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Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia Tbk. and its subsidiaries Consolidated financial statements as of December 31, 2024 and for the year ended with independent auditor’s report
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PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
CONSOLIDATED FINANCIAL STATEMENTS
AS OF DECEMBER 31, 2024 AND FOR THE YEAR THEN ENDED
WITH INDEPENDENT AUDITOR’S REPORT
TABLE OF CONTENTS
Page
Statement of the Board of Directors
Independent Auditor’s Report
Consolidated Statements of Financial Position 1
Consolidated Statements of Profit or Loss and Other Comprehensive Income 2
Consolidated Statements of Changes in Equity 3
Consolidated Statements of Cash Flows 4
Notes to the Consolidated Financial Statements 5-113
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Statement of the Board of Directors
regarding the Board of Director’s Responsibility for
Consolidated Financial Statements
as of December 31, 2024 and for the year ended
Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia Tbk and its Subsidiaries
On behalf of the Board of Directors, we the undersigned:
1. Name : Ririek Adriansyah
Business address : Jl. Japati No.1 Bandung 40133
Address : Jl. Karang Tengah Raya Pertanian I/99 RT 05 RW 04
Kelurahan Lebak Bulus, Kecamatan Cilandak, Jakarta Selatan
Phone : (022) 452 7101
Position : President Director
2. Name : Heri Supriadi
Business address : Jl. Japati No.1 Bandung 40133
Address : Jl. Birah II No.16 RT 05 RW 06
Kelurahan Rawa Barat, Kecamatan Kebayoran Baru, Jakarta Selatan
Phone : (022) 452 7201/ (021) 520 9824
Position : Director of Finance and Risk Management
hereby state as follows:
1. We are responsible for the preparation and presentation of the consolidated financial statements of
Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia Tbk (the “Company”) and its subsidiaries
as of December 31, 2024 and for the year ended;
2. The Company and its subsidiaries’ consolidated financial statements as of December 31, 2024 and for
the year ended have been prepared and presented in accordance with Indonesian Financial Accounting
Standards;
3. All information has been fully and correctly disclosed in the Company and its subsidiaries’ consolidated
financial statements;
4. The Company and its subsidiaries’ consolidated financial statements do not contain false material
information or facts, nor do they omit any material information or facts;
5. We are responsible for the Company and its subsidiaries’ internal control system.
This statement is considered to be true and correct.
Jakarta, April
April 17 , 2025
for and behalf of
PT Telkom Indonesia (Persero) Tbk.
Ririek Adriansyah Heri Supriadi
President Director Director of Finance and Risk Management
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Indepe ndent A uditor’s Report
Repor t No. 0 0 6 46 / 2.1 0 3 2 / AU.1 / 0 6 / 0 6 8 7-3 / 1 /IV / 2 0 2 5
The Shareholders and the Boards of Commissioners and Direc tors
Pe rusaha an Pe rse roan (Perse ro) PT T ele komunikasi Indone sia Tbk.
Opinion
We have audited the accompanying consolidated financial statements of Perusaha an Perseroan
(Persero) PT Telekomunikasi Indonesia Tbk. (the “Company”) and its subsidiaries (collectively
referr ed to as the “Group”), which comprise the consolida ted statement of financial position as
of Decembe r 3 1 , 2 02 4 , and the consolidated statement of profit or loss and other
compr ehensive income, consolidated statement of changes in equity, and consolidated
statement of cash flows for the year then ended, and notes to the consolidated financial
statements, including material accounting policy information.
In our opinion, the accompanying consolidated financial statements present fairly, in all material
respects, the consolidated financial position as of December 3 1 , 2 0 2 4, and its consolidated
financial performance and cash flows for the year then ended, in accordance with Indonesian
Financial Accounting Standards.
B asis for opinion
We conducted our audit in accordance with Standards on Auditing established by the Indonesian
Institute of Certified Public Accountants (“IICPA ”). Our responsibilities under those standards
are further described in the Auditor’s Responsibilities for the Audit of the Consolidated Financial
Statements paragraph of our report. We are independent of the Group in accordance with the
ethical requirements relevant to our audit of the consolidated financial statements in Indonesia,
and we have fulfilled our other ethical responsibilities in accordance with such requirements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a
basis for our opinion.
K e y audit ma t t ers
Ke y audit matters are those matters that, in our professional judgment, wer e of most
significance in our audit of the consolida ted financial statements of the current period. Such
key audit matters were addressed in the context of our audit of the consolidated financial
statements taken as a whole, and in forming our opinion thereon, and we do not provide a
separate opinion on such key audit matters. For the key audit matter below, our description of
how our audit addressed such key audit matter is provided in such context.
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Indepe ndent A uditor’s Report (continued)
Report No. 0 06 4 6 / 2.1 0 3 2 / AU.1 / 0 6 / 0 6 8 7-3 / 1 /IV / 2 0 2 5 (continued)
K e y audit ma t t ers (continued)
We have fulfilled the responsibilities described in the Auditor’s Responsibilities for the Audit of
the Consolida ted Financial Statements paragraph of our report, including in relation to the key
audit matter communicated below. Accordingly, our audit included the performance of
procedures designed to respond to our assessment of the risks of material misstatement of the
accompanying consolidated financial statements. The results of our audit procedures, including
the procedures performed to address the key audit matter below, provide the basis for our
opinion on the accompanying consolidated financial statements.
Evaluation of telecommunication infrastructure estimated useful lives
Description of the key audit matter:
As of December 3 1 , 2 0 2 4 , the balance of consolidated telecommunication infrastructures
amounted to Rp1 6 1,0 3 5 billion which represents 5 4% of total consolidated assets. As discussed
in Notes 2 y and 1 1 to the accompanying consolidated financial statements, the Group reviews
the estimated useful lives of its property and equipment, including telecommunication
infrastructures, at least annually and such estimates are updated if expectations differ from
pre vious estimates due to changes in expectation of physical wear and tear, technical, or
commercial obsolescence, and legal or other limitations on the continuing use of the property
and equipment.
Auditing the Group's estimated useful lives of telecommunication infrastructures is complex and
requires significant judgment beca use the determination of the estima ted useful lives considers
a number of factors, including strategic business plans, expected future technological
developments, and market behavior.
Audit response:
We obtained an understanding, and evaluated the design and tested the operating
effectiveness, of internal controls over the Group’s process of estimating the useful lives of its
telecommunication infrastructures. This includes, among others, testing of management’s
review control on checking the completeness and accuracy of the assets classification data and
assessing the appropriateness of the judgments regarding the most relevant data to be
considered in determining its useful lives. We also tested management’s control on
benchmarking analysis, including the selection criteria, on the estima ted useful lives of
telecommunication infrastructures.
To test whether the estimated use ful lives of telecommunication infrastructures used by
management was reasonable, our audit procedures included, among others, obtaining an
understanding of management’s strategy related to asset replacements and assessed the
reasonableness of assumptions by considering external sources, such as telecommunication
technology growth, changes in market demand, and current economic and regulatory trends.
We assessed whether the benchmarking analysis on the estimated useful lives of
telecommunication infrastructures used by management was complete and consistent with the
selection criteria through comparison with sample portfolio of public companies within the
telecommunication industry.
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Indepe ndent A uditor’s Report (continued)
Report No. 0 06 4 6 / 2.1 0 3 2 / AU.1 / 0 6 / 0 6 8 7-3 / 1 /IV / 2 0 2 5 (continued)
O t her information
Management is responsible for the other information. Other information comprises the
information included in the 2 02 4 Annual Report (“The Annual Report”) other than the
accompanying consolidated financial statements and our independent auditor’s report thereon.
The Annual Report is expected to be made available to us after the date of this independent
auditor’s report.
Our opinion on the accompanying consolidated financial statements does not cover the Annual
Repor t, and accordingly, we do not express any form of assurance on the Annual Report.
In connection with our audit of the accompanying consolidated financial statements, our
responsibility is to read the Annual Report when it becomes available and, in doing so, consider
whether the Annual Report is materially inconsistent with the accompanying consolidated
financial statements or our knowledge obtained in the audit, or otherwise appears to be
materially misstated.
When we read the Annual Report, if we conclude that there is a material misstatement therein,
we are required to communica te the matter to those charged with governance and take
appropriate actions based on the applicable laws and regulations.
Responsibilities of management and those charged with gov ernance for the consolida t ed
financial st a t e ment s
Management is responsible for the preparation and fair presentation of the consolidated
financial statements in accordance with Indonesian Financial Accounting Standards, and for
such internal control as management determines is necessary to enable the preparation of
consolidated financial statements that are free from material misstatement, whether due to
fraud or error.
In preparing the consolidated financial statements, management is responsible for assessing
the Group’s ability to continue as a going concern, disclosing, as applicable, ma tters related to
going concern, and using the going concern basis of accounting, unless management either
intends to liquidate the Group or to cease its operations, or has no realistic alternative but to
do so.
Those charged with governance are responsible for overseeing the Group’s financial r eporting
process.
A uditor’s responsibilities for the audit of the consolida t ed financial st a t e ments
Our objectives are to obtain reasonable assurance about whether the consolida ted financial
statements taken as a whole are free from material misstatement, whether due to fraud or
error, and to issue an independent auditor’s report that includes our opinion. Reasonable
assurance is a high level of assurance, but is not a guarantee that an audit conducted in
accordance with Standards on Auditing established by the IICPA will always detect a material
misstatement when it exists. Misstatements can arise from fraud or error and are considered
material if, individually or in the aggregate, they could reasonably be expected to influence the
economic decisions of users taken on the basis of these consolidated financial statements.
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Indepe ndent A uditor’s Report (continued)
Report No. 0 06 4 6 / 2.1 0 3 2 / AU.1 / 0 6 / 0 6 8 7-3 / 1 /IV / 2 0 2 5 (continued)
A uditor’s responsibilities for the audit of the consolida t ed financial st a t e ments (continued)
As part of an audit in accordance with Standards on Auditing established by the IICPA, we
exercise professional judgment and maintain professional skepticism throughout the audit. We
also:
Identify and assess the risks of material misstatement of the consolidated financial
statements, whether due to fraud or error, design and perform audit procedures responsive
to such risks, and obtain audit evidence that is sufficient and appropriate to provide a basis
for our opinion. The risk of not detecting a material misstateme nt resulting from fraud is
higher than for one resulting from error, as fraud may involve collusion, forgery, intentional
omissions, misrepresentations, or override of internal control.
Obtain an understanding of internal control relevant to the audit in order to design audit
procedures that are appropriate in the circumstances, but not for the purpose of expressing
an opinion on the effectiveness of the Group’s internal control.
Evalua te the appropriateness of accounting policies used and the reasonableness of
accounting estimates and related disclosures made by management.
Conclude on the appropriateness of management's use of the going concern basis of
accounting and, based on the audit evidence obtained, whether a material uncertainty exists
related to events or conditions that may cast significant doubt on the Group's ability to
continue as a going concern. If we conclude that a material uncertainty exists, we are
required to draw a t t ention in our independent auditor’s report to the rela ted disclosures in
the consolidated financial statements or, if such disclosures are inadequate, to modify our
opinion. Our conclusion is based on the audit evidence obtained up to the date of our
independent auditor’s report. Howeve r, future events or conditions may cause the Group to
cease to continue as a going concern.
Evalua te the overall presentation, structure, and content of the consolidated financial
statements, including the disclosures, and whether the consolidated financial statements
represe nt the underlying transactions and events in a manner that achieves fair
presentation.
Obtain sufficient appropriate audit evidence regarding the financial information of the
entities or business activities within the Group to express an opinion on the consolidated
financial statements. We are responsible for the direction, supervision, and performance of
the group audit. We remain solely responsible for our audit opinion.
We communica te with those charged with governance regarding, among other matters, the
planned scope and timing of the audit and significant audit findings, including any significant
deficiencies in internal control that we identify during our audit.
We also provide those charged with governance with a statement that we have complied with
relevant ethical requirements regarding independence, and to communicate with them all
relationships and other matters that may reasonably be thought to bear on our independence,
and where applicable, related safeguards.
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Independent Auditor`s Report (continued)
Report No. 00646/2.1032/AU.1/06/0687-3/1/IV/2025 (continued)
Auditor`s responsibilities for the audit of the consolidated financial statements (continued)
From the matters communicated with those charged with governance, we determine those
matters that were of most significance in the audit of the consolidated financial statements of
the current period and are therefore the key audit matters. We describe such key audit matters
in our independent auditor's report unless laws or regulations preclude public disclosure about
such key audit matters or when, in extremely rare circumstances, we determine that a key audit
matter should not be communicated in our independent auditor's report because the adverse
consequences of doing so would reasonably be expected to outweigh the public interest benefits
of such communication.
KAP urwantono, Sungkoro & Surja
I
Agung urw to
Public A ount nt Registration No.: AP. 0687
April 17, 2 5
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
As of December 31, 2024
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
Notes 2024 2023
ASSETS
CURRENT ASSETS
Cash and cash equivalents 3,32,37 33,905 29,007
Other current financial assets 4,32,37 1,285 1,661
Trade receivables - net allowance for expected
credit losses
Related parties 5,32,37 2,350 1,918
Third parties 5,37 9,843 8,749
Contract assets 6,32 2,449 2,704
Inventories 7 1,096 997
Contract costs 9 1,134 653
Claim for tax refund and prepaid taxes 27 2,844 1,928
Other current assets 8,32 8,174 7,996
Total Current Assets 63,080 55,613
NON-CURRENT ASSETS
Contract assets 6,32 129 26
Long-term investments 10,37 8,335 8,162
Contract costs 9 1,596 1,568
Property and equipment 11,32,35a 180,566 180,755
Right-of-use assets 12a 26,910 22,584
Intangible assets 14 9,442 8,731
Deferred tax assets 27f 3,409 4,170
Other non-current assets 13,27,32 6,208 5,433
Total Non-current Assets 236,595 231,429
TOTAL ASSETS 299,675 287,042
LIABILITIES AND EQUITY
CURRENT LIABILITIES
Trade payables
Related parties 15,32,37 626 585
Third parties 15,37 14,710 18,023
Contract liabilities 17a,32 7,738 6,848
Other payables 37 454 441
Taxes payable 27c 3,293 4,525
Accrued expenses 16,32,37 14,192 13,079
Customer deposits 32 2,872 2,566
Short-term bank loans 18,32,37 11,525 9,650
Current maturities of long-term
loans and other borrowings 19,32,37 15,866 10,276
Current maturities of lease liabilities 12a,37 5,491 5,575
Total Current Liabilities 76,767 71,568
NON-CURRENT LIABILITIES
Deferred tax liabilities 27f 992 841
Contract liabilities 17b,32 2,484 2,591
Long service award provisions 31 1,192 1,153
Pension benefits and other post-employment
benefits obligations 30 11,540 11,414
Long-term loans and other borrowings 19,32,37 25,518 27,773
Lease liabilities 12a,37 18,468 14,850
Other non-current liabilities 224 290
Total Non-current Liabilities 60,418 58,912
TOTAL LIABILITIES 137,185 130,480
EQUITY
Capital stock 21 4,953 4,953
Additional paid-in capital 2,310 2,711
Other equity 22 9,898 9,639
Retained earnings
Appropriated 29 15,337 15,337
Unappropriated 109,596 103,104
Net equity attributable to:
Owners of the parent company 142,094 135,744
Non-controlling interests 20 20,396 20,818
TOTAL EQUITY 162,490 156,562
TOTAL LIABILITIES AND EQUITY 299,675 287,042
The accompanying notes form an integral part of these consolidated financial statements.
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
CONSOLIDATED STATEMENTS OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME
For the Year Ended December 31, 2024
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
Notes 2024 2023
REVENUES 23,32 149,967 149,216
COST AND EXPENSES
Operation, maintenance, and telecommunication
service expenses 25,32 (41,202) (39,718)
Depreciation and amortization expenses 11,12a,14 (32,643) (32,663)
Personnel expenses 24 (16,807) (15,927)
Interconnection expenses 32 (6,880) (6,363)
General and administrative expenses 26,32 (6,225) (6,099)
Marketing expenses 32 (3,824) (3,530)
Unrealized gain (loss) on changes in fair value of investments 10 188 (748)
Other income - net 281 252
Gain (loss) on foreign exchange - net 136 (36)
OPERATING PROFIT 42,991 44,384
Finance income - net 32 1,367 1,061
Finance cost 32 (5,208) (4,652)
Share of profit of long-term investment in associates 10 3 1
PROFIT BEFORE INCOME TAX 39,153 40,794
INCOME TAX (EXPENSE) BENEFIT 27d
Current (7,635) (8,796)
Deferred (775) 210
(8,410) (8,586)
PROFIT FOR THE YEAR 30,743 32,208
OTHER COMPREHENSIVE INCOME (LOSS)
Other comprehensive income (loss) to be reclassified to profit or
loss in subsequent periods:
Foreign currency translation 22 258 (66)
Changes in fair value of investments 10 1 2
Share of other comprehensive income (loss) of
long-term investment in associates 10 1 (1)
Other comprehensive income (loss) not to be reclassified to profit
or loss in subsequent periods:
Defined benefit actuarial gain (loss) - net 30 635 (1,389)
Other comprehensive income (loss) - net 895 (1,454)
TOTAL COMPREHENSIVE INCOME FOR THE YEAR 31,638 30,754
Profit for the year attributable to:
Owners of the parent company 23,649 24,560
Non-controlling interests 20 7,094 7,648
30,743 32,208
Total comprehensive income for the year attributable to:
Owners of the parent company 24,434 23,083
Non-controlling interests 7,204 7,671
31,638 30,754
BASIC EARNINGS PER SHARE
(in full amount) 28
Profit per share 238.73 247.92
Profit per ADS (100 Series B shares per ADS) 23,872.88 24,792.50
The accompanying notes form an integral part of these consolidated financial statements.
