Skip to content
Back to announcement

20231030_ISAT_Laporan Informasi dan Fakta Material_31482887_lamp2.pdf

Financial statement Text extracted ISAT

Source file signed link, expires in 15 minutes

This browser can't display the PDF inline. Open it in a new tab.

Extracted text 6

Page 1
                                                30 October 2023
                                  Nine Months 2023 Results
                           Total Revenue of IDR37,462.4 bn, 8.5% YoY.
             EBITDA of IDR17,466.9 Bn, 24.0% YoY. Sustained Net Profit of IDR2,787.1 Bn
PT Indosat Tbk. (“the Company”) continuously delivers value creation for its stakeholders by consistently
delivering organic net profit for 11 consecutive quarters. Profit For The Period Attributable To Owners Of
The Parent was IDR2,787.1 billion in the back of stellar financial performance. This is seen in the 8.5% YoY
increase in total revenue to IDR37,462.4 billion while EBITDA of IDR17,466.9 billion increased by 24.0% YoY,
due to a combination of top line growth and cost optimization momentum. EBITDA margin stood at
46.6% in 9M 2023.
Driven by its approach of providing straightforward and affordable products, along with investment in
its network infrastructure, the Company experienced a 0.8% growth in its customer base, reaching 99.4
million in the nine months of 2023 compared to the same period in the prior year. The growth in the
customer base resulted in a modest increase in Average Revenue per User (ARPU) for the nine months
of 2023, reaching IDR 34.7 thousand, up from IDR 33.8 thousand in the same period of the previous year.
With the customer base growing, data traffic saw an impressive 16.5% YoY rise in 9M 2023. Concurrently,
the Company has expanded its network infrastructure, boosting the 4G BTS count to 172k in order to
effectively manage the heightened traffic levels.
Financial Highlights




* excluding Right of Use Assets under PSAK 73

The Company is improving services in Nusa Tenggara aims to support equitable digital access while
empowering communities in the eastern region of Indonesia. The Company believes that the use of
digital technology will open up unlimited opportunities, maximize existing potential, and encourage
regional economic growth. This is the beginning for the Company in realizing larger goal of connecting
and empowering the Indonesian people by accelerating the nation's digital transformation.

The Company has a larger goal to connect and empower Indonesian people by accelerating the nation's
digital transformation. The Company new partnership with International Telecommunication Union ("ITU")
and its Digital Transformation Centres Initiative will align with this goal through exceptional digital skills
training and opening up exciting new career opportunities. The Company believes that this new
approach based on partnerships will set an example for industry in Asia and put Indonesia at the forefront
of the region's digital transformation journey.
Page 2
                                       NINE MONTHS 2023
                                OPERATING AND FINANCIAL RESULTS

The Company has released its unaudited interim consolidated financial statements for the Nine
Months 2023 (“9M 2023”). The unaudited interim consolidated financial statements have been
prepared and presented in accordance with Indonesian Financial Accounting Standards (IFAS).
Unaudited Interim Consolidated Statements of Profit or Loss and Other Comprehensive Income
 Key Indicators                          Annually                              Quarterly
 (in IDR billion)          9M 2023 9M 2022        Growth %       3Q 2023      2Q 2023     Growth %
 Revenues                   37,462.4  34,530.8            8.5      12,787.6     12,729.8         0.5
    • Cellular              32,173.4   29,842.9           7.8      10,995.7     10,919.7         0.7
    • MIDI                   4,538.4    4,095.9         10.8         1,509.1     1,574.4        (4.1)
    • Fixed Telecom            750.6       592.0        26.8          282.8         235.7      20.0
 Expenses                 (30,395.6) (26,630.9)          14.1    (10,486.6)   (10,323.2)          1.6
 Operating Profit            7,066.8     7,899.9      (10.5)        2,301.0     2,406.6        (4.4)
 Other Expenses - Net      (3,464.6)    (3,121.9)        11.0       (1,119.2)   (1,143.5)       (2.1)
 Profit for the Period
   Attributable to Owners
   of The Parent              2,787.1    3,687.6     (24.4)            878.7        979.3     (10.3)
 EBITDA*                    17,466.9   14,086.7        24.0         6,083.8     6,054.0          0.5
 EBITDA Margin                46.6%       40.8%           5.8         47.6%        47.6%         0.0

