now focused on evolving into a Digital Powerhouse by 2030, while positioning Malaysia as a digital hub for the region, aligned with Malaysia’s aspiration of becoming a fully integrated digital society. – BK