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
For the Year Ended December 31, 2024
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
Attributable to owners of the parent company
Retained earnings
Capital Additional Non-controlling
Description Notes stock paid-in capital Other equity Appropriated Unappropriated Net interests Total equity
Balance, January 1, 2023 4,953 2,711 9,697 15,337 96,560 129,258 20,004 149,262
Differences in non-controlling interests ownership acquisition
transactions of subsidiary - - 6 - - 6 - 6
Additional capital contributions from non-controlling interests
of subsidiary 1e - - - - - - 2,955 2,955
Changes in non-controlling interests - - - - - - 22 22
Cash dividend 29 - - - - (16,603) (16,603) (9,803) (26,406)
Repurchase of non-controlling interests shares 1e - - - - - - (31) (31)
Profit for the year 20 - - - - 24,560 24,560 7,648 32,208
Other comprehensive income (loss) - net - - (64) - (1,413) (1,477) 23 (1,454)
Balance, December 31, 2023 4,953 2,711 9,639 15,337 103,104 135,744 20,818 156,562
Balance, January 1, 2024 4,953 2,711 9,639 15,337 103,104 135,744 20,818 156,562
Difference in value of restructuring transactions of
entities under common control 1e - (401) - - - (401) (158) (559)
Additional capital contributions from non-controlling interests
of subsidiary 1e - - - - - - 322 322
Changes in non-controlling interests - - - - - - 13 13
Cash dividend 29 - - - - (17,683) (17,683) (7,099) (24,782)
Repurchase of non-controlling interests shares 1e - - - - - - (704) (704)
Profit for the year 20 - - - - 23,649 23,649 7,094 30,743
Other comprehensive income (loss) - net - - 259 - 526 785 110 895
Balance, December 31, 2024 4,953 2,310 9,898 15,337 109,596 142,094 20,396 162,490
The accompanying notes form an integral part of these consolidated financial statements.
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
For the Year Ended December 31, 2024
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
Notes 2024 2023
CASH FLOWS FROM OPERATING ACTIVITIES
Cash receipts from customers and other operators 148,415 148,458
Cash receipts from interests 1,366 1,049
Cash receipts from tax refund 1,144 681
Cash payments for expenses (51,273) (53,410)
Cash payments to employees (16,364) (16,116)
Cash payments for corporate and final income taxes (11,528) (10,746)
Cash payments for finance costs (5,295) (4,748)
Cash payments for short-term and low-value lease assets 12a (3,693) (3,770)
Cash payments for value added taxes - net (1,691) (1,410)
Cash receipts from others - net 519 593
Net cash provided by operating activities 61,600 60,581
CASH FLOWS FROM INVESTING ACTIVITIES
Proceeds from sale of property and equipment 11 717 100
Proceeds from (placement in) other current financial assets - net 339 (315)
Proceeds from insurance claims 11 143 199
Dividend received from associated company 3 14
Purchase of property and equipment 11,39 (26,005) (33,601)
Purchase of intangible assets 14,39 (3,658) (2,817)
Business acquisition - net of cash acquired 1e (635) -
Increase in advances and other assets (330) (149)
Addition of long-term investment in financial instrument (30) (340)
Net cash used in investing activities (29,456) (36,909)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from loans and other borrowings 18,19 52,653 38,834
Proceeds from issuance of new shares of subsidiaries 1e 322 2,961
Repayments of loans and other borrowings 18,19 (47,607) (35,323)
Cash dividend paid to the Company's stockholders 29 (17,683) (16,603)
Cash dividend paid to non-controlling interests of subsidiaries (7,099) (9,803)
Repayments of principal portion of lease liabilities 39 (7,387) (6,602)
Shares buyback of subsidiary 1e (704) (31)
Net cash used in financing activities (27,505) (26,567)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS 4,639 (2,895)
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND
CASH EQUIVALENTS 260 (44)
ALLOWANCE FOR EXPECTED CREDIT LOSSES (1) (1)
CASH AND CASH EQUIVALENTS AT BEGINNING OF THE YEAR 3 29,007 31,947
CASH AND CASH EQUIVALENTS AT END OF THE YEAR 3 33,905 29,007
The accompanying notes form an integral part of these consolidated financial statements.
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
1. GENERAL
a. Establishment and general information
Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia Tbk. (the “Company”) was
originally part of “Post en Telegraafdienst”, which was established and operated commercially in
1884 under the framework of Decree No. 7 dated March 27, 1884 of the Governor General of the
Dutch Indies which was published in State Gazette No. 52 dated April 3, 1884.
In 1991, based on Government Regulation No. 25 of 1991, the status of the Company was changed
into a state-owned limited liability corporation (“Persero”). The ultimate parent of the Company is
the Government of the Republic of Indonesia (the “Government”).
The Company was established based on Notarial Deed of Imas Fatimah, S.H., No. 128 dated
September 24, 1991. The deed of establishment was approved by the Ministry of Justice of the
Republic of Indonesia in its Decision Letter No. C2-6870.HT.01.01.Th.1991 dated November 19,
1991 and was published in State Gazette No. 5 dated January 17, 1992, Supplement No. 210. The
Company's Articles of Association had been amended several times, with the latest amendments
made is in relation with adjustments of the Company’s business activities in the Articles of
Association with the Standard Classification of Indonesian Business Fields in 2020.
Amendments to the Company’s Articles of Association as stated in the Notary Deed of Ashoya
Ratam, S.H., M.Kn., No. 37 dated June 22, 2022 has been received and approved by the Minister
of Law and Human Rights of the Republic of Indonesia (“MoLHR”) based on letter No. AHU-
0044650.AH.01.02. Year of 2022 dated June 29, 2022 concerning the Acceptance of Notification
Approval of Amendment to the Articles of Association of the Limited Liability Company (Persero)
PT Telekomunikasi Indonesia Tbk.
In accordance with Article 3 of the Company’s Articles of Association, the scope of the Company’s
activities is to provide telecommunication network and telecommunication and information services,
and to optimize the Company’s resources to provide high quality and competitive goods and/or
services to gain/pursue profit in order to increase the value of the Company by applying the Limited
Liability Company principle. To achieve these objectives, the Company is involved in the following
activities:
i. Main business:
(a) Planning, building, providing, developing, operating, marketing or selling or leasing, and
maintaining telecommunications and information networks in a broad sense in
accordance with the prevailing laws and regulations;
(b) Planning, developing, providing, marketing or selling, and improving telecommunications
and information services in a broad sense in accordance with the prevailing laws and
regulations;
(c) Investing, including in the form of equity contribution in other companies, in line with and
to achieve the purposes and objectives of the Company.
ii. Supporting business:
(a) Providing payment transactions and money transfer services through
telecommunications and information networks;
(b) Performing other activities and undertakings in connection with the optimization of the
Company's resources, which includes the utilization of the Company's property and
equipment and movable assets, information systems, education and training, and repair
and maintenance facilities;
(c) Collaborating with other parties in order to optimize the information and communication
or technology resources owned by other service provider in information, communication
and technology industry to achieve the purposes and objectives of the Company.
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Page 14
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
1. GENERAL (continued)
a. Establishment and general information (continued)
The Company is domiciled and headquartered in Bandung, West Java, located at Jalan Japati
No.1, Bandung.
The Company was granted several networks and/or services provision licenses by the Government
which are valid for an unlimited period of time, given that the Company complies with the prevailing
laws and regulations and fulfills the obligation stated in those licenses. For every license issued by
the Ministry of Communication and Information (“MoCI”), an evaluation is performed annually and
an overall evaluation is performed every five years. The Company is obliged to submit reports of
networks and/or services annually to the Indonesian Directorate General of Post and Informatics
(“DGPI”), replacing the previously known as Indonesian Directorate General of Post and
Telecommunications (“DGPT”).
The reports comprise of several information, such as network development progress, service
quality standard achievement, number of customers, license payment, and universal service
contribution. Meanwhile, for internet telephone services for public purpose, internet interconnection
service, and internet access service, additional information is required, such as operational
performance, customer segmentation, traffic, and gross revenue.
Details of these licenses are as follows:
Grant date/latest
License License No. Type of service renewal date
License to operate internet 127/KEP/DJPPI/ Internet telephone March 30, 2016
telephone services for KOMINFO/3/2016 services for public
public purpose purpose
License to operate internet 2176/KEP/M.KOMINFO/ Internet service December 30, 2016
service provider 12/2016 provider
License to operate content 1040/KEP/M.KOMINFO/ Content service May 16, 2017
service provider 16/2017 provider
License for the 1004/KEP/M.KOMINFO/ Internet interconnection December 26, 2018
implementation of internet 2018 services
interconnection services
License to operate data 046/KEP/M.KOMINFO/ Data communication August 3, 2020
communication system 02/2020 system services
services
License of electronic Bank Indonesia License Electronic money and July 1, 2021
money issuer and money 23/587/DKSP/Srt/B money transfer service
transfer
License to operate fixed 073/KEP/M.KOMINFO/ Fixed network long August 23, 2021
network long distance 02/2021 distance direct line
direct line
License to operate fixed 082/KEP/M.KOMINFO/ Fixed international October 8, 2021
international network 02/2021 network
License to operate fixed 094/KEP/M.KOMINFO/ Fixed closed network December 9, 2021
closed network 02/2021
License to operate circuit 095/KEP/M.KOMINFO/ Circuit switched-based December 9, 2021
switched-based local 02/2021 and packet
fixed line network switched-based
local fixed line
network
6
Page 15
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
1. GENERAL (continued)
b. The Company’s Board of Commissioners, Board of Directors, Audit Committee, Corporate
Secretary, Internal Audit, and Employees
i. Boards of Commissioners and Directors
Based on the resolutions made at Annual General Meeting (“AGM”) of Stockholders of the
Company as covered by Notarial Deed of Ashoya Ratam, S.H., M.Kn., No. 58 dated
May 28, 2024 and No. 35 dated June 23, 2023, the composition of the Company’s Boards of
Commissioners and Directors as of December 31, 2024 and 2023, respectively, were as
follows:
2024 2023
President Commissioner/ Bambang Permadi Bambang Permadi
Independent Commissioner Soemantri Brojonegoro* Soemantri Brojonegoro
Independent Commissioner Wawan Iriawan Wawan Iriawan
Independent Commissioner Bono Daru Adji Bono Daru Adji
Independent Commissioner - Abdi Negara Nurdin
Commissioner Arya Mahendra Sinulingga Arya Mahendra Sinulingga
Commissioner Marcelino Rumambo Pandin Marcelino Rumambo Pandin
Commissioner Ismail Ismail
Commissioner Rizal Mallarangeng Rizal Mallarangeng
Commissioner Isa Rachmatarwata Isa Rachmatarwata
Commissioner Silmy Karim Silmy Karim
President Director Ririek Adriansyah Ririek Adriansyah
Director of Enterprise
& Business Service F.M. Venusiana R. F.M. Venusiana R.
Director of Digital Business Muhamad Fajrin Rasyid Muhamad Fajrin Rasyid
Director of Human
Capital Management Afriwandi Afriwandi
Director of Finance &
Risk Management Heri Supriadi Heri Supriadi
Director of Network & IT Solution Herlan Wijanarko Herlan Wijanarko
Director of Strategic Portfolio Budi Setyawan Wijiaya Budi Setyawan Wijiaya
Director of Wholesale &
International Services Bogi Witjaksono Bogi Witjaksono
Director of Group
Business Development Honesti Basyir Honesti Basyir
*Based on the Notification Letter from the Vice President of Investor Relations No. Tel.28/UM000/COP-K0F00000/2025 dated April 11, 2025,
regarding the Resignation of the President Commissioner/Independent Commissioner of the Company, effective April 14, 2025, Mr. Bambang
Permadi Soemantri Brodjonegoro will no longer serve as President Commissioner/Independent Commissioner of the Company.
ii. Audit Committee, Corporate Secretary, and Internal Audit
The composition of the Company’s Audit Committee, Corporate Secretary, and Internal Audit
as of December 31, 2024 and 2023, respectively, were as follows:
2024 2023
Chairman Bono Daru Adji Bono Daru Adji
Member Bambang Permadi Bambang Permadi
Soemantri Brojonegoro* Soemantri Brojonegoro
Member Wawan Iriawan Wawan Iriawan
Member - Abdi Negara Nurdin
Member Emmanuel Bambang Emmanuel Bambang
Suyitno Suyitno
Member Edy Sihotang Edy Sihotang
Corporate Secretary Octavius Oky Prakarsa Anetta Hasan
Internal Audit Mohamad Ramzy Daru Mulyawan
*Based on the resignation letter of Mr. Bambang Permadi Brodjonegoro as President Commissioner/Independent Commissioner of the Company,
effective April 14, 2025, Mr. Bambang Permadi Soemantri Brodjonegoro is no longer active/unable to serve as a Member of the Company's Audit
Committee.
7
Page 16
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
1. GENERAL (continued)
b. The Company’s Board of Commissioners, Board of Directors, Audit Committee, Corporate
Secretary, Internal Audit, and Employees (continued)
iii. Employees
As of December 31, 2024 and 2023, the Company and its subsidiaries (collectively referred to
as “the Group”) had 19,695 employees and 20,605 employees (unaudited), respectively.
c. Public offering of securities of the Company
The Company’s number of shares prior to its Initial Public Offering (“IPO”) totalled 8,400,000,000,
consisting of 8,399,999,999 Series B shares and 1 Series A Dwiwarna share, and were wholly-
owned by the Government. On November 14, 1995, 933,333,000 new Series B shares and
233,334,000 Series B shares owned by the Government were offered to the public through an IPO
and listed on the Indonesia Stock Exchange (“IDX”) and 700,000,000 Series B shares owned by
the Government were offered to the public and listed on the New York Stock Exchange (“NYSE”)
and the London Stock Exchange (“LSE”) in the form of American Depositary Shares (“ADS”). There
were 35,000,000 ADS and each ADS represented 20 Series B shares at that time.
In December 1996, the Government had a block sale of its 388,000,000 Series B shares, and
in 1997, Government distributed 2,670,300 Series B shares as incentive to the Company’s
stockholders who did not sell their shares within one year from the date of the IPO. In May 1999,
the Government further sold 898,000,000 Series B shares.
To comply with Law No. 1/1995 on Limited Liability Companies, at the AGM of Stockholders of
the Company on April 16, 1999, the Company’s stockholders resolved to increase the Company’s
issued share capital by the distribution of 746,666,640 bonus shares through the capitalization of
certain additional paid-in capital, which was made to the Company’s stockholders in August 1999.
On August 16, 2007, Law No. 1/1995 on Limited Liability Companies was amended by the
issuance of Law No. 40/2007 on Limited Liability Companies which became effective on the same
date. Law No. 40/2007 has no effect on the public offering of shares of the Company.
The Company has complied with Law No. 40/2007.
In December 2001, the Government had another block sale of 1,200,000,000 shares or
11.9% of the total outstanding Series B shares. In July 2002, the Government further sold a block
of 312,000,000 shares or 3.1% of the total outstanding Series B shares.
Based on the results of the Company's AGM Stockholders as stated in the Notarial Deed of
A. Partomuan Pohan, S.H., LLM., No. 26 dated July 30, 2004, the Company’s stockholders
approved the Company’s 2-for-1 stock split for Series A Dwiwarna and Series B share. The Series
A Dwiwarna share with par value of Rp500 per share was split into 1 Series A Dwiwarna share with
par value of Rp250 per share and 1 Series B share with par value of Rp250 per share. The stock
split resulted in an increase of the Company’s authorized capital stock from 1 Series A Dwiwarna
share and 39,999,999,999 Series B shares to 1 Series A Dwiwarna share and
79,999,999,999 Series B shares, and the issued capital stock from 1 Series A Dwiwarna share and
10,079,999,639 Series B shares to 1 Series A Dwiwarna share and 20,159,999,279 Series B
shares. After the stock split, each ADS represented 40 Series B shares.
During the Extraordinary General Meeting (“EGM”) held on December 21, 2005 and the AGMs held
on June 29, 2007, June 20, 2008, and May 19, 2011, the Company’s stockholders approved
phase I, II, III, and IV plan, respectively, of the Company’s program to repurchase its issued
Series B shares.
8
Page 17
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
1. GENERAL (continued)
c. Public offering of securities of the Company (continued)
During the period of December 21, 2005 to June 20, 2007, the Company had bought back
211,290,500 shares from the public (stock repurchase program phase I). On July 30, 2013, the
Company had sold all such shares.
At the AGM held on April 19, 2013 as covered by Notarial Deed of Ashoya Ratam, S.H., M.Kn.,
No. 38 dated April 19, 2013, the stockholders approved the changes to the Company’s plan on the
treasury stock acquired under phase III. At the AGM held on April 19, 2013, the minutes of which
were covered by Notarial Deed No. 38 of Ashoya Ratam, S.H., M.Kn., the stockholders approved
the Company’s 5-for-1 stock split for Series A Dwiwarna and Series B shares. Series A Dwiwarna
share with par value of Rp250 per share was split into 1 Series A Dwiwarna share with par value
of Rp50 per share and 4 Series B shares with par value of Rp50 per share. The stock split resulted
in an increase of the Company’s authorized capital stock from 1 Series A Dwiwarna and
79,999,999,999 Series B shares to 1 Series A Dwiwarna and 399,999,999,999 Series B shares.