    Financial Ratios
                                    Formula                                                    9M 2023        9M 2022
    Interest Coverage**             EBITDA/Interest Payment                                      14.36          13.96
    Net Debt to EBITDA***           (Debt - Cash & Cash Equivalent)/Total                        0.36            0.75
                                    EBITDA
* EBITDA (earnings before interest, taxes, depreciation and amortization) is a non-IFAS measure that management believes is
a useful supplemental measure of cash generated prior to debt service, capital expenditures and income tax. Investors are
cautioned that EBITDA should not be construed as an alternative to net income determined in accordance with IFAS as an
indicator of the Company’s performance or to cash flows from operations as a measure of liquidity and cash flows. EBITDA
does not have a standardized meaning prescribed by IFAS. The Company’s method of calculating EBITDA may differ from the
methods used by other companies and, accordingly, it may not be comparable to similarly titled measures used by other
companies.
** Calculated using EBITDA and interest payment for the periods ended 30 September 2023 and 2022.
*** Net debt excludes lease liabilities.

UNAUDITED INTERIM CONSOLIDATED                      STATEMENTS         OF     PROFIT     OR     LOSS     AND     OTHER
COMPREHENSIVE INCOME

Revenues of IDR37,462.4 billion were recorded for 9M 2023, an increase of IDR2,931.6 billion or 8.5%
higher compared to 9M 2022. The Company’s Cellular, MIDI, and Fixed Telecommunication
business each contributed 85.9%, 12.1%, and 2.0%, respectively to the consolidated operating
revenues for the period ended 30 September 2023.

    •   Cellular Revenues increased by 7.8% compared to 9M 2022, attributable to increase in Data
        and Interconnection revenue, offsetting with decrease in Voice revenue.
    •   MIDI Revenues increased by 10.8% compared to 9M 2022, attributable to increase in IT
        Services and Fixed Internet, offsetting with decrease in Fixed Connectivity revenue.
    •   Fixed Telecommunication Revenues increased by 26.8% compared to 9M 2022 driven by
        increase in International Call and Fixed Line revenues.

Expenses of IDR30,395.6 billion were recorded for 9M 2023, an increase of IDR3,764.7 billion or 14.1%
higher compared to 9M 2022. This increase was mainly due to increase in Depreciation and
Amortization, Marketing Expenses, and decrease in Other Operating Income offset by decrease
in Cost of Services, Personnel, and General and Administration Expenses.

•       Cost of Services: decreased by IDR391.7 billion or 2.4% lower over 9M 2022, mainly
        due to decrease in frequency fee, maintenance, and installation, offsetting with
        higher interconnection, SIM cards, and rent expenses.
Page 3
•       Depreciation and Amortization: increased by IDR914.7 billion or 9.1% higher over 9M 2022,
        mainly due to impact of depreciation from additional fixed assets from network roll out.
•       Personnel Expenses: decreased by IDR132.0 billion or 4.6% lower over 9M 2022 mainly due to
        one-off employee cost related to rightsizing and Jiwasraya in 2022.
•       Marketing Expenses: increased by IDR78.9 billion or 8.2% higher over 9M 2022, mainly due to
        increase in subscriber acquisition cost, promotion, exhibition, and advertising as impact from
        higher activities to support revenue growth, offset by decrease in channel marketing, and
        marketing agency expenses.
•       General and Administration Expenses: decreased by IDR3.8 billion or 0.7% lower over 9M
        2022 mainly due to decrease in provision for impairment of trade receivables, insurance, and
        public relation expenses as part of ongoing cost optimization initiatives offset by increase in
        professional fees and transportation expenses.
•       Other Operating Income: decreased by IDR3,298.6 billion or 86.1% lower over 9M 2022 mainly
        due to one-off net gain associated with the loss of control of a subsidiary in 2022 offset by
        net gain on assets sale and leaseback of towers in 2023.

Other Expense - net: The Company recorded expenses of IDR3,464.6 billion, increased by
IDR342.7 billion or 11.0% higher over 9M 2022. This increase was due to an increase in finance costs
of IDR343.9 billion mainly due to higher finance charges under lease liabilities and increase in loss
on foreign exchange by IDR 204.4 billion, offset by increase in interest income by IDR205.7 billion.