The issued capital stock increased from 1 Series A Dwiwarna and 20,159,999,279 Series B shares
to 1 Series A Dwiwarna and 100,799,996,399 Series B shares. After the stock split, each ADS
represented 200 Series B shares. Effective from October 26, 2016, the Company has changed the
ratio of Depositary Receipt from 1 ADS representing 200 series B shares to become 1 ADS
representing 100 series B shares. Profit per ADS information have been retrospectively adjusted
to reflect the changes in the ratio of ADS.
On May 16 and June 5, 2014, the Company deregistered from Tokyo Stock Exchange (“TSE”)
and delisted from the LSE, respectively.
On December 21, 2015, the Company sold the remaining shares of treasury shares phase III.
On June 29, 2016, the Company sold the treasury shares phase IV.
At the AGM held on April 27, 2018, as covered by Notarial Deed of Ashoya Ratam, S.H., M.Kn.,
No. 35 dated May 15, 2018, the stockholders approved the changes of the Company’s plan on the
transfer of shares from the repurchase through the withdrawal of 1,737,779,800 shares of treasury
stock, by reducing the issued and paid-up capital from the initial amount of Rp5,040 billion into
amount of Rp4,953 billion. Thus, in order to comply with the provisions of Article 33
UU No. 40 of 2007 concerning Limited Liability Companies, the AGM approved the reduction of the
Company's authorized capital from the original Rp20,000 billion to Rp19,500 billion, so the
Company's total authorized share capital became 1 Series A Dwiwarna and 389,999,999 Series B
shares.
As of December 31, 2024, all of the Company’s Series B shares are listed on the IDX and
41,856,946 ADS or equivalent to 4,185,694,850 Series B shares are listed on the NYSE (Note 21).
On June 16, 2015, the Company issued Continuous Bonds I Telkom Phase I 2015, with nominal
of Rp2,200 billion for Series A with a seven-year period, Rp2,100 billion for Series B with a ten-
year period, Rp1,200 billion for Series C with a fifteen-year period, and Rp1,500 billion for Series
D with a thirty-year period, all of which are listed on the IDX (Note 19b).
9
Page 18
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
1. GENERAL (continued)
d. Subsidiaries
As of December 31, 2024 and 2023, the Company has consolidated the financial statements of all
subsidiaries, both directly and indirectly owned, as follows (Notes 2b and 2d):
i. Direct subsidiaries:
Start year of Total assets before
operation Percentage of ownership* elimination
Subsidiary Nature of business commencement 2024 2023 2024 2023
PT Telekomunikasi Mobile 1995 70 70 117,403 112,966
Selular telecommunication,
(“Telkomsel”) fixed broadband, network
service, and internet
protocol television ("IPTV")
PT Dayamitra Leasing of towers and 1995 72 72 58,140 57,010
Telekomunikasi Tbk. digital support services
(“Mitratel”) for mobile infrastructure
PT Multimedia Network 1998 100 100 17,995 18,457
Nusantara telecommunication
(“Metra”) services and multimedia
PT Telekomunikasi International 1995 100 100 17,173 15,175
Indonesia telecommunication
International and information
(“Telin”) services
PT Telkom Satelit Telecommunication - 1996 100 100 8,858 7,938
Indonesia provides satellite
(“Telkomsat”) communication
system and its
related services
PT Telkom Data Data center 1996 100 100 8,461 4,059
Ekosistem
(“TDE”)
PT Sigma Cipta Hardware and software 1988 100 100 6,207 7,616
Caraka computer consultation
(“Sigma”) service
PT Graha Sarana Duta Developer, trade, service 1982 100 100 5,485 5,614
("GSD") and transportation
PT Telkom Akses Construction, service 2013 100 100 4,480 4,777
(“Telkom Akses”) and trade in the field of
telecommunication
PT Telkom Network 2024 100 100 3,048 0
Infrastruktur telecommunication
Indonesia and information services
(“TIF”)
PT Metra-Net Multimedia portal service 2009 100 100 2,096 1,654
(“Metra-Net”)
PT Infrastruktur Developer service and 2014 100 100 1,359 1,261
Telekomunikasi trading in the field
Indonesia of telecommunication
(“Telkom Infra”)
PT PINS Indonesia Trade in telecommunication 1995 100 100 733 775
(“PINS”) devices
PT Napsindo Telecommunication - 1999; ceased 60 60 5 5
Primatel provides Network operations on
Internasional Access Point ("NAP"), January 13,
(“Napsindo”) Voice Over Data ("VOD") 2006
and other related services
* Percentage of ownership amounting to 99.99% is presented into rounding of 100%.
All direct subsidiaries are domiciled in Indonesia.
10
Page 19
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
1. GENERAL (continued)
d. Subsidiaries (continued)
ii. Indirect subsidiaries:
Start year of Total assets before
operation Percentage of ownership* elimination
Subsidiary Nature of business commencement 2024 2023 2024 2023
PT Metra Digital Trading, information 2013 100 100 9,110 8,556
Investama Ventura and multimedia
(“MDI”) technology,
entertainment
and investment
services
Telekomunikasi Telecommunication 2008 100 100 6,090 3,499
Indonesia and related
International Pte. Ltd. services
("Telin Singapore"),
domiciled in
Singapore
Telekomunikasi Investment 2010 100 100 3,624 3,842
Indonesia holding and
International Ltd. telecommunication
("Telin Hong Kong"), services
domiciled in
Hong Kong
NeutraDC Data center 2024 100 100 3,478 0
Singapore Pte. Ltd.
(“NeutraDC Singapore”)
domiciled in
Singapore
PT Infomedia Information provider 1984 100 100 2,198 2,248
Nusantara services, contact
(“Infomedia”) center and content
directory
PT Telkom Landmark Property development 2012 55 55 2,120 1,986
Tower and management
(“TLT”) services
PT Persada Sokka Leasing of towers 2008 100 100 1,621 1,622
Tama and other
("PST") telecommunication
services
PT Teknologi Data Telecommunication 2013 60 60 1,426 606
Infrastruktur service and
(“TDI”) data center
PT Nuon Digital Digital content 2010 100 100 1,393 1,194
Indonesia exchange hub
(“Nuon”) services
PT Finnet Indonesia Information 2006 60 60 1,383 1,761
(“Finnet”) technology
services
PT Telkomsel Mitra Business 2019 100 100 1,040 1,030
Inovasi management
(“TMI”) consulting and
investment
services
Telekomunikasi Telecommunication 2012 100 100 1,035 1,082
Indonesia networks, mobile,
International (TL) S.A. internet, and
("Telkomcel"), data services
domiciled in
Timor Leste
* Percentage of ownership amounting to 99.99% is presented into rounding of 100%.
Other than those specifically stated, indirect subsidiaries are domiciled in Indonesia.
11
Page 20
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
1. GENERAL (continued)
d. Subsidiaries (continued)
ii. Indirect subsidiaries (continued):
Start year of Total assets before
operation Percentage of ownership* elimination
Subsidiary Nature of business commencement 2024 2023 2024 2023
PT Metra Digital Telecommunication 2013 100 100 876 993
Media information and
(“MD Media”) other information
services
PT Administrasi Health insurance 2002 100 100 702 757
Medika administration
(“Ad Medika”) services
PT Telkomsel Business management 2021 100 100 451 777
Ekosistem Digital consulting services
("TED") and investment
and/or investment
in other companies
PT Digital Aplikasi Communication 2014 100 100 441 341
Solusi system services
("Digiserve")
PT Swadharma Cash replenishment 2001 51 51 387 397
Sarana Informatika services and
(“SSI”) Automated Teller
Machine ("ATM")
maintenance
PT Ultra Mandiri Telecommunication 2019 100 - 366 -
Telekomunikasi network infrastructure
("UMT")** services
TS Global Satellite services 1996 70 70 357 420
Network Sdn. Bhd.
(“TSGN”),
domiciled in Malaysia
PT Nusantara Sukses Service and trading 2014 100 100 288 292
Investasi
(“NSI”)
PT Graha Yasa Tourism and 2012 51 51 277 290
Selaras hospitality services
(”GYS”)
Telekomunikasi Telecommunication 2014 100 100 267 212
Indonesia and information
International (USA) Inc. services
(“Telin USA”),
domiciled in USA
PT Nutech Integrasi System integrator 2001 60 60 225 227
(“Nutech”) service
PT Collega Inti Trading and services 2001 70 70 196 191
Pratama
("CIP")
PT Graha Telkomsigma Management and 1999 100 100 167 333
("GTS") consultation
services
Telekomunikasi Telecommunication 2013 70 70 144 125
Indonesia International and information
(Malaysia) Sdn. Bhd. services
(”Telin Malaysia”),
domiciled in Malaysia
PT Media Nusantara Consultation services 2012 55 55 134 136
Data Global of hardware, software,
("MNDG") data center, and
internet exchange
* Percentage of ownership amounting to 99.99% is presented into rounding of 100%.
**UMT was acquired by Mitratel in December 2024 (Note 1e).
Other than those specifically stated, indirect subsidiaries are domiciled in Indonesia.
12
Page 21
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
1. GENERAL (continued)
d. Subsidiaries (continued)
ii. Indirect subsidiaries (continued):
Start year of Total assets before
operation Percentage of ownership* elimination
Subsidiary Nature of business commencement 2024 2023 2024 2023
PT Pojok Celebes Travel agent services 2008 100 100 69 44
Mandiri
("PCM")
PT Metra TV Subscription 2013 100 100 57 50
(“Metra TV”) broadcasting
services
Telekomunikasi Telecommunication 2013 100 100 52 67
Indonesia and information
International services
(Australia) Pty. Ltd.
(“Telin Australia”),
domiciled in
Australia
PT Metraplasa Network and 2012; ceased 60 60 29 30
(“Metraplasa”) e-commerce operations on
services October, 2020
PT Bosnet Distribution Trade and consultation 2012 - 60 - 40
Indonesia services
(“BDI”)***
* Percentage of ownership amounting to 99.99% is presented into rounding of 100%.
*** BDI was no longer a subsidiary of Metra as of February 2024 (Note 1e).
Other than those specifically stated, indirect subsidiaries are domiciled in Indonesia.
e. Other important informations
i. Telkomsel
On June 27, 2023, the Company signed the Spin-off Decree of IndiHome Business to
Telkomsel based on Notarial Deed of Aulia Taufani, S.H., No. 140 that has been approved by
AGM of Stockholders based on Notarial Deed of Ashoya Ratam, S.H., M.Kn., No. 35 dated
June 23, 2023. The value of IndiHome business segment transferred is Rp58,250 billion. In
parallel, Singapore Telecom Mobile Pte. Ltd. ("Singtel"), Telkomsel's minority shareholder,
also decided to participate in the capital injection in the form of cash to Telkomsel of
Rp2,713 billion. As the result of this, starting from July 1, 2023, the Company's effective
ownership in Telkomsel increased from 65% to 69.9% and Singtel's ownership is diluted from
35% to 30.1%.
ii. Mitratel
Share buyback
On March 6, 2023, Mitratel announced another share buyback owned by the public, with
a maximum number of 7.88% of Mitratel’s issued and fully paid shares. The share buyback
period is 18 (eighteen) months starting from April 14, 2023 to October 13, 2024. As of
December 31, 2024, and 2023, Mitratel has conducted share buyback amounting to
1,095,945,900 shares and 47,700,000 shares or equivalent to Rp704 billion and Rp31 billion
respectively.
Towers acquisition
(a) On February 15, 2023, based on the Telecommunication Tower Conditional Sale and
Purchase Agreement (“CSPA”) between Mitratel and PT Indosat Tbk. (“Indosat”), Mitratel
agreed to acquire 997 telecommunication towers belonging to Indosat for Rp1,648 billion.
Mitratel and Indosat also agreed to lease back 983 slots of Indosat’s telecommunications
towers for 10 years lease period. In addition, Indosat have also agreed to deliver order for
colocations for the next 3 years which will be compensated by Mitratel amounting to
Rp473 billion as commitment.
(b) On November 24, 2023, Mitratel acquired 803 telecommunication towers belonging to
PT Gametraco Tunggal for Rp1,753 billion.
13
Page 22
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
1. GENERAL (continued)
e. Other important informations (continued)
ii. Mitratel (continued)
Acquisition of entity under common control
Based on Notarial Deed of Shinta Dewi, S.H., No. 2 and No. 3 dated December 2, 2024,
Mitratel entered into Share Purchase Agreement with PT Pembangunan Perumahan
Infrastruktur ("PPIN") and Yayasan Kesejahteraan Karyawan Pembangunan Perumahan
("YKPP") for the acquisition of 100% shares of UMT. This transaction represents a business
combination of entities under common control, where the ultimate controlling shareholder of
both Mitratel and UMT is the Government. As a result of this transaction, Mitratel obtained
control of UMT.
The difference between the consideration transferred and the carrying amount of the
investment acquired from this transaction has been recognized as Additional Paid-in Capital
within the Consolidated Statements of Changes in Equity, with the following details:
Consideration paid 650
Book value of UMT’s equity at the acquisition date (91)
Difference in value of restructuring transactions of entities under common control 559
iii. TDI
Based on the Notarial Deed of Jimmy Tanal, S.H., M.Kn., No. 201 dated October 25, 2023,
the shareholders approved the issuance of 4,825,932 new shares. Regarding this share
issuance, TDE subscribed 2,451,319 shares, amounting to Rp256 billion; ST Dynamo ID Pte.
Ltd. subscribed 2,077,787 shares, amounting to Rp217 billion; and PT Medco Power
Indonesia subscribed 296,826 shares, amounting to Rp31 billion. The additional capital
contribution diluted TDE's ownership to 60.0%. The effect of this dilution was recognized as
differences in non-controlling interests ownership acquisition transaction of the subsidiary,
amounting to Rp6 billion.
Based on Notarial Deed of Jimmy Tanal, S.H., M.Kn., No. 313 dated October 14, 2024,
the shareholders of TDI approved the issuance of 8,050,000 new shares. Regarding this share
issuance, TDE subscribed 4,830,000 shares, amounting to Rp483 billion; Nxera ID Pte. Ltd.
(formerly known as ST Dynamo ID Pte. Ltd.) subscribed 2,817,500 shares, amounting to
Rp282 billion; and PT Medco Power Indonesia subscribed 402,500 shares or amounted to
Rp40 billion. This additional capital contribution did not result in a change to TDE’s ownership.
iv. NeutraDC Singapore
Based on Accounting and Corporate Regulatory Authority Singapore (“ACRA”) documents,
TDE established NeutraDC Singapore which is domiciled in Singapore on December 7, 2023,
by the issuance of 1 share with par value of SGD 1.
Based on ACRA, on February 28, 2024, TDE added capital contribution to NeutraDC
Singapore Pte. Ltd. with 219,411,975 shares at a par value of US$219 million, amounting to
Rp3,448 billion.
v. TIF
Based on Notarial Deed of Aulia Taufani, S.H., No. 26 dated December 8, 2023, the Company
and Metra established TIF by the issuance of 125 shares with total nominal value of
Rp12,5 million.
Based on Notarial Deed of Aulia Taufani, S.H., No. 7 dated July 3, 2024, the shareholders
approved the issuance of 19,240,001 new shares with nominal value per share of Rp100,000.
Of these, the Company subscribed 19,240,000 shares or amounted to Rp1,924 billion and
Metra subscribed 1 share or amounted to Rp100,000.
14
Page 23
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
1. GENERAL (continued)
e. Other important informations (continued)
vi. Metra
Based on the Notarial Deed of Utiek Rochmuljati Abdurachman, S.H., M.L.I., M.Kn., No. 31
dated February 29, 2024, Metra divested 40% of its shares in BDI with a transaction value of
Rp29 billion to PT Algolab Solution. Subsequently, based on Notarial Deed of Utiek
Rochmuljati Abdurachman, S.H., M.L.I., M.Kn., No. 9 dated December 16, 2024, Metra
divested the remaining 20% of its shares in BDI to PT Algolab Solution for a transaction value
of Rp14 billion. As a result of these transactions, BDI is no longer as a subsidiary of Metra.
f. Completion and authorization for the issuance of the consolidated financial statements
The Company’s management is responsible for the preparation and fair presentation of these
consolidated financial statements in accordance with Indonesian Financial Accounting Standards,
which have been completed and authorized for issuance by the Board of Directors of the Company
on April 17, 2025.
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION
The Group consolidated financial statements have been prepared in accordance with Indonesian
Financial Accounting Standards which includes Statements of Financial Accounting Standards
("Pernyataan Standar Akuntansi Keuangan" or “PSAK”) and Interpretations of Financial Accounting
Standards ("Interpretasi Standar Akuntansi Keuangan" or “ISAK”) published by the Financial
Accounting Standards Board of the Institute of Indonesian Chartered Accountants (Dewan Standar
Akuntansi Keuangan Ikatan Akuntan Indonesia or “DSAK IAI”) and Regulation No. VIII.G.7 of the
Capital Market and Financial Institution Supervisory Agency (“Bapepam-LK”) regarding the
Presentation and Disclosure of Financial Statements of Issuers or Public Companies, enclosed in the
decision letter KEP-347/BL/2012.
a. Basis of preparation of the consolidated financial statements
The consolidated financial statements, except for the consolidated statements of cash flows, are
prepared on the accrual basis. The measurement basis used is historical cost, except for certain
accounts which are measured using the basis mentioned in the relevant notes herein.
The consolidated statements of cash flows are prepared using the direct method and present the
changes in cash and cash equivalents from operating, investing, and financing activities.
The reporting currency in the consolidated financial statements is the Indonesian Rupiah (“Rp”)
which is also the functional currency of the Group, except for subsidiaries whose functional
currencies are the U.S. Dollar, Australian Dollar, Singapore Dollar, and Malaysian Ringgit.
Figures in the consolidated financial statements containing values under Rp1 billion and
US$1 million are presented with zero.
New accounting standards
On January 1, 2024, the Group adopted the new and revised statement of financial accounting
standards and interpretations of financial accounting standards effective from that date.
Adjustments to the Group's accounting policies have been made as required, in accordance with
the transitional provisions of the respective standards and interpretations. The adoption of the new
and revised standards and interpretations did not result in major changes to the Group's accounting
policies and had no material effect on the amounts reported for the current or prior financial year:
i. Amendments to PSAK 201: Presentation of Financial Statements
ii. Amendments to PSAK 116: Leases
iii. Amendments to PSAK 207: Statements of Cash Flow and PSAK 107 Financial Instruments:
Disclosures
15
Page 24
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
a. Basis of preparation of the consolidated financial statements (continued)
New accounting standards (continued)
Financial Accounting Standards Pillars
These standards provides requirements and guidelines for entities to apply the appropriate financial
accounting standards in preparing general purpose financial statements. There will be 4 (four)
financial accounting standards that are currently applied in Indonesia, namely:
i. Pillar 1 International Financial Accounting Standards,
ii. Pillar 2 Indonesian Financial Accounting Standards,
iii. Pillar 3 Indonesian Financial Accounting Standards for Private Entities/Indonesian Financial
Accounting Standards for Entities without Public Accountability, and
iv. Pillar 4 Indonesian Financial Accounting Standards for Micro Small and Medium Entities.
Financial Accounting Standards Nomenclature
There are changes to nomenclature of PSAK and ISAK in Indonesian Financial Accounting
Standards as published by the DSAK IAI.
Accounting standards issued but not yet effective
Effective January 1, 2025
Amendments to PSAK 221: Effect of Changes in Foreign Exchange Rate:
This amendment clarifies the criteria for interchangeability between two currencies and requires
disclosure of information that enables users of financial statements to understand the impact of a
currency not being exchangeable. These amendments are not expected to have an impact to the
Group’s consolidated financial statement.
Effective January 1, 2026
Amendments to PSAK 109: Financial Instruments and PSAK 107: Financial Instruments:
Disclosures:
These amendments provide clarifications regarding derecognition of financial liabilities settled
through electronic payment systems, classification of financial assets, disclosures related to
investments in equity instruments designated to be measured at fair value through other
comprehensive income, and disclosures related to contractual requirements that modify the timing
or amount of contractual cash flows. These amendments are not expected to have an impact to
the Group’s consolidated financial statement.
b. Principles of consolidation
The consolidated financial statements consist of the financial statements of the Company and
the subsidiaries over which it has control. Control is achieved when the Group is exposed, or has
rights, to variable returns from its involvement with the investee and has the ability to affect those
returns through its power over the investee. Specifically, the Group controls an investee if and only
if the Group has power over the investee, exposure, or rights, to variable returns from its
involvement with the investee, and the ability to use its power over the investee to affect its returns.
Generally, there is a presumption that a majority of voting rights results in control. To support this
presumption and when the Group has less than a majority of the voting or similar rights of an
investee, the Group considers all relevant facts and circumstances in assessing whether it has
power over an investee, including:
i. The contractual arrangement with the other vote holders of the investee,
ii. Rights arising from other contractual arrangements, and
iii. The Group's voting rights and potential voting rights.
16
Page 25
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
b. Principles of consolidation (continued)
The Group re-assesses whether it controls an investee if facts and circumstances indicate that
there are changes to one or more of the three elements of control. Consolidation of a subsidiary
begins when the Group obtains control over the subsidiary and ceases when the Group loses
control over the subsidiary. Assets, liabilities, income, and expenses of a subsidiary acquired or
disposed of during the year are included in the consolidated statements of financial position and
consolidated statements of profit or loss and other comprehensive income from the date the Group
gains financial control until the date the Group ceases to control the subsidiary.
Profit or loss and each component of other comprehensive income (“OCI”) are attributed to the
equity holders of the Company and to the non-controlling interests, even if this results in the non-
controlling interests having a deficit balance.
All intra-Group assets and liabilities, equity, revenue and expenses, and cash flow relating to
transactions within Group are fully eliminated on consolidation.
In case of loss of control over a subsidiary, the Group:
i. derecognizes the assets (including goodwill) and liabilities of the subsidiary at the carrying
amounts on the date when it loses control;
ii. derecognizes the carrying amounts of any non-controlling interests of its former subsidiary on
the date when it loses control;
iii. recognizes the fair value of the consideration received (if any) from the transaction, events, or
condition that caused the loss of control;
iv. recognizes the fair value of any investment retained in the subsidiary at fair value on the date
of loss of control; and
v. recognizes any surplus or deficit in profit or loss that is attributable to the Group.
c. Transactions with related parties
The Group has transactions with related parties. The definition of related parties used is in
accordance with the Bapepam-LK’s Regulation No. VIII.G.7 regarding the Presentations and
Disclosures of Financial Statements of Issuers or Public Companies, enclosed in the decision letter
No. KEP-347/BL/2012. The party which is considered a related party is a person or entity that is
related to the entity that is preparing its financial statements.
Under the Regulation of Bapepam-LK No. VIII.G.7, a government-related entity is an entity that is
controlled, jointly controlled or significantly influenced by the government. Government in this
context is the Minister of Finance or the Local Government, as the shareholder of the entity.
Key management personnel are identified as the persons having authority and responsibility for
planning, directing, and controlling the activities of the entity, directly or indirectly, including any
director (whether executive or otherwise) of the Group. The related party status extends to the key
management of the subsidiaries to the extent they direct the operations of subsidiaries with minimal
involvement from the Company’s management.
d. Business combinations and goodwill
Business combination is accounted for using the acquisition method. The consideration transferred
is measured at fair value, which is the aggregate of the fair value of the assets transferred, liabilities
incurred or assumed, and the equity instruments issued in exchange for control of the acquiree.
For each business combination, non-controlling interest is measured at fair value or at the
proportionate share of the acquiree’s identifiable net assets. The measurement basis is selected
on a transaction-by-transaction basis. Acquisition-related costs are expensed as incurred. The
acquiree’s identifiable assets and liabilities are recognized at their fair values at the acquisition
date.
17
Page 26
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
d. Business combinations and goodwill (continued)
Goodwill is initially measured at cost, which represents the excess of the aggregate consideration
transferred and the amount recognized for non-controlling interests, and any previous interest held,
over the net identifiable assets acquired and liabilities assumed. If the fair value of the acquired net
assets exceeds the aggregate consideration transferred, the Group re-assesses whether it has
correctly identified all of the assets acquired and all of the liabilities assumed, and reviews the
procedures used to measure the amounts to be recognized at the acquisition date. If the re-
assessment still results in an excess of the fair value of net assets acquired over the aggregate
consideration transferred, then the gain is recognized in profit or loss.
When the determination of consideration from a business combination includes contingent
consideration, it is measured at its fair value on acquisition date. Contingent consideration is
classified either as equity or a financial liability. Amounts classified as a financial liability are
subsequently remeasured to fair value with changes in fair value recognized in profit or loss when
adjustments are recorded outside the measurement period. Changes in the fair value of the
contingent consideration that qualify as measurement period adjustments are adjusted
retrospectively, with corresponding adjustments made against goodwill. A measurement period
adjustments refers to adjustments arising from additional information obtained during the
measurement period, which cannot exceed one year from the acquisition date, about facts and
circumstances that existed at the acquisition date.
If the initial accounting for a business combination is incomplete by the end of the reporting period
in which the combination occurs, the Group shall report in its consolidated financial statements
provisional amounts for the items for which the accounting is incomplete. During the measurement
period, the Group shall retrospectively adjust the provisional amounts recognized at the acquisition
date to reflect new information obtained about facts and circumstances that existed as of the
acquisition date and, if known, would have affected the measurement of the amounts recognized
as of that date. The measurement period ends immediately after the Company receives the
information about the facts and circumstances that existed at the acquisition date or learns that
additional information cannot be obtained. However, the measurement period must not exceed one
year from the date of acquisition.
In a business combination achieved in stages, the acquirer remeasures its previously held equity
interest in the acquiree at its acquisition-date fair value and recognizes the resulting gain or loss,
if any, in profit or loss.
Based on PSAK 338: Business Combination of Entities Under Common Control, the transfer of
assets, liabilities, shares or other ownership instruments among the companies under common
control would not result in a gain or loss for the Company or individual entity in the same group.
Since the restructuring transaction between entities under common control does not result in a
change of the economic substance of the ownership of assets, liabilities, shares, or other
instruments of ownership, which are exchanged, assets or liabilities transferred are recorded at
book value using the pooling-of-interests method.
In applying the pooling-of-interests method, the components of the financial statements for the
period during the restructuring occurred must be presented in such a manner as if the restructuring
has occurred since the beginning of the earliest period presented. The excess of consideration paid
or received over the carrying value of interest acquired, net of income tax, is directly recognized to
equity and presented as “Additional Paid-in Capital” under the equity section of the consolidated
statements of financial position.
At the initial application of PSAK 338, all balances of the Difference In Value of Restructuring
Transactions of Entities under Common Control was reclassified to “Additional Paid-in Capital” in
the consolidated statements of financial position.
18
Page 27
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
e. Cash and cash equivalents
Cash and cash equivalents in the consolidated statements of financial position comprise cash in
banks and on hand and short-term highly liquid deposits with a maturity of three months or less,
that are readily convertible to a known amount of cash and subject to an insignificant risk of
changes in value.
For the purpose of the consolidated statements of cash flows, cash and cash equivalents consist
of cash and short-term deposits, as defined above, net of outstanding bank overdrafts as they are
considered an integral part of the Group’s cash management.
Time deposits with maturities of more than three months but not more than one year are
presented as part of “Other current financial assets” in the consolidated statements of financial
position.
f. Inventories
Inventories consist of components, which represent telephone terminals, cables, and other spare
parts. Inventories also include Subscriber Identification Module ("SIM") cards, handsets, wireless
broadband modems, and prepaid vouchers which are expensed upon sale.
Inventories are valued at the lower of cost and net realizable value. Net realizable value is
determined by either estimating the selling price in the ordinary course of business, less estimated
cost to sell or determining the prevailing replacement costs.
The costs of inventories consist of the purchase price, import duties, other taxes, transport,
handling, and other costs directly attributable to their acquisition.
Cost is determined using the weighted average method.
The amounts of any write-down of inventories below cost to net realizable value and all losses
of inventories are recognized as an expense in the period in which the write-down or loss occurs.
The amount of any reversal of any write-down of inventories, arising from an increase in net
realizable value, is recognized as a reduction in the amount of general and administrative expenses
in the year in which the reversal occurs.
Provision for obsolescence is primarily based on the estimated forecast of future usage of these
inventory items.
g. Prepaid expenses
Prepaid expenses are amortized over their future beneficial periods using the straight-line method.
Prepaid expenses are presented in the consolidated statements of financial position as part of other
current assets and other non-current assets.
19
Page 28
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
h. Intangible assets
Intangible assets are recognized if it is highly probable that the expected future economic benefits
that are attributable to each asset will flow to the Group, and the cost of the asset can be reliably
measured.
Intangible assets are stated at cost less accumulated amortization and impairment losses (if any).
Intangible assets are amortized over their estimated useful lives. The amortization period and the
amortization method for an intangible asset with a finite useful life are reviewed at least at the end
of the reporting period. The Group estimates the recoverable value of its intangible assets. When
the carrying amount of an intangible asset exceeds its estimated recoverable amount, the asset is
written down to its estimated recoverable amount.
Intangible assets except goodwill, are amortized using the straight-line method, based on the
estimated useful lives of the intangible assets as follows:
Years
Software 3-6
License 3-20
Other intangible assets 3-30
Intangible assets are derecognized on disposal, or when no further economic benefits are
expected, either from further use or from disposal. The difference between the carrying amount
and the net proceeds received from disposal is recognized in the consolidated statements of profit
or loss and other comprehensive income.
i. Property and equipment
Property and equipment are stated at cost less accumulated depreciation, and impairment losses
(if any).
The cost of an item of property and equipment includes: (a) purchase price; (b) any costs directly
attributable to bringing the asset to its location and condition; and (c) the initial estimate of the costs
of dismantling and removing the item and restoring the site on which it is located. Each part of an
item of property and equipment with a cost that is significant in relation to the total cost of the item
is depreciated separately.
Property and equipment, except land rights, are depreciated using the straight-line method based
on the estimated useful lives of the assets as follows:
Years
Buildings 15-50
Leasehold improvements 2-10
Switching equipment 3-15
Telegraph, telex, and data communication equipment 5-15
Transmission installation and equipment 3-40
Satellite, earth station, and equipment 3-20
Cable network 5-25
Power supply 3-20
Data processing equipment 3-20
Vehicles 4-8
Other telecommunication peripherals 5
Office equipment 2-5
Other equipment 2-5
20
Page 29
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
i. Property and equipment (continued)
Significant expenditures related to leasehold improvements are capitalized and depreciated over
the lease term.
The depreciation method, useful life, and residual value of an asset are reviewed at least at each
financial year-end and adjusted, if appropriate. The residual value of an asset is the estimated
amount that the Group would currently obtain from disposal of the asset, after deducting the
estimated costs of disposal, if the asset is already of the age and in the condition expected at the
end of its useful life.
Property and equipment acquired in exchange for a non-monetary asset or for a combination of
monetary and non-monetary assets are measured at fair value unless, (i) the exchange transaction
lacks commercial substance; or (ii) the fair value of neither the asset received, nor the asset given
up is measured reliably.
Major spare parts and standby equipment that are expected to be used for more than 12 months
are recorded as part of property and equipment.
When assets are retired or otherwise disposed of, their cost and the related accumulated
depreciation are derecognized from the consolidated statements of financial position and the
resulting gains or losses on the disposal or sale of the property and equipment are recognized in
the consolidated statements of profit or loss and other comprehensive income.
Certain computer hardware cannot be used without the availability of certain computer software.
In such circumstance, the computer software is recorded as part of the computer hardware. If the
computer software is independent from its computer hardware, it is recorded as part of intangible
assets.
The cost of maintenance and repairs are charged to the consolidated statements of profit or loss
and other comprehensive income as incurred. Significant renewals and improvements are
capitalized to related property and equipment account.
Property under construction is stated at cost less impairment (if any), until the construction is
completed, at which time it is reclassified to the property and equipment account to which it relates.
During the construction period and until the property is ready for its intended use or sale, borrowing
costs, which include interest expense and foreign currency exchange differences incurred on loans
obtained to finance the construction of the asset, as long as it meets the definition of a qualifying
asset are, capitalized in proportion to the average amount of accumulated expenditures during the
period. Capitalization of borrowing cost ceases when the construction is completed, and the asset
is ready for its intended use or sale.
21
Page 30
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
j. Leases
The Group assesses at contract inception whether a contract is, or contains, a lease. That is, if the
contract conveys the right to control the use of an identified asset for a period of time in exchange
for consideration. The lease term corresponds to the non-cancellable period of each contract,
except in cases where the Group is reasonably certain of exercising renewal options contractually
foreseen.
The Group has made use of the package of practical expedients available within PSAK 116, which
among other things:
• the use of a single discount rate to a portfolio of leases with reasonably similar characteristics;
• the accounting for operating leases with a remaining lease term of less than 12 months as
short-term leases;
• the exemption of initial direct costs for the measurement of the right-of-use asset (“ROU”) as
short-term leases;
• the use of hindsight in determining the lease term where the contract contains options to
extend or terminate the lease;
• not separating non-lease components from lease components, and instead, account for both
as a single lease component; and
• not recognizing a lease liability and a ROU asset for leases where the underlying assets are
low-value assets (i.e. underlying assets with a maximum value of US$5,000 or Rp50 million
when it is new).
The Group applies the definition of a lease and related guidance set out in PSAK 116 to all lease
contracts.
i. The Group as lessee
The Group applies a single recognition and measurement approach for all leases, except for
short-term leases and leases of low-value assets. The Group recognizes lease liabilities to
make lease payments and ROU assets representing the right to use the underlying assets.
The Group recognizes ROU assets at the commencement date of the lease. ROU assets are
measured at cost, less any accumulated amortization and impairment losses, and adjusted for
any remeasurement of lease liabilities. The cost of ROU assets includes the amount of lease
liabilities recognized, initial direct costs incurred, restoration costs and lease payments made
at or before the commencement date less any lease incentives received.
22
Page 31
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
j. Leases (continued)
i. The Group as lessee (continued)
ROU assets are amortized on a straight-line basis over the shorter of the lease term and the
estimated useful lives of the assets, as follows:
Years
Land rights 1-33
Buildings 1-30
Transmission installation and equipment 1-25
Vehicles 1-6
Others 1-6
If ownership of the ROU asset transfers to the Group at the end of the lease term or the cost
reflects the exercise of a purchase option, depreciation is calculated using the estimated
useful life of the asset. The ROU assets are subject to impairment in accordance with
PSAK 236: Impairment of Assets.