Profit for the Period Attributable to Owners of the Parent: The Company recorded net profit of IDR
2,787.1 billion, decreased by IDR 900.5 billion primarily due to decrease in other operating income,
increase in depreciation and amortization, and increase financing cost offset by increase in
revenue and decrease in cost of services.

UNAUDITED INTERIM CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
    Key Indicators (in IDR billion)                               9M 2023       FY 2022*      Growth %
    ASSETS
      Current Assets                                               14,604.3        18,683.1     (21.8)
      Non-Current Assets                                           97,600.8       94,974.2        2.8
    TOTAL ASSETS                                                   112,205.1      113,657.3      (1.3)
    LIABILITIES
      Current Liabilities                                          33,028.3       35,874.0      (7.9)
      Non-Current Liabilities                                       47,165.3       46,414.7      1.6
    TOTAL LIABILITIES                                              80,193.6       82,288.7      (2.5)
    TOTAL EQUITY                                                    32,011.5       31,368.6      2.0
    TOTAL LIABILITIES & EQUITY                                     112,205.1      113,657.3     (1.3)

    *as restated, see Note 35 to Interim Consolidated Financial Statements

    •   Current assets decreased by 21.8% to IDR14,604.3 billion, mainly due to a decrease in cash
        and cash equivalent and decrease in prepaid frequency fee and licenses due to
        amortization offset by increase in trade receivables and inventories.
    •   Non-current assets increased by 2.8% to IDR97,600.8 billion, mainly due to increase in fixed
        assets offset by decrease in long-term prepayments.
    •   Current liabilities decreased by 7.9% to IDR33,028.3 billion mainly due to decrease in current
        maturities of long-term debt, unearned revenues, and accrued expenses, offset by increase
        in procurement payable.
    •   Non-current liabilities increased by 1.6% at IDR47,165.3 billion mainly due to increase in
        obligation under finance lease offset by decrease in non-current portion of loans and bonds
        payables.
Page 4
 Cash Flow and Capital Expenditure
 Key Indicators (in IDR billion)                                    9M 2023       9M 2022     Growth %
 Net Cash Flows Provided by Operating Activities                      14,612.2     13,407.1         9.0
 Net Cash Flows Used in Investing Activities                         (6,374.1)    (3,908.9)        63.1
 Net Cash Flows Used in Financing Activities                       (10,830.7)     (8,836.5)        22.6
 Net Foreign Exchange Differences from Cash and Cash                    (112.3)       132.0     (185.0)
     Equivalents
 Net (Decrease) Increase in Cash and Cash Equivalents               (2,704.9)        793.7     (440.8)
 CASH AND CASH EQUIVALENTS AT BEGINNING OF THE PERIOD                 9,507.9      3,789.0       150.9
 CASH AND CASH EQUIVALENTS AT END OF THE PERIOD                      6,803.0       4,582.7        48.4

Capex in 9M 2023 amounted to IDR7,772.9 billion (excluding IDR6,660.5 billion of Right of Use
Assets). Approximately 90.2% of the Capex was allocated to cellular, to support data services
demand and the remaining balance was allocated to MIDI, infrastructure and IT Capex.

STATUS OF DEBT
Total outstanding debt: As of 30 September 2023, the Company had total outstanding gross
debts (excluding unamortized transaction costs and lease liabilities) of IDR14,983.0 billion. The
Company’s cash position as at 30 September 2023 stood at IDR6,803.0 billion and net debt is at
IDR8,180.0 billion. The composition of the Company’s gross debt, excluding lease liabilities, is as
follows:

 Debt Proportion (Principal amount)              9M 2023                 FY 2022     Growth %
 IDR Loans (billion)                               7,600.0                13,727.3        (44.6)
 IDR Bonds (billion)                               7,383.0                7,596.0           (2.8)
Total maturing debt: in the next twelve months, IDR1,773 billion of the Company’s debt is maturing.
The average tenor of debt is 2.9 years as of 30 September 2023.