Lease liabilities
At the commencement date of the lease, the Group recognizes lease liabilities measured at
the present value of lease payments to be made over the lease term. The lease payments
include fixed payments (including in substance fixed payments) less any lease incentives
receivable, variable lease payments that depend on an index or a rate, and amounts expected
to be paid under residual value guarantees. The lease payments also include the exercise
price of a purchase option reasonably certain to be exercised by the Group and payments of
penalties for terminating the lease, if the lease term reflects the Group exercising the option to
terminate. Variable lease payments that do not depend on an index or a rate are recognized
as expenses in the period in which the event or condition that triggers the payment occurs.
In calculating the present value of lease payments, the Group uses its incremental borrowing
rate at the lease commencement date because the interest rate implicit in the lease is not
readily determinable. After the commencement date, the amount of lease liabilities
is increased to reflect the accretion of interest and reduced for the lease payments made.
In addition, the carrying amount of lease liabilities is remeasured if there is a modification,
a change in the lease term, a change in the lease payments, or a change in the assessment
of an option to purchase the underlying asset.
Short-term leases with a duration of less than 12 months and low-value assets leases, as well
as those lease elements, partially or totally not complying with the principles of recognition
defined by PSAK 116 will be treated similarly to operating leases. The Group will recognize
those lease payments on a straight-line basis over the lease term in the consolidated
statements of profit or loss and other comprehensive income.
23
Page 32
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
j. Leases (continued)
ii. The Group as lessor
Under PSAK 116, a lessor continues to classify leases as either finance leases or operating
leases and account for those two types of leases differently. Leases in which the Group
transfers substantially all the risks and rewards incidental to ownership of an asset are
classified as finance leases, otherwise it will be classified as operating leases. Lease
classification is made at the inception date and is reassessed only if there is a lease
modification.
At the commencement date, the Group recognizes assets held under a finance lease at an
amount equal to the net investment in the lease and present it as finance lease receivable.
The net investment in the lease includes fixed payments (including in substance fixed
payments) less any lease incentives receivable, variable lease payments that depend on an
index or a rate, and residual value guarantees provided to the lessor by the lessee. The lease
payments also include the exercise price of a purchase option reasonably certain to be
exercised by the lessee and payments of penalties for terminating the lease, if the lease term
reflects the Group exercising the option to terminate.
As required by PSAK 109, an allowance for expected credit loss has been recognized on the
finance lease receivables and presented under “Other receivables” (Note 8).
Rental income arising from operating leases is accounted for on a straight-line basis over the
lease terms and is included in revenue in the consolidated statements of profit or loss and
other comprehensive income due to its operating nature. Initial direct costs incurred in
negotiating and arranging an operating lease are added to the carrying amount of the
underlying asset and recognized over the lease term on the same basis as rental income.
Contingent rents are recognized as revenue in the period in which they are earned.
If an arrangement contains lease and non-lease components, the Group applies PSAK 115:
Revenue from Contracts with Customers to allocate the consideration in the contract. Revenue
arising from operating lease is recorded as revenue from lessor transactions (Note 2n).
k. Deferred charges - land rights
Costs incurred to process the initial legal land rights are recognized as part of the property and
equipment and are not amortized. Costs incurred to process the extension or renewal of legal land
rights are deferred and amortized using the straight-line method over the shorter of the legal term
of the land rights or the economic life of the land.
24
Page 33
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
l. Borrowings
Borrowings are recognized initially at fair value, net of transaction costs incurred. Borrowings are
subsequently carried at amortized cost, any difference between the proceeds (net of transaction
costs) and the redemption value is recognized in the consolidated statements of profit or loss and
other comprehensive income over the period of the borrowings using the effective interest method.
Fees paid on obtaining loan facilities are recognized as transaction costs of the loan to the extent
that it is probable that some or all of the facilities will be drawn down. In this case, the fee is deferred
until the drawdown occurs. To the extent there is no evidence that it is probable that some or all of
the facilities will be drawn down, the fee is capitalized as a prepayment for liquidity services and
amortized over the period of the facilities to which it relates.
m. Foreign currency translations
Transactions in foreign currencies are translated into Indonesian Rupiah at the Reuters’ mid rates
of exchange prevailing at transaction date. At the consolidated statements of financial position
dates, monetary assets and liabilities denominated in foreign currencies are translated into
Indonesian Rupiah based on the buy and sell rates quoted by Reuters prevailing at the consolidated
statements of financial position dates, as follows (in full amount):
2024 2023
Buy Sell Buy Sell
United States Dollar (“US$”) 1 16,090 16,100 15,396 15,401
Australian Dollar (“AU$”) 1 9,995 10,009 10,499 10,505
Singapore Dollar (“SGD”) 1 11,815 11,829 11,666 11,673
New Taiwan Dollar (“TWD”) 1 490.07 490.52 501.32 501.53
Euro (“EUR”) 1 16,761 16,775 17,025 17,036
Japanese Yen ("JPY") 1 103.02 103.11 108.78 108.82
Malaysian Ringgit ("MYR") 1 3,591 3,601 3,350 3,359
Hong Kong Dollar (“HKD”) 1 2,072 2,074 1,971 1,971
Myanmar Kyat (“MMK”) 1 7.64 7.69 7.31 7.35
The result of foreign exchange gains or losses, realized and unrealized, are credited or charged to
the consolidated statements of profit or loss and other comprehensive income of the current year,
except for foreign exchange differences incurred on borrowings during the construction of qualifying
assets which are capitalized to the extent that the borrowings can be attributed to the construction
of those qualifying assets (Note 2i).
25
Page 34
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
n. Revenue and expense recognition
Revenue from contract with customers
PSAK 115 establishes a comprehensive framework to determine how, when, and how much
revenue is to be recognized. The standard provides a single principles-based five-step model for
the determination and recognition of revenue to be applied to all contracts with customers. The
standard also provides specific guidance requiring certain types of costs to obtain and/or fulfil
a contract to be capitalized and amortized on a systematic basis that is consistent with the transfer
to the customer of the goods or services to which the capitalized cost relates.
Below is the summary of the Group’s revenue recognition accounting policy for each revenue
stream:
i. Mobile
Revenue from mobile primarily comprises of revenue from cellular service which among
others: telephone service, interconnection service, internet and data service and Short
Messaging Services (“SMS”) service. Those services are offered on postpaid or prepaid basis.
For prepaid services, initial package sales (also known as SIM cards and initial charging
vouchers) and top-up vouchers are initially recognized as contract liabilities. The Group
recognizes contract assets for the services from postpaid customers that have not been billed.
All mobile services revenues are recognized based on output method, either per actual usage
or allowance unit used (if the services are sold in plan basis), because the customer
simultaneously receives and consumes the benefits provided by the Group.
For services sold in bundled plan, total consideration is allocated to performance obligations
based on stand-alone selling price for each of the product and/or service. The Group estimates
the stand-alone selling price using the price enacted if the services are sold on a stand-alone
basis. Most bundled plans sold by the Group only include services which are generally
satisfied over the same period of time. Therefore, the revenue recognition pattern is generally
not impacted by the allocation.
The consideration that is received is allocated between the telecommunication services sold
and the points issued, with the consideration allocated to points that are equal to its fair value.
The fair value of the points that are issued is deferred and recognized as revenue when the
points are redeemed, expired, or when the program is terminated.
ii. Consumer
Revenue from consumer primarily comprises of revenue from IndiHome services. Revenues
from IndiHome service are derived from customer who subscribes to internet services or to
bundled package with combination of consumer service (i.e. telephone, internet and data, and
paid TV). Those services are offered on a postpaid basis and billed in the following month.
The Group applies terms and conditions that requires the customer to pay substantive early
termination penalty if the customer’s contract is ended at the customer’s request and/or fault
within the first 12 months after the service is activated. After the initial 12-month period, the
customer can decide to stop subscribing in accordance with the applicable terms and
conditions without incurring any penalties. In accordance with PSAK 115, the contract period
is 12 months, which is then followed by a monthly contract.
All consumer services are recognized using the output method based on the customer's actual
usage or time elapsed basis as the customer simultaneously receives and consumes the
benefits provided by the Group.
26
Page 35
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
n. Revenue and expense recognition (continued)
Revenue from contract with customers (continued)
ii. Consumer (continued)
Customers are required to pay an upfront fee at the commencement of the contract. The
upfront fee is considered to be a material right because the customer is not required to pay an
upfront fee when the customer renews the service beyond the original contract period. The
Group values the renewal option in the amount of the consideration received from the upfront
fee for the installation service. The Group defers the amount of renewal option as contract
liabilities and recognizes it as revenue on a straight-line basis over the expected customer life.
The Group estimates the expected customer life based on the historical information and
customer trends and updates the evaluation on an annual basis.
iii. Enterprise
Revenue from enterprise customers primarily comprises of revenue from providing telephone
service, internet and data, information technologies, and other services (e.g. manage service,
call center service, e-health, e-payment, and others). Some of the contracts with enterprise
customers are bespoke in nature.
Revenues from enterprise customers are recognized overtime using output method based on
actual usage or time elapsed if the provision of service does not depend on usage (i.e. minute
of voice, kilobyte of data, etc.), except for sales of goods which are recognized at a point in
time, because the customer simultaneously receives and consumes the benefits provided by
the Group. Revenues for performance obligations that are satisfied at a point in time is
recognized when control of goods is transferred to the customer, typically when the customer
has physical possession of the goods.
Some of the arrangements in enterprise customers are offered as bundled arrangements. For
bundled arrangements, the product and/or service in the contract is accounted for as a single
performance obligation when it is separately identifiable from other promises in the contract
and the customer can benefit from the product/service on its own. The total consideration is
allocated to each distinct performance obligation that has been included in the contract, based
on its stand-alone selling price. The stand-alone selling price is determined according to the
observable prices at which individual product and/or service are sold separately, adjusted for
market conditions and normal discounts as appropriate. Alternatively, when the observable
prices are not available, the expected cost-plus margin approach is used to determine the
stand-alone selling prices.
Certain contracts with enterprise customers may give rise to variable consideration as the
contract price depends on a future event (e.g. usage based contract or revenue-share based
contract). In estimating the variable consideration, the Group is required to use either the
expected value method or the most likely amount method based on the method that better
predicts the amount of consideration to which it will be entitled. The Group determines that the
most expected value method is the appropriate method to use in estimating the variable
consideration for a single contract with a large number of possible outcomes.
Before including any amount of variable consideration in the transaction price, the Group
considers whether the amount of variable consideration is constrained. The Group determines
that the estimates of variable consideration are not constrained based on its historical
experience, business forecast, and the current economic conditions and only includes variable
consideration to the extent that it is highly probable that a significant reversal in the amount of
cumulative revenue recognized will not occur when the uncertainty associated with the
variable consideration is subsequently resolved.
27
Page 36
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
n. Revenue and expense recognition (continued)
Revenue from contract with customers (continued)
iii. Enterprise (continued)
When another party is involved in providing products and/or services to a customer, the Group
is the principal if it controls the specified products and/or services before those products and/or
services are transferred to the customer. Revenues are recorded on the net amount that has
been retained (the amount paid by the customer less the amount paid to the suppliers), when,
in substance, the Group has acted as agent and earned commission from the suppliers of the
products and/or services sold.
iv. Wholesale and International Business (“WIB”)
Revenue from WIB is mainly comprises of interconnections service for interconnection of other
telecommunications carriers’ subscriber calls to the Group’s subscribers (incoming call) and
calls between other telecommunications carriers subscribers through the Group’s network
(transit) and network service with other telecommunications carriers. All of these services are
recognized based on the output method using the basis of the actual recorded traffic for the
month.
Contract assets
A contract asset is initially recognized for revenue earned from delivery of goods or services
because the receipt of consideration is conditional on certain milestones or upon completion of the
project. Upon completion of the milestones or the project, the amount recognized as contract assets
is reclassified to trade receivables.
Contract assets are subject to impairment assessment.
Contract liabilities
A contract liability is recognized if a payment is received or a payment is due (whichever is earlier)
from a customer before the Group transfers the related goods or services. Contract liabilities are
recognized as revenue when the Group performs under the contract (i.e., transfers control of the
related goods or services to the customer).
Incremental cost of obtaining and cost of fulfilling contract
The incremental costs of obtaining/fulfilling contracts with customers, which principally are
comprised of sales commissions and contract fulfilment costs, are initially recognized on the
consolidated statements of financial position as contract costs. These costs are subsequently
amortized on a systematic basis that is consistent with the period and pattern of transfer to the
customer of the related products or services. Costs that do not qualify as costs of obtaining/fulfilling
contract with customers are expensed as incurred or in accordance with other relevant standards.
At the end of each reporting year, the Group evaluates whether there is an indication that
capitalized contract costs may be impaired. An impairment exists when the carrying amount of the
contract costs exceeds the amount expected to be received in exchange for goods and services.
When impairment exists, an impairment loss is recognized in consolidated statements of profit or
loss and other comprehensive income.
28
Page 37
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
n. Revenue and expense recognition (continued)
Revenue from lessor transactions
Revenue from lessor transactions comprises of revenue from telecommunication tower operating
leases and other rental. Rental income is recognized on a straight-line basis over the lease term
and is included in revenue in the statement of profit or loss due to its operating nature.
Expenses
Expenses are recognized as they are incurred.
o. Employee benefits
i. Short-term employee benefits
All short-term employee benefits which consist of salaries and related benefits, vacation pay,
incentives and other short-term benefits are recognized as expense on undiscounted basis
when employees have rendered service to the Group.
ii. Post-employment benefit plans and other long-term employee benefits
Post-employment benefit plans consist of funded and unfunded defined benefit pension plans,
defined contribution pension plan, other post-employment benefits, post-employment health
care benefit plan, defined contribution health care benefit plan and obligations under the Labor
Law.
Other long-term employee benefits consist of Long Service Awards (“LSA”), Long Service
Leave (“LSL”), and pre-retirement benefits.
The cost of providing benefits under post-employment benefit plans and other long-term
employee benefits calculation is performed by an independent actuary using the projected unit
credit method.
The net obligations in respect of the defined pension benefit plans and post-retirement health
care benefit plan are calculated at the present value of estimated future benefits that the
employees have earned in return for their service in the current and prior periods less the fair
value of plan assets. The present value of the defined benefit obligation is determined by
discounting the estimated future cash outflows using interest rates of Government bonds that
are denominated in the currencies in which the benefits will be paid and that have terms to
maturity approximating the terms of the related retirement benefit obligation. Government
bonds are used as there are no deep markets for high quality corporate bonds.
Plan assets are assets owned by defined benefit pension plan and post-retirement health care
benefits plan as well as qualifying insurance policy. The assets are measured at fair value as
of reporting dates. The fair value of qualifying insurance policy is deemed to be the present
value of the related obligations (subject to any reduction required if the amounts receivable
under the insurance policies are not recoverable in full).
29
Page 38
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
o. Employee benefits (continued)
ii. Post-employment benefit plans and other long-term employee benefits (continued)
Remeasurement, comprising of actuarial gains and losses, the effect of the asset ceiling
(excluding amounts included in net interest on the net defined benefit liability (asset)) and the
return on plan assets (excluding amounts included in net interest on the net defined benefit
liability (asset)) are recognized immediately in the consolidated statements of financial position
with a corresponding debit or credit to retained earnings through OCI in the period in which
they occur. Remeasurements are not reclassified to profit or loss in subsequent periods.
Past service costs are recognized immediately in profit or loss on the earlier of:
(a) the date of plan amendment or curtailment; and
(b) the date that the Group recognized restructuring-related costs.
Net interest is calculated by applying the discount rate to the net defined benefit liabilities or
assets.
Gains or losses on curtailment are recognized when there is a commitment to make a material
reduction in the number of employees covered by a plan or when there is an amendment of
defined benefit plan terms such as that a material element of future services to be provided by
current employees will no longer qualify for benefits, or will qualify only for reduced benefits.
Gains or losses on settlement are recognized when there is a transaction that eliminates all
further legal or constructive obligation for part, or all of the benefits provided under a defined
benefit plan (other than the payment of benefit in accordance with the program and included
in the actuarial assumptions).
For defined contribution plans, the regular contributions constitute net periodic costs for the
period in which they are due and, as such, are included in “personnel expenses” as they
become payable.
The Group attributed benefits under the defined benefit plan’s benefit formula to periods of
service from the date when employee service first leads to benefits under the plan until the
date when further employee service will lead to no material amount of further benefits under
the plan.
iii. Early retirement benefit
Early retirement benefits are accrued at the time the Group makes a commitment to provide
early retirement benefits as a result of an offer made in order to encourage voluntary
resignation. A commitment to a termination arises when, and only when a detailed formal plan
for the early retirement cannot be withdrawn.
30
Page 39
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
p. Taxes
Income tax
Current and deferred income taxes are recognized as income or expense and included in the
consolidated statements of profit or loss and other comprehensive income, except to the extent
that the income tax arises from a transaction or event which is recognized directly in equity, in
which case, the income tax is recognized directly in equity.
Current income tax assets and liabilities are measured at the amounts expected to be recovered
or paid by using the tax rates and tax laws that have been enacted or substantively enacted at
each reporting date. Management periodically evaluates positions taken in Annual Tax Returns
("Surat Pemberitahuan Tahunan"/"SPT Tahunan") with respect to situations in which applicable tax
regulation is subject to interpretation. Where appropriate, management establishes provisions
based on the amounts expected to be paid to the Tax Authorities.
Tax assessments
Amendment to taxation obligation is recorded when an assessment letter (“Surat Ketetapan Pajak”
or “SKP”) is received or, if appealed against, when the results of the appeal have been determined.
The additional taxes and penalty imposed through SKP are recognized as revenue or expense in
the current year profit or loss, unless objection/appeal is taken. The additional taxes and penalty
imposed through SKP are deferred as long as they meet the asset recognition criteria.
Deferred tax
The Group recognizes deferred tax assets and liabilities for temporary differences between the
financial and tax bases of assets and liabilities at each reporting date. The Group also recognizes
deferred tax assets resulting from the recognition of future tax benefits, such as the benefit of tax
losses carried forward to the extent their future realization is probable. Deferred tax assets and
liabilities are measured using enacted or substantively enacted tax rates and tax laws at each
reporting date which are expected to apply to taxable income in the years in which those temporary
differences are expected to be recovered or settled.
The carrying amount of deferred tax assets is reviewed at each reporting date and reduced if it is
no longer probable that sufficient taxable profit will be available to compensate part, or all of the
benefits of deferred tax assets. Unrecognized deferred tax assets are re-assessed at each
reporting date and recognized if it is probable that future taxable profits will be available for
recovery. Tax deductions arising from the reversal of deferred tax assets are excluded from
estimates of future taxable income.
Deferred tax transactions which are recognized outside profit or loss. Therefore, deferred taxes on
these transactions are recognized either in other comprehensive income or recognized directly in
equity.
Deferred tax assets and liabilities are offset in the consolidated statements of financial position, if
and only if it has a legally enforceable right to set off current tax assets and liabilities and the
deferred tax assets and liabilities relate to income taxes levied by the same Tax Authority on either
the same taxable entity or different taxable entities which intend either to settle current tax liabilities
and assets on a net basis, or to realize the assets and settle the liabilities simultaneously, in each
future period in which significant amounts of deferred tax assets or liabilities are expected to be
recovered or settled.
31
Page 40
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
p. Taxes (continued)
Value added tax (“VAT”)
Revenues, expenses and assets are recognized net of the VAT amount except:
i. VAT arising from the purchase of assets or services that cannot be credited by the Tax Office,
which VAT is recognized as part of the acquisition cost of the asset or as part of the applied
expenses; and
ii. Receivables and payables are presented including the amount of VAT.
Uncertainty over income tax treatments
ISAK 123: Uncertainty Over Income Tax Treatments stated that the recognition and measurement
of tax assets and liabilities that contain uncertainty over income tax are determined by considering
whether to be treated separately or together, the assumptions used in the examination of tax
treatments by the Tax Authorities, consideration the probability that the Tax Authorities will accept
uncertain tax treatment and re-consideration or estimation if there is a change in facts and
circumstances.
If the acceptance of the tax treatment by the Tax Authorities is probable, the measurement is in
line with income tax fillings. If the acceptance of the tax treatment by the Tax Authorities is not
probable, the Group measures its tax balances using the method that provides the better prediction
of resolution (i.e. most likely amount or expected value).
Final tax
Indonesian tax regulations impose final tax on several types of transactions based on the gross
value of the transaction. Therefore, final tax which is charged based on such transaction remains
subject to tax even though the taxpayer incurred a loss on the transaction.
The final tax is scoped out from PSAK 212: Income Tax. Final tax on construction services and
leases are presented as part of “other income - net”.
q. Financial instruments
The Group classifies financial instruments into financial assets and financial liabilities. A financial
instrument is any contract that gives rise to a financial asset of one entity and a financial liability or
equity instrument of another entity.
i. Financial assets
Initial recognition and measurement
Financial assets are classified, at initial recognition, and subsequently measured at amortized
cost, fair value through OCI (“FVTOCI”), and fair value through profit or loss (“FVTPL”).
The classification of financial assets at initial recognition depends on the financial asset’s
contractual cash flow characteristics and the Group’s business model for managing them. With
the exception of trade receivables that do not contain a significant financing component or for
which the Group has applied the practical expedient, the Group initially measures a financial
asset at its fair value plus, in the case of a financial asset not at FVTPL, transaction costs.
Trade receivables that do not contain a significant financing component or for which the Group
has applied the practical expedient are measured at the transaction price determined under
PSAK 115.
32
Page 41
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
q. Financial instruments (continued)
i. Financial assets (continued)
Initial recognition and measurement (continued)
In order for a financial asset to be classified and measured at amortized cost or FVTOCI, it
needs to give rise to cash flows that are solely payments of principal and interest on the
principal amount outstanding. This assessment is referred to as the solely payments of
principal and interest test and is performed at an instrument level.
The Group’s business model for managing financial assets refers to how it manages its
financial assets in order to generate cash flows. The business model determines whether cash
flows will result from collecting contractual cash flows, selling the financial assets, or both.
Purchases or sales of financial assets that require delivery of assets within a time frame
established by regulation or convention in the marketplace (regular way trades) are recognized
on the trade date, i.e., the date that the Group commits to sell the asset.
Subsequent measurement
For purposes of subsequent measurement, financial assets are classified in four categories:
(a) Financial assets at amortized cost (debt instruments)
The Group measures financial assets at amortized cost if both of the following conditions
are met:
• The financial asset is held within a business model with the objective to hold financial
assets in order to collect contractual cash flows; and
• The contractual terms of the financial asset give rise on specified dates to cash flows
that are solely payments of principal and interest on the principal amount
outstanding.
Financial assets at amortized cost are subsequently measured using the effective interest
rate (“EIR”) method and are subject to impairment. Gains and losses are recognized in
profit or loss when the asset is derecognized, modified or impaired. The Group’s financial
assets at amortized cost consist of cash and cash equivalents, other current financial
assets, trade and other receivables, and other non-current assets.
(b) Financial assets at FVTOCI with recycling of cumulative gains and losses (debt
instruments)
The Group measures debt instruments at FVTOCI if both of the following conditions are
met:
• The financial asset is held within a business model with the objective of both holding
to collect contractual cash flows and selling; and
• The contractual terms of the financial asset give rise on specified dates to cash flows
that are solely payments of principal and interest on the principal amount
outstanding.
For debt instruments at FVTOCI, interest income, foreign exchange revaluation, and
impairment losses or reversals are recognized in the statement of profit or loss and
computed in the same manner as for financial assets measured at amortized cost. The
remaining fair value changes are recognized in OCI. Upon derecognition, the cumulative
fair value change recognized in OCI is recycled to profit or loss.
33
Page 42
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
q. Financial instruments (continued)
i. Financial assets (continued)
Subsequent measurement (continued)
(c) Financial assets designated at FVTOCI with no recycling of cumulative gains and losses
upon derecognition (equity instruments)
Upon initial recognition, the Group can elect to classify irrevocably its equity investments
as equity instruments designated at FVTOCI when they meet the definition of equity under
PSAK 232: Financial Instruments: Presentation and are not held for trading. The
classification is determined on an instrument-by-instrument basis. Gains and losses on
these financial assets are never recycled to consolidated statements of profit or loss and
other comprehensive income. Dividends are recognized as other income in the statement
of profit or loss when the right of payment has been established, except when the Group
benefits from such proceeds as a recovery of part of the cost of the financial asset, in
which case, such gains are recorded in OCI. Equity instruments designated at FVTOCI
are not subject to impairment assessment. The Group’s financial assets at this category
consists of long-term investments in financial instruments.
(d) Financial assets at FVTPL
Financial assets at FVTPL include financial assets held for trading, financial assets
designated upon initial recognition at FVTPL, or financial assets mandatorily required to
be measured at fair value. Financial assets are classified as held for trading if they are
acquired for the purpose of selling or repurchasing in the near term. Derivatives, including
separated embedded derivatives, are also classified as held for trading unless they are
designated as effective hedging instruments. Financial assets with cash flows that are
not solely payments of principal and interest are classified and measured at FVTPL,
irrespective of the business model. Notwithstanding the criteria for debt instruments to be
classified at amortized cost or at FVTOCI, as described above, debt instruments may be
designated at FVTPL on initial recognition if doing so eliminates, or significantly reduces,
an accounting mismatch.
Financial assets at FVTPL are carried in the consolidated statements of financial position
at fair value with net changes in fair value recognized in the consolidated statements of
profit or loss and other comprehensive income. The Group’s financial assets at FVTPL
consists of other long-term investments in financial instruments and other current financial
assets.
Expected credit losses (“ECL”)
The Group recognizes an allowance for ECL for all debt instruments not held at FVTPL. ECL
are based on the difference between the contractual cash flows due in accordance with the
contract and all the cash flows that the Group expects to receive, discounted at an
approximation of the original effective interest rate. The expected cash flows will include cash
flows from the sale of collateral held or other credit enhancements that are integral to the
contractual terms.
34
Page 43
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
q. Financial instruments (continued)
i. Financial assets (continued)
Expected credit losses (“ECL”) (continued)
ECL are recognized in two stages. For credit exposures for which there has not been a
significant increase in credit risk since initial recognition, ECL are provided for credit losses
that result from default events that are possible within the next 12-months (a 12-month ECL).
For those credit exposures for which there has been a significant increase in credit risk since
initial recognition, a loss allowance is required for credit losses expected over the remaining
life of the exposure, irrespective of the timing of the default (a lifetime ECL).
For trade receivables and contract assets, the Group applies a simplified approach in
calculating ECL. Therefore, the Group does not track changes in credit risk, but instead
recognizes a loss allowance based on lifetime ECL at each reporting date. The Group has
established an allowance for expected credit loss methodology that is based on its historical
credit loss experience, adjusted for forward-looking factors specific to the debtors and the
economic environment.
The Group considers a financial asset in default when contractual payments are 90 days past
due. However, in certain cases, the Group may also consider a financial asset to be in default
when internal or external information indicates that the Group is unlikely to receive the
outstanding contractual amounts in full before taking into account any credit enhancements
held by the Group. Trade receivables are written-off when there is a low possibility of
recovering the contractual cash flow, after all collection efforts have been done and have been
fully provided for allowance.
ii. Financial liabilities
Initial recognition and measurement
Financial liabilities are classified, at initial recognition, as financial liabilities at fair value
through profit or loss, loans and borrowings, payables or as derivatives designated as hedging
instruments in an effective hedge, as appropriate.
All financial liabilities are recognized initially at fair value and, in the case of loan and
borrowings and payables, net of directly attributable transaction costs.
The Group classifies its financial liabilities as: (i) financial liabilities at FVTPL or (ii) financial
liabilities measured at amortized costs.
The Group’s financial liabilities include trade and other payables, accrued expenses, customer
deposits, interest-bearing loans, and lease liabilities. Interest-bearing loans consist of short-
term bank loans, two-step loans, bonds and medium-term notes, long-term bank loans, and
other borrowings.
35
Page 44
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
q. Financial instruments (continued)
ii. Financial liabilities (continued)
Subsequent measurement
The measurement of financial liabilities depends on their classification, as described below:
(a) Financial liabilities at FVTPL
Financial liabilities at FVTPL include financial liabilities held for trading and financial
liabilities designated upon initial recognition as at FVTPL. Financial liabilities are
classified as held for trading if they are incurred for the purpose of repurchasing in the
near term. This category also includes derivative financial instruments entered into by the
Group that are not designated as hedging instruments in hedge relationships. Separated
embedded derivatives are also classified as held for trading unless they are designated
as effective hedging instruments. Gains or losses on liabilities held for trading are
recognized in the statement of profit or loss.
Financial liabilities designated upon initial recognition at FVTPL are designated at the
initial date of recognition, and only if the criteria in PSAK 109 are satisfied. The Group
has not designated any financial liability as at FVTPL.
(b) Financial liabilities measured at amortized cost
This is the category most relevant to the Group. After initial recognition, interest-bearing
loans and other borrowings are subsequently measured at amortized cost using the EIR
method. Gains and losses are recognized in profit or loss when the liabilities are
derecognized as well as through the EIR amortization process. Amortized cost is
calculated by taking into account any discount or premium on acquisition and fees or
costs that are an integral part of the EIR. The EIR amortization is included as finance
costs in the statement of profit or loss. This category generally applies to interest-bearing
loans and other borrowings. For more information, refer to Note 19.
iii. Offsetting financial instruments
Financial assets and liabilities are offset and the net amount is reported in the consolidated
statements of financial position when there is a legally enforceable right to offset the
recognized amounts and there is an intention to settle them on a net basis, or realize the
assets and settle the liabilities simultaneously. The right of offset must not be contingent on
a future event and must be legally enforceable in all of the following circumstances:
(i) the normal course of business;
(ii) the event of default; and
(iii) the event of insolvency or bankruptcy of the Group and all of the counterparties.
iv. Derecognition of financial instruments
The Group derecognizes a financial asset when the contractual rights to the cash flows from
the financial asset expire, or when the Group transfers substantially all the risks and rewards
of ownership of the financial asset.
The Group derecognizes a financial liability when the obligation specified in the contract is
discharged or cancelled or has expired.
36
Page 45
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
r. Treasury stock
Reacquired Company’s shares of stock are accounted for at their reacquisition cost and classified
as “Treasury Stock” and presented as a deduction in equity. The cost of treasury stock
sold/transferred is accounted for using the weighted average method. Any difference between the
carrying amount and consideration from future re-sale of treasury stocks, is recognized as part of
additional paid-in-capital in the equity.
s. Dividends
Dividend for distribution to the stockholders is recognized as a liability in the consolidated financial
statements in the year in which the dividend is approved by the stockholders. The interim dividend
is recognized as a liability based on the Board of Directors’ decision supported by the approval
from the Board of Commissioners.
t. Basic earnings per share and earnings per ADS
Basic earnings per share is computed by dividing profit for the year attributable to owners of the
parent company by the weighted average number of shares outstanding during the year. Income
per ADS is computed by multiplying the basic earnings per share by 100, the number of shares
represented by each ADS.
u. Segment information
The Group's segment information is presented based upon identified operating segments. An
operating segment is a component of an entity:
i. that engages in business activities from which it may earn revenues and incur expenses
(including revenues and expenses relating to transactions with other components of the same
entity);
ii. whose operating results are regularly reviewed by the Group’s Chief Operating Decision Maker
(“CODM”) i.e., the Board of Directors, to make decisions about resources to be allocated to
the segment and assess its performance; and
iii. for which discrete financial information is available.
v. Provisions
Provisions are recognized when the Group has present obligations (legal or constructive) arising
from past events and it is probable that an outflow of resources embodying economic benefits will
be required to settle the obligations and the amount can be measured reliably.
Provisions for onerous contracts are recognized when the contract becomes onerous for the lower
of the cost of fulfilling the contract and any compensation or penalties arising from failure to fulfill
the contract.
w. Impairment of non-financial assets
At the end of each reporting period, the Group assesses whether there is an indication that an non-
financial assets may be impaired. These assets include property and equipment, current assets,
and other non-current assets, including intangible assets. If such indication exists, the recoverable
amount is estimated for the individual asset. If it is not possible to estimate the recoverable amount
of the individual asset, the Group determines the recoverable amount of the Cash-Generating Unit
(“CGU”) to which the asset belongs (“the asset’s CGU”).
37
Page 46
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
w. Impairment of non-financial assets (continued)
The recoverable amount of an asset (either individual asset or CGU) is the higher of the asset’s
fair value less costs to sell and its value in use (“VIU”). Where the carrying amount of the asset
exceeds its recoverable amount, the asset is considered impaired and is written down to its
recoverable amount. In assessing the value in use, the estimated net future cash flows are
discounted to their present value using a pre-tax discount rate that reflects current market
assessments of the time value of money and the risks specific to the asset.
In determining fair value less costs to sell, recent market transaction prices are taken into account,
if available. If no such transactions can be identified, the Group uses an appropriate valuation
model to determine the fair value of the asset. These calculations are corroborated by multiple
valuations or other available fair value indicators.
Impairment losses of continuing operations are recognized in the consolidated statements of profit
or loss and other comprehensive income.
At the end of each reporting period, the Group assesses whether there is any indication that
previously recognized impairment losses for an asset, other than goodwill, may no longer exist or
may have decreased. If such indication exists, the recoverable amount is estimated. A previously
recognized impairment loss for an asset, other than goodwill, is reversed only if there has been
a change in the assumptions used to determine the asset’s recoverable amount since the last
impairment loss was recognized. The reversal is limited such that the carrying amount of the asset
does not exceed its recoverable amount, nor exceeds the carrying amount that would have been
determined, net of depreciation, had no impairment been recognized for the asset in prior periods.
Reversal of an impairment loss is recognized in consolidated statements of profit or loss and other
comprehensive income.
Goodwill is tested for impairment annually and when circumstances indicate that the carrying value
may be impaired. Impairment is determined for goodwill by assessing the recoverable amount of
each CGU (or group of CGUs) to which the goodwill relates. When the recoverable amount of the
CGU is less than its carrying amount, an impairment loss is recognized. Impairment loss relating
to goodwill cannot be reversed in future periods.
x. Current and non-current classifications
The Group presents assets and liabilities in the statement of financial position based on current/
non-current classification. An asset is presented as current when it is:
i. expected to be realized or intended to be sold, or consumed in the normal operating cycle;
ii. held primarily for the purpose of trading;
iii. expected to be realized within twelve months after the reporting period; or
iv. cash or cash equivalent unless restricted from being exchanged or used to settle a liability for
at least twelve months after the reporting period.
Assets which do not meet above criteria are classified as non-current assets.