OPERATIONAL RESULTS

                                         Annually                                 Quarterly
Key Indicators
                               9M 2023 9M 2022 Growth %             3Q 2023       2Q 2023 Growth %
Customers - Postpaid (million)       1.6      1.6    1.0                   1.6          1.6   (0.9)
Customers - Prepaid (million)      97.8     97.0     0.8                 97.8         98.4    (0.6)
Customers - Total (million)        99.4     98.6     0.8                 99.4        100.0    (0.6)
ARPU (Postpaid) (IDR thousand)     72.3     67.2     7.5                 76.8          71.6      7.4
ARPU (Prepaid) (IDR thousand)      34.1     33.3     2.4                 34.7         35.2     (1.3)
ARPU (Blended) (IDR thousand)      34.7     33.8     2.5                 35.4         35.8      (1.1)
MoU (minutes)                       7.4      12.1 (38.9)                  7.0           7.3   (4.2)
Data Traffic (PB)                10,701    9,182    16.5                3,674        3,652      0.6
SMS Traffic (bn)                    2.7       2.1   26.9                   1.0           1.1 (10.2)

In 9M 2023 the company experienced growth in its cellular customer base, reaching a total of
99.4 million customers. 9M 2023 customers number increased by 0.8 million customers compared
with 9M 2022.

ARPU for cellular customers in 9M 2023 stood at IDR34.7 thousand or IDR0.9 thousand higher
compared to 9M 2022.

Average Minutes of Usage (MOU) per customer decreased to 7.4 minutes, a 38.9% decrease
compared to 9M 2022 in-line with the decrease of industry trend related to traditional voice
services.
Page 5
    NETWORKS

    As of 30 September 2023, the Company has operated ~172K 4G BTS (adding ~45K 4G BTS during
    9M 2023) and 90 5G BTS.

                                                                                                 Annually
     Key Indicators
                                                                            9M 2023               9M 2022                 % Change
     Base Transceiver Stations (BTS)                         2G                  49,220                44,919                    9.6
                                                             3G                        -                15,103               (100.0)
                                                             4G                  172,115              127,557                   34.9
                                                             5G                      90                     90                     -

    ESG FRAMEWORK: DRIVING SUSTAINABLE GROWTH
    The Company believes that businesses have a vital role to play in creating a better and more
    sustainable world. Guided by Company’s mission to “connecting & Empowering every
    Indonesian”, the Company maintains its strong commitment to have positive social impact with
    our Environmental, Social, and Governance (ESG) framework, fueling sustainable growth and
    positive impact in Indonesia's telecommunications landscape. Our ESG strategy rests on three
    pillars:

    1.   Practicing Environment Safeguard: We are deeply committed to reducing greenhouse gas
         emissions and fostering sustainability. Our approach includes behavior changes to lower
         energy consumption, such as installing solar panels, high-efficient batteries, intelligent cell
         sleep mode at mobile base stations. These eco-conscious practices reduce our carbon
         footprint, driving a more sustainable future for Indonesia and aligning with global climate
         change efforts.

    2.   Enhancing Social Impact: We harness the power of digital initiatives to uplift communities,
         bridging the digital divide across Indonesia and promoting gender diversity in our leadership.
         Our social responsibility drives inclusive development and empowers individuals.

    3.   Responsible Corporate Governance: We are actively working on strengthening our privacy
         and data protection systems to ensure its alignment with the high standards we strive to
         uphold. We recognize the paramount importance of having robust measures in place to
         safeguard the privacy and data of our customers and stakeholders.

    Through these pillars, we are resolute in our pursuit of sustainable growth and a brighter, inclusive
    future for Indonesia and beyond, creating long-term value for our stakeholders.




About Indosat Ooredoo Hutchison
Indosat Ooredoo Hutchison (Indosat, IDX: ISAT) has the vision to become the most preferred digital telecommunications company
in Indonesia. Together with its subsidiaries and affiliates, Indosat provides cellular services, ICT solutions, data centers, Fiber to the
Home (FTTH), electronic payment services, financial services, and other digital services. Indosat has a bigger goal of empowering
Indonesia. And with the spirit of Gotong Royong, Indosat wants to be the main collaborator in realizing goals and creating
meaningful change.