A liability is presented as current when:
i. it is expected to be settled in the normal operating cycle;
ii. it is held primarily for the purpose of trading;
iii. it is due to be settled within twelve months after reporting period;
iv. there is no right by the end of reporting period to defer the settlement of the liability for at least
twelve months after the reporting period.
The terms of liability that could, at the option of counterparty, result in its settlement by the issue of
equity instruments do not affect its classification.
Liabilities which do not meet above criteria are classified as long-term liabilities.
Deferred tax assets and liabilities are classified as non-current assets and liabilities.
38
Page 47
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
y. Significant accounting judgements, estimates and assumptions
The preparation of the Group's consolidated financial statements requires management to make
judgements, estimates, and assumptions that affect the reporting amounts of revenue, expenses,
assets and liabilities, and the accompanying disclosures, and disclosures of contingent liabilities,
at the end of the reporting period.
Uncertainty about these assumptions and estimates can produce results that require a material
adjustment to the carrying amounts of assets and liabilities affected in the coming periods.
i. Judgements
The following judgements were made by management in applying the Group's accounting
policies that have the most significant influence on the amounts recognized in the consolidated
financial statements:
Income taxes
Uncertainties exist with respect to the interpretation of complex tax regulations, changes in tax
laws, and the amount and timing of future taxable income could necessitate future adjustments
to tax income and expense already recorded. Judgement is also involved in determining the
provision for corporate income tax. There are certain transactions and computation for which
the ultimate tax determination is uncertain during the ordinary course of business.
The Group recognizes liabilities for anticipated tax audit issues based on estimates of whether
additional taxes will be due. Where the final tax outcome of these matters is different from the
amounts that were initially recorded, such differences will impact the current and deferred
income tax assets and liabilities in the year in which such determination is made.
ii. Estimates and assumptions
Estimates and assumption are continually evaluated and are based on historical experience
and other factors, including expectations of future events that are believed to be reasonable
under the circumstances.
The Group makes estimates and assumptions concerning the future. The resulting accounting
estimates will, by definition, seldom equal the related actual results. The estimates and
assumptions at the reporting date that have a significant risk of causing a material adjustment
to the carrying amounts of assets and liabilities within the next financial year are addressed
below.
(a) Retirement benefits
The present value of the retirement benefit obligations depends on a number of factors
that are determined on an actuarial basis using a number of assumptions. The
assumptions used in determining the net cost (income) for pensions include the discount
rate and return on investment (“ROI”). Any changes in these assumptions will impact the
carrying amount of the retirement benefit obligations.
The Group determines the appropriate discount rate at the end of each reporting period.
This is the interest rate that should be used to determine the present value of estimated
future cash outflows expected to be required to settle the obligations. In determining the
appropriate discount rate, the Group considers the interest rates of Government bonds
that are denominated in the currency in which the benefits will be paid and that have
terms to maturity approximating the terms of the related retirement benefit obligations.
If there is an improvement in the ratings of such Government bonds or a decrease in
interest rates as a result of improving economic conditions, there could be a material
impact on the discount rate used in determining the post-employment benefit obligations.
Other key assumptions for retirement benefit obligations are based in part on current
market conditions. Additional information is disclosed in Notes 30 and 31.
39
Page 48
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
y. Significant accounting judgements, estimates and assumptions (continued)
ii. Estimates and assumptions (continued)
(b) Useful lives of property and equipment
The Group estimates the useful lives of its property and equipment based on expected
asset utilization, considering strategic business plans, expected future technological
developments, and market behavior. The estimates of useful lives of property and
equipment are based on the Group’s collective assessment of industry practice, internal
technical evaluation, and experience with similar assets.
The Group reviews its estimates of useful lives at least each financial year-end and such
estimates are updated if expectations differ from previous estimates due to changes in
expectation of physical wear and tear, technical or commercial obsolescence, and legal
or other limitations on the continuing use of the assets. The amounts of recorded
expenses for any year will be affected by changes in these factors and circumstances.
A change in the estimated useful lives of the property and equipment is a change in
accounting estimates and is applied prospectively in profit or loss in the period of the
change and future periods.
(c) Determining the lease term of contracts with renewal and termination options - Group as
lessee
The Group determines the lease term as the non-cancellable term of the lease, together
with any periods covered by an option to extend the lease if it is reasonably certain to be
exercised, or any periods covered by an option to terminate the lease, if it is reasonably
certain not to be exercised.
The Group has several lease contracts that include extension and termination options.
The Group applies judgement in evaluating whether it is reasonably certain whether or
not to exercise the option to renew or terminate the lease. That is, it considers all relevant
factors that create an economic incentive for it to exercise either the renewal or
termination. After the commencement date, the Group reassesses the lease term if there
is a significant event or change in circumstances that is within its control and affects its
ability to exercise or not to exercise the option to renew or to terminate.
(d) Allowance for expected credit losses for financial assets
The Group applies a simplified approach in calculating ECLs for trade receivables and
contract assets. Therefore, the Group does not track changes in credit risk, but instead
recognizes a loss allowance based on lifetime ECLs at each reporting date. For other
receivables, the Group assesses whether there is objective evidence that other
receivables have been impaired at the end of each reporting period.
The Group has established an allowance for expected credit losses methodology for trade
receivables and contract assets that is based on its historical credit loss experience and
latest supportable data to better reflect the current change in circumstances, adjusted for
forward-looking factors specific to the debtors, and the economic environment. Methods
and approaches will continue to be monitored and updated if additional reasonable and
supportable data and information are available.
40
Page 49
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
y. Significant accounting judgements, estimates and assumptions (continued)
ii. Estimates and assumptions (continued)
(e) Revenue
(i) Critical judgements in determining the performance obligation, timing of revenue
recognition and revenue classification
The Group provides information technology services that are bespoke in nature.
Bespoke products consist of various goods and/or services bundled together in order
to provide integrated solution services to customers. In addition to the bespoke
service, the Group also provides multiple standard products as bundling product in
contract with customer. Significant judgement is required in determining the number
and nature of performance obligations promised to customers in those contracts.
The number and nature of performance obligations will determine the timing of
revenue recognition for such contract.
The Group reviews the determination of performance obligations on a contract-by-
contract basis. When a contract consisting of several goods and/or service is
assessed to have one performance obligation, the Group applies a single method of
measuring progress for the performance obligation based on the measurement
method that best depicts the economics of the contract, which in most cases is over
time.
The Group also presents the revenue classification using consistent approach.
When a contract consisting of several goods and/or service is assessed to have one
performance obligation, the Group presents that performance obligations in one
financial statement line items which best represent the main service of the Group,
which in most cases is the internet, data communication and information technology
services.
(ii) Critical judgements in determining the stand-alone selling price
The Group provides wide array of products related to telecommunication and
technology. To determine the stand-alone selling price for goods and/or services that
do not have any readily available observable price, the Group uses the expected
cost-plus margin approach. The Group determines the appropriate margin based on
historical achievement.
(f) Test for impairment of non-current assets and goodwill
The application of the acquisition method in a business combination requires the use of
accounting estimates in allocating the purchase price to the fair market value of the assets
and liabilities acquired, including intangible assets. Certain business acquisitions by the
Group resulted goodwill, which is not amortized but is tested for impairment annually and
every indication of impairment exists.
The calculation of future cash flows in determining the fair value of property and
equipment and other non-current assets of the acquired entity at the acquisition date
involves significant estimation. Although management believes that the assumptions
used are appropriate, significant changes to those assumptions can materially affect the
evaluation of recoverable amounts and may result in impairment according to PSAK 236.
41
Page 50
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
2. SUMMARY OF MATERIAL ACCOUNTING POLICIES INFORMATION (continued)
y. Significant accounting judgements, estimates and assumptions (continued)
ii. Estimates and assumptions (continued)
(g) Fair value measurement of financial instruments
When the fair values of financial assets and financial liabilities recorded in the statement
of financial position cannot be measured based on quoted prices in active markets, their
fair value is measured using valuation techniques including the discounted cash flow
(“DCF”) model. The inputs to these models are taken from observable markets where
possible, but where this is not feasible, a degree of judgement is required in establishing
fair values. Judgements include considerations of inputs such as liquidity risk, credit risk
and volatility. Changes in assumptions relating to these factors could affect the reported
fair value of financial instruments.
(h) Acquisition
The Group evaluates each acquisition transaction to determine whether it will be treated
as an asset acquisition or business combination. For transactions that are treated as an
asset acquisition, the purchase price is allocated to the assets obtained, without the
recognition of goodwill. For acquisitions that meet the business combination definition,
the Group applies the accounting for business acquisiton method for assets acquired and
liabilities assumed which are recorded at fair value at the acquisition date, and the results
of operations are included with the Group's results from the date of each acquisition.
Any excess from the purchase price paid for the amount recognized for assets acquired
and liabilities incurred is recorded as goodwill. The Group continues to evaluate
acquisitions that are counted as a business combination for a period not exceeding one
year after the applicable acquisition date of each transaction to determine whether
additional adjustments are needed to allocate the purchase price paid for the assets
acquired and liabilities assumed. The fair value of assets acquired and liabilities incurred
are usually determined using either an estimated replacement cost or a discounted cash
flow valuation method. When determining the fair value of tangible assets acquired, the
Group estimates the cost of replacing assets with new assets by considering factors such
as the age, condition, and economic useful lives of the assets. When determining the fair
value of the intangible assets obtained, the Group estimates the applicable discount rate
and the time and amount of future cash flows, including the rates and terms for the
extension and reduction.
Rienc
42
Page 51
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
3. CASH AND CASH EQUIVALENTS
2024 2023
Balance Balance
Currency Rupiah Currency Rupiah
Currency (in million) equivalent (in million) equivalent
Cash on hand - 14 - 14
Cash in banks
Related parties
PT Bank Rakyat Indonesia (Persero) Tbk. (“BRI”) Rp - 3,278 - 1,471
US$ 229 3,678 0 6
TWD 2 1 1 0
PT Bank Mandiri (Persero) Tbk. (“Bank Mandiri”) Rp - 4,715 - 3,346
US$ 45 718 37 572
EUR 2 37 2 38
JPY 6 1 6 1
HKD 2 4 1 3
AU$ 0 0 0 0
PT Bank Negara Indonesia (Persero) Tbk. (“BNI”) Rp - 4,180 - 4,228
US$ 31 506 4 64
SGD 0 0 0 0
EUR 0 0 0 0
GBP 0 1 - -
PT Bank Tabungan Negara (Persero) Tbk. ("BTN") Rp - 4,097 - 2,597
Others Rp - 51 - 59
US$ 0 0 0 0
Sub-total 21,267 12,385
Third parties
PT Bank Maybank Indonesia Tbk. ("Maybank") Rp - 355 - 26
MYR 1 5 1 3
PT Bank Mega Tbk. ("Bank Mega") Rp - 342 - 3
DBS Bank (Hong Kong) Ltd. ("DBS Hong Kong") US$ 19 308 9 138
HKD 0 1 0 0
PT Bank CIMB Niaga Tbk. (”Bank CIMB Niaga”) Rp - 181 - 265
US$ 2 40 0 2
Standard Chartered Bank (“SCB”) US$ 7 108 14 215
SGD 5 55 6 74
The Hongkong and Shanghai Banking Corporation Ltd.
("HSBC Hongkong") US$ 6 102 43 661
HKD 9 19 5 9
PT Bank Central Asia Tbk. (“BCA”) Rp - 131 - 144
US$ 0 3 0 3
Others (each below Rp100 billion) Rp - 251 - 336
US$ 9 146 10 278
SGD 2 20 3 36
TWD 28 14 50 21
MYR 0 2 4 12
AU$ 0 3 0 5
MMK 167 1 353 3
EUR 0 1 0 0
Sub-total 2,088 2,234
Total of cash in banks 23,355 14,619
Time deposits
Related parties
PT Bank Syariah Indonesia Tbk. (“BSI”) Rp - 1,688 - 1,160
BTN Rp - 1,400 - 1,065
US$ 7 104 - -
BRI Rp - 647 - 1,550
US$ 18 283 22 340
TWD 6 3 - -
BNI Rp - 566 - 1,266
US$ 10 162 23 353
Bank Mandiri Rp - 97 - 513
US$ - - 25 392
Sub-total 4,950 6,639
43
Page 52
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
3. CASH AND CASH EQUIVALENTS (continued)
2024 2023
Balance Balance
Currency Rupiah Currency Rupiah
Currency (in million) equivalent (in million) equivalent
Time deposits (continued)
Third parties
PT Bank Mega Tbk. (“Bank Mega”) Rp - 1,922 - 1,433
US$ 18 287 20 312
Bank Pembangunan Daerah ("BPD") Rp - 962 - 1,569
PT Bank Maybank Indonesia Tbk. ("Maybank") Rp - 254 - 658
US$ 26 418 23 358
PT Bank Pembangunan Daerah Jawa Barat dan Banten Tbk.
("BJB") Rp - 370 - 1,419
US$ 12 195 - -
PT Bank Pan Indonesia Tbk. ("Bank Panin") Rp - 274 - -
PT Bank UOB Indonesia ("UOB Indonesia") US$ 16 259 - -
SGD 3 35 - -
PT Bank Danamon Indonesia Tbk. (“Bank Danamon”) Rp - 133 - 491
US$ 3 48 9 137
PT Bank China Construction Bank Indonesia Tbk.
("CCB Indonesia") US$ 10 153 5 71
SCB US$ 9 145 - -
Others (each below Rp100 billion) Rp - 113 - 1,125
US$ 1 12 10 155
MYR 2 7 2 8
Sub-total 5,587 7,736
Total of time deposits 10,537 14,375
Allowance for expected credit losses (1) (1)
Total 33,905 29,007
Interest rates per annum on time deposits are as follows:
2024 2023
Rupiah 0.53% - 7.25% 1.95% - 7.25%
Foreign currencies 2.55% - 6.00% 2.50% - 5.50%
The Group placed the majority of its cash and cash equivalents in state-owned banks (related party)
because they have the most extensive branch networks in Indonesia and are considered to be
financially sound banks.
44
Page 53
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
4. OTHER CURRENT FINANCIAL ASSETS
2024 2023
Balance Balance
Foreign Foreign
currency Rupiah currency Rupiah
Currency (in million) equivalent (in million) equivalent
Time deposits
Related parties
BRI Rp - 415 - 255
BSI Rp - 198 - 118
Bank Mandiri Rp - 65 - 95
US$ 5 81 5 77
Others (each below Rp 100 billion) Rp - 70 - 170
Third parties
United Overseas Bank Limited Singapore
(“UOB Singapore”) US$ 12 195 12 186
Others (each below Rp 100 billion) Rp - 3 - 85
US$ - - 9 132
Total time deposits 1,027 1,118
Escrow accounts Rp - 144 - 214
US$ 1 19 2 24
Total escrow accounts 163 238
Mutual funds
Related parties
Others Rp - 89 - 85
Third parties
PT Henan Putihrai Asset Management
(“HPAM”) Rp - - - 217
Total mutual funds 89 302
Others Rp - 5 - 3
MYR 0 1 0 0
Total others 6 3
Allowance for expected credit losses (0) (0)
Total 1,285 1,661
The time deposits have maturities of more than three months but not more than one year, with interest
rates as follows:
2024 2023
Rupiah 2.50% - 7.25% 2.75% - 6.75%
Foreign currencies 4.57% - 4.61% 2.30% - 5.85%
45
Page 54
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
5. TRADE RECEIVABLES
Trade receivables arise from services provided to both retail and non-retail customers, with details as
follows:
a. By debtor
(i) Related parties
2024 2023
State-owned enterprises 1,935 1,875
Indosat 738 303
PT Indonusa Telemedia ("Indonusa") 386 386
Others (each below Rp100 billion) 409 443
Total 3,468 3,007
Allowance for expected credit losses (1,118) (1,089)
Net 2,350 1,918
(ii) Third parties
2024 2023
Individual and business subscribers 13,613 11,680
Overseas international carriers 1,176 1,541
Total 14,789 13,221
Allowance for expected credit losses (4,946) (4,472)
Net 9,843 8,749
b. By age
2024 2023
Allowance for Expected Allowance for Expected
expected credit expected credit
Gross credit losses loss rate Gross credit losses loss rate
Not past due 7,319 417 5.7% 7,020 386 5.5%
Past due up to 3 months 3,602 329 9.1% 2,758 369 13.4%
Past due more than 3 to 6 months 1,305 285 21.8% 1,215 313 25.8%
Past due more than 6 months 6,031 5,033 83.5% 5,235 4,493 85.8%
Total 18,257 6,064 16,228 5,561
The Group has made allowance for expected credit losses based on the collective assessment of
historical impairment rates and individual assessment of its customers’ credit history, adjusted for
forward-looking factors specific from the customers and the economic environment. The Group
does not apply a distinction between related party and third party receivables in assessing amounts
past due. As of December 31, 2024 and 2023, the carrying amounts of trade receivables of the
Group considered past due but not impaired amounted to Rp5,291 billion and Rp4,033 billion,
respectively. Management believes that receivables past due but not impaired, along with trade
receivables that are neither past due nor impaired, are due from customers with good credit history
and are expected to be recoverable.
c. By currency
2024 2023
Rupiah 15,775 13,701
U.S. Dollar 2,180 2,360
Singapore Dollar 273 143
Others 29 24
Total 18,257 16,228
Allowance for expected credit losses (6,064) (5,561)
Net 12,193 10,667
46
Page 55
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
5. TRADE RECEIVABLES (continued)
d. Movements in the allowance for expected credit losses
2024 2023
Beginning balance 5,561 5,623
Allowance for expected credit losses 904 513
Receivables written-off (401) (575)
Ending balance 6,064 5,561
The receivables written-off relate to both related parties and third parties trade receivables.