Ticker: ISAT; Closing Price: IDR9,825; Market Capitalization: IDR79.2 trillion; Ratings: Pefindo idAAA (Stable);
Fitch AA+(idn) (Stable); USD Rate: IDR15,526
Page 6
                   UNAUDITED INTERIM CONSOLIDATED STATEMENTS OF PROFIT OR LOSS AND
                                      OTHER COMPREHENSIVE INCOME
                       For The Nine-Month Periods Ended 30 September 2023 and 2022
                                     (Expressed in Billions of Rupiah)
                                                                                                                     Growth
                               Description                                           2023             2022
                                                                                                                      (%) (1)
 REVENUES
 Cellular                                                                             32,173.4       29,842.9             7.8
 Multimedia, Data Communication, Internet (“MIDI”)                                    4,538.4         4,095.9            10.8
 Fixed Telecommunications                                                               750.6           592.0            26.8
 TOTAL REVENUES                                                                      37,462.4        34,530.8             8.5

 (EXPENSES) INCOME
 Cost of Services                                                                   (15,655.6)      (16,047.3)           (2.4)
 Depreciation and Amortization                                                       (10,931.3)     (10,016.6)             9.1
 Personnel                                                                            (2,727.0)      (2,859.0)           (4.6)
 Marketing                                                                            (1,043.3)        (964.4)             8.2
 General and Administration                                                             (569.6)         (573.4)          (0.7)
 Share of Net Loss of Associates and Joint Ventures                                      (69.0)           (11.2)        514.9
 (Loss) Gain on Foreign Exchange - net                                                     (3.7)            2.4       (249.4)
 Net Gain on Assets Sale and Leaseback                                                    722.4                -        100.0
 Net Gain Associated with the Loss of Control of a Subsidiary                                  -       3,488.4        (100.0)
 Amortization of Deferred Gain on Sale and Leaseback of                                        -           84.2       (100.0)
     Towers
 Others - Net                                                                          (118.5)          266.0         (144.5)
 TOTAL EXPENSES                                                                    (30,395.6)      (26,630.9)            14.1

 OPERATING PROFIT                                                                     7,066.8          7,899.9          (10.5)

 Interest Income                                                                       264.5              58.8          350.1
 Finance Costs                                                                      (3,629.8)        (3,285.9)           10.5
 (Loss) Gain on Foreign Exchange - net                                                 (99.3)            105.1        (194.5)
 Gain on Change in Fair Value of Derivatives - net                                          -              0.1        (100.0)

 OTHER EXPENSES - Net                                                               (3,464.6)         (3,121.9)           11.0

 PROFIT BEFORE INCOME TAX                                                             3,602.2          4,778.0         (24.6)
 INCOME TAX EXPENSE                                                                    (616.2)          (736.1)         (16.3)


 PROFIT FOR THE PERIOD                                                                2,986.0          4,041.9          (26.1)
 PROFIT FOR THE PERIOD ATTRIBUTABLE TO:
           OWNERS OF THE PARENT                                                        2,787.1         3,687.6         (24.4)
           NON-CONTROLLING INTERESTS                                                    198.9            354.3         (43.9)
 TOTAL                                                                                2,986.0          4,041.9          (26.1)
 1) Percentage changes may vary due to rounding.
Disclaimer
This document contains certain financial information and results of operation, and may also contain certain projections, plans,
strategies, and objectives of Indosat Ooredoo Hutchison, that are not statements of historical fact which would be treated as forward-
looking statements within the meaning of applicable law. Forward looking statements are subject to risks and uncertainties that may
cause actual events and Indosat Ooredoo Hutchison's future results to be materially different than expected or indicated by such
statements. No assurance can be given that the results anticipated by Indosat Ooredoo Hutchison, or indicated by any such forward
looking statements, will be achieved.

The financial information provided herein is based on Indosat Ooredoo Hutchison’s consolidated financial statements in accordance
with Indonesian Financial Accounting Standards .

File

File Open PDF
Source IDX
Size0.35 MB
Published30 Oct 2023
Pages6
Characters23,780
Text sourceEmbedded text layer
OCR confidence—

Names mentioned 0 people and organisations named in the text · linked when the evidence is strong

The name pass has not read this document yet.

Extraction attempts how the parser did, and what it refused

Nothing structured was extracted from this document — the attempts below say why.

No extraction attempted yet.

↑↓ select ↵ open ⇧↵ see every result