Management believes that the allowance for expected credit losses of trade receivables is adequate
to cover losses on uncollectible trade receivables.
As of December 31, 2024 and 2023, certain trade receivables of the subsidiaries amounting to
Rp2,137 billion and Rp1,248 billion, respectively, have been pledged as collateral under lending
agreements (Notes 18 and 19c).
6. CONTRACT ASSETS
The breakdown of contract assets is as follows:
2024 2023
Contract assets 2,603 2,877
Allowance for expected credit losses (25) (147)
Net 2,578 2,730
Current portion 2,449 2,704
Non-current portion 129 26
Management believes that the allowance for expected credit losses is adequate to cover losses on
uncollectible contract assets.
Refer to Note 32 for details of related party transactions.
7. INVENTORIES
Inventories, all recognized at net realizable value, consist of:
2024 2023
SIM cards and prepaid vouchers 676 791
Others (each below Rp100 billion) 480 260
Total 1,156 1,051
Provision for obsolescence (60) (54)
Net 1,096 997
Management believes the provision is adequate to cover losses from the decline in inventory value
due to obsolescence.
The inventories recognized as expenses included in operations, maintenance, and telecommunication
service expenses in December 31, 2024 and 2023 amounted to Rp584 billion and Rp797 billion,
respectively (Note 25).
There were no inventories pledged as collateral under lending agreements as of December 31, 2024
and 2023.
47
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
7. INVENTORIES (continued)
As of December 31, 2024 and 2023, modules (part of property and equipment) and components held
by the Group with book value amounting to RpNil and Rp96 billion, respectively, have been insured
against fire, theft, and other specific risks. The total sum insured as of December 31, 2024 and 2023
amounted to RpNil and Rp94 billion, respectively.
Management believes the insurance coverage is adequate to cover potential losses of inventories
arising from the insured risks.
8. OTHER CURRENT ASSETS
The breakdown of other current assets is as follows:
2024 2023
Prepaid frequency license fees - current
portion (Note 35c.i) 6,245 6,173
Other receivables 621 266
Advances 451 768
Prepaid salaries 281 276
Prepaid rent 129 71
Others (each below Rp100 billion) 447 442
Total 8,174 7,996
9. CONTRACT COSTS
Movements of contract costs for the years ended December 31, 2024 and 2023 are as follows:
2024
Cost to obtain Cost to fulfill Total
At January 1, 2024 1,641 580 2,221
Addition current year 479 1,318 1,797
Amortization during the year (454) - (454)
Expense during the year - (831) (831)
Impairment - (3) (3)
At December 31, 2024 1,666 1,064 2,730
Current (407) (727) (1,134)
Non-current 1,259 337 1,596
2023
Cost to obtain Cost to fulfill Total
At January 1, 2023 1,554 858 2,412
Addition current year 461 610 1,071
Amortization during the year (374) - (374)
Expense during the year - (704) (704)
Impairment - (184) (184)
At December 31, 2023 1,641 580 2,221
Current (427) (226) (653)
Non-current 1,214 354 1,568
48
Page 57
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
10. LONG-TERM INVESTMENTS
The breakdown of long-term investment is as follows:
2024 2023
Financial instruments
At fair value through profit or loss:
Equity 7,797 7,537
Convertible bonds 377 491
At fair value through other comprehensive income:
Equity 27 25
Convertible bonds 24 -
8,225 8,053
Associates
PT Jalin Pembayaran Nusantara ("Jalin") 110 105
Others - 4
110 109
Total long-term investments 8,335 8,162
Investments in equity at fair value through profit or loss are long-term investments in the form of shares
in various start-up companies engaged in information and technology. The Group does not have
significant influence in these start-up companies.
Investments in equity at fair value through profit or loss include:
(i) Telkomsel's investment in PT GoTo Gojek Tokopedia Tbk. (“GOTO”)
As of December 31, 2024 dan 2023, Telkomsel assessed the fair value of the investment in GOTO
using level 1 based on GOTO’s market value of Rp70 per share and Rp86 per share, respectively.
The total unrealized loss from changes in fair value of Telkomsel’s investment in GOTO as of
December 31, 2024 and 2023, amounted to Rp380 billion and Rp119 billion, respectively. These
amounts were presented as unrealized loss on changes in fair value of investments in the
consolidated statements of profit or loss.
(ii) Investments by MDI in several start-up entities engaged in the information and technology sector
In 2024 and 2023, the additional investments by MDI amounted to Rp100 billion and Rp338 billion,
respectively. The fair value of MDI’s investments using level 3, the total unrealized gain (loss) from
changes in fair value of MDI’s investments as of December 31, 2024 and 2023, amounted to
Rp483 billion and (Rp 514 billion), respectively. These amounts were presented as unrealized gain
(loss) arising from changes in fair value of investments in the consolidated statements of profit or
loss.
Detailed information regarding the level 1 and level 3 fair value measurement techniques is disclosed
in Note 37.
Investments in convertible bonds at fair value through profit or loss represent long-term investments
owned by Telkomsel and MDI in the form of convertible bonds in various start-up companies engaged
in information and technology. These convertible bonds provide the holders with an option to convert
the bonds into shares upon maturity, in accordance with the agreed terms and conditions. In the event
that the conversion option is not exercised, the bondholders are entitled to receive the principal
repayment of the bonds.
The unrecognized share in losses in other investments cumulatively as of December 31, 2024 and
2023 was amounting to Rp323 billion and Rp328 billion, respectively.
49
Page 58
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
11. PROPERTY AND EQUIPMENT
The details of property and equipment are as follows:
December 31, Reclassifications/ December 31,
2023 Acquisition Additions Deductions Translations 2024
At cost:
Directly acquired assets
Land rights 1,955 - 13 - 13 1,981
Buildings 19,596 - 221 (32) 1,122 20,907
Leasehold improvements 1,675 - 40 (94) 174 1,795
Switching equipment 19,636 - 228 (1,090) 696 19,470
Telegraph, telex, and data communication
equipment 1,583 - - (1,578) - 5
Transmission installation and equipment 180,664 - 1,393 (9,972) 10,085 182,170
Satellite, earth station, and equipment 10,941 - 50 (114) 3,918 14,795
Cable network 76,769 314 4,731 (15) (224) 81,575
Power supply 24,348 - 559 (730) 1,427 25,604
Data processing equipment 21,893 - 332 (1,577) 1,292 21,940
Other telecommunication peripherals 11,087 - 412 (4) 743 12,238
Office equipment 2,696 0 84 (74) 13 2,719
Vehicles 593 0 15 (42) (36) 530
Other equipment 53 - 3 - 4 60
Property under construction 6,240 - 16,368 (31) (19,647) 2,930
Total 379,729 314 24,449 (15,353) (420) 388,719
Accumulated depreciation:
Directly acquired assets
Buildings 6,818 - 650 (27) 20 7,461
Leasehold improvements 1,312 - 128 (86) (7) 1,347
Switching equipment 14,121 - 1,756 (1,088) 6 14,795
Telegraph, telex, and data communication
equipment 1,582 - - (1,578) - 4
Transmission installation and equipment 104,347 - 11,713 (9,787) 48 106,321
Satellite, earth station, and equipment 6,726 - 719 (114) 46 7,377
Cable network 20,393 - 3,383 (15) 36 23,797
Power supply 17,387 - 2,014 (710) 29 18,720
Data processing equipment 16,149 - 2,031 (1,545) (103) 16,532
Other telecommunication peripherals 7,700 - 1,517 (1) - 9,216
Office equipment 2,136 - 278 (68) (62) 2,284
Vehicles 256 - 38 (27) (17) 250
Other equipment 47 - 4 - (2) 49
Total 198,974 - 24,231 (15,046) (6) 208,153
Net book value 180,755 180,566
50
Page 59
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
11. PROPERTY AND EQUIPMENT (continued)
The details of property and equipment are as follows (continued):
December 31, Reclassifications/ December 31,
2022 Additions Deductions Translations 2023
At cost:
Directly acquired assets
Land rights 1,838 110 - 7 1,955
Buildings 18,947 569 (34) 114 19,596
Leasehold improvements 1,571 28 (14) 90 1,675
Switching equipment 20,083 582 (309) (720) 19,636
Telegraph, telex, and data communication
equipment 1,583 - - - 1,583
Transmission installation and equipment 171,106 5,839 (3,562) 7,281 180,664
Satellite, earth station, and equipment 10,804 137 - - 10,941
Cable network 74,695 5,762 (6) (3,682) 76,769
Power supply 23,276 722 (768) 1,118 24,348
Data processing equipment 20,954 557 (218) 600 21,893
Other telecommunication peripherals 10,402 468 - 217 11,087
Office equipment 2,625 96 (18) (7) 2,696
Vehicles 605 48 (56) (4) 593
Other equipment 51 1 - 1 53
Property under construction 4,598 18,049 - (16,407) 6,240
Total 363,138 32,968 (4,985) (11,392) 379,729
Accumulated depreciation:
Directly acquired assets
Buildings 6,228 649 (11) (48) 6,818
Leasehold improvements 1,207 141 (6) (30) 1,312
Switching equipment 14,100 1,967 (309) (1,637) 14,121
Telegraph, telex, and data communication
equipment 1,582 - - - 1,582
Transmission installation and equipment 97,335 12,171 (3,372) (1,787) 104,347
Satellite, earth station, and equipment 6,041 746 - (61) 6,726
Cable network 22,510 3,215 (6) (5,326) 20,393
Power supply 16,890 1,861 (758) (606) 17,387
Data processing equipment 15,490 2,093 (217) (1,217) 16,149
Other telecommunication peripherals 6,067 1,659 - (26) 7,700
Office equipment 2,073 285 (18) (204) 2,136
Vehicles 242 48 (31) (3) 256
Other equipment 44 3 - - 47
Total 189,809 24,838 (4,728) (10,945) 198,974
Net book value 173,329 180,755
The property and equipment group consists of (1) switching equipment; (2) telegraph, telex, and data
communication equipment; (3) transmission installation and equipment; (4) satellite, earth station, and
equipment; (5) cable network; (6) power supply; (7) data processing equipment; and (8) other
telecommunication peripherals are the main telecommunication infrastructure of the Group.
a. Gain on sale of property and equipment
2024 2023
Proceeds from sale of property and equipment 717 100
Net book value (59) (16)
Gain on disposal or sale of property and equipment 658 84
b. Others
(i) During 2024 and 2023, the CGUs that independently generate cash inflows are fixed wireline,
cellular, and others. Management believes that there is no indication of impairment in the
assets of such CGUs as of December 31, 2024 and 2023.
(ii) Interest capitalized to property under construction amounted to Rp98 billion and Rp124 billion
for the years ended December 31, 2024 and 2023, respectively. The capitalization rate used
to determine the amount of borrowing costs eligible for capitalization ranged from 1.50% to
6.10% and 2.50% to 8.24% for the years ended December 31, 2024 and 2023, respectively.
51
Page 60
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
11. PROPERTY AND EQUIPMENT (continued)
b. Others (continued)
(iii) No foreign exchange loss was capitalized as part of property under construction for the years
ended December 31, 2024 and 2023.
(iv) During 2024 and 2023, the Group obtained proceeds from the insurance claim on lost and
damaged property and equipment, with a total value of Rp143 billion and Rp199 billion,
respectively, and were recorded as part of “Other income - net” in the consolidated statements
of profit or loss and other comprehensive income. During 2024 and 2023, the net carrying
values of these assets amounted to Rp114 billion and Rp185 billion, respectively, were
charged to the consolidated statements of profit or loss and other comprehensive income.
(v) The Group owns several pieces of land located throughout Indonesia with Right to Build
(“Hak Guna Bangunan” or “HGB”) for a period of 8 - 50 years which will expire between 2025
and 2071. Management believes that there will be no issue in obtaining the extension of the
land rights when they expire.
(vi) As of December 31, 2024 and 2023, the Group’s property and equipment excluding land rights,
with a net carrying amount of Rp178,692 billion and Rp175,519 billion, respectively, were
insured against fire, theft, earthquake and other specified risks, including business
interruption. The total blanket policies as of December 31, 2024 and 2023, amounted to
Rp44,143 billion and Rp41,045 billion, HKD10 million and HKD10 million, SGD219 billion and
SGD373 million, respectively. The total policies for first loss basis amounted to Rp2,750 billion
and Rp2,750 billion, respectively. Management believes that the insurance coverage is
adequate to cover potential losses from the insured risks.
(vii) As of December 31, 2024 and 2023, the percentage of completion of property under
construction was approximately 53.29% and 74.09%, respectively, of the total contract value
or Rp3,064 billion and Rp5,836 billion are recorded as expenditures in property under
construction, respectively. The estimated completion dates are until December 2026 and
December 2025, respectively. The balance of property under construction mainly consists of
buildings, transmission installation and equipment, cable network, and power supply.
Management believes that there is no impediment to the completion of the construction in
progress.
(viii) As of December 31, 2024 and 2023, all assets owned by the Company have been pledged as
collateral for bonds (Note 19b) while certain property and equipment of the Company’s
subsidiaries with gross carrying value amounting to Rp2,190 billion and Rp3,076 billion,
respectively, have been pledged as collateral under borrowing agreements (Notes 18 and
19c).
(ix) As of December 31, 2024 and 2023, the cost of fully depreciated property and equipment of
the Group that are still used in operations amounted to Rp89,480 billion and Rp85,564 billion,
respectively. The Group is currently conducting modernization of network assets to replace
the fully depreciated property and equipment.
(x) In 2024 and 2023, the total fair values of land rights and buildings of the Group amounted to
Rp53,262 and Rp51,373 billion, respectively.
52
Page 61
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
12. LEASES
a. The Group as a lessee
The Group leases several assets including land rights, building, transmission installation and
equipment, vehicles, and others which used in operations, which generally have lease term
between 1 and 33 years.
The carrying amounts of right-of-use assets recognized and the movements during the year are as
follows:
Transmission
installation and
Land rights Buildings equipment Vehicles Others Total
As at January 1, 2023 4,087 663 14,859 523 204 20,336
Additions 1,654 156 7,460 227 893 10,390
Deductions and reclassifications (52) (88) (2,851) 8 1 (2,982)
Depreciation expense (998) (149) (3,600) (236) (177) (5,160)
As at December 31, 2023 4,691 582 15,868 522 921 22,584
Additions 1,725 198 7,337 241 920 10,421
Deductions and reclassifications (167) (0) (409) (4) (16) (596)
Depreciation expense (1,074) (192) (3,699) (266) (268) (5,499)
As at December 31, 2024 5,175 588 19,097 493 1,557 26,910
The carrying amounts of the lease liabilities and the movements during the year are as follows:
2024 2023
As at January 1 20,425 18,661
Accretion of interest 1,335 976
Additions (Note 39a) 10,421 10,390
Deductions (8,222) (9,602)
As at December 31 23,959 20,425
Current (5,491) (5,575)
Non-current 18,468 14,850
The maturity analysis of lease payments is as follows:
2024 2023
No later than a year 6,824 6,614
Later than 1 year and no later than 5 years 14,356 11,453
Later than 5 years 8,081 6,431
Total lease payments 29,261 24,498
Interest (5,302) (4,073)
Net present value of lease payments 23,959 20,425
Current (5,491) (5,575)
Non-current 18,468 14,850
53
Page 62
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
12. LEASES (continued)
a. The Group as a lessee (continued)
The Group also has certain leases with lease terms of twelve months or less and low-value leases.
The Group applies the ‘short-term lease’ and ‘lease of low-value assets’ recognition exemptions for
these leases. There are no lease contracts with variable lease payments.
The following are the amounts recognized in profit or loss during the year:
2024 2023
Depreciation expense of right-of-use assets 5,499 5,160
Expense relating to short-term leases 3,689 3,743
Interest expense on lease liabilities 1,335 976
Expense relating to leases of low-value assets 4 27
b. The Group as a lessor
The Group entered into non-cancelable lease agreements with both third and related parties. The
lease agreements cover leased lines, telecommunication equipment and land and building with
terms ranging from 1 to 28 years and with expiry dates between 2025 and 2037. Periods may be
extended based on the agreement by both parties.
The minimum amount of future lease payments and receipts for operating lease agreements are
as follows:
2024 2023
No later than 1 year 6,222 5,099
Later than 1 year and no later than 5 years 8,502 9,412
Later than 5 years 3,518 5,098
Total 18,242 19,609
13. OTHER NON-CURRENT ASSETS
The breakdown of other non-current assets is as follows:
2024 2023
Claims for tax refund - net of current portion (Note 27b) 2,818 1,606
Prepaid frequency license fees -
net of current portion (Note 35c.i) 1,594 1,987
Prepaid expenses 1,056 984
Security deposits 234 159
Advances 205 368
Others (each below Rp100 billion) 301 329
Total 6,208 5,433
54
Page 63
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
14. INTANGIBLE ASSETS
The details of intangible assets are as follows:
Other intangible
Goodwill Software License assets Total
Gross carrying amount:
Balance, January 1, 2024 1,492 21,642 550 1,694 25,378
Additions - 3,415 94 9 3,518
Deductions (18) (4,489) - - (4,507)
Reclassifications/translations - (37) 3 - (34)
Balance, December 31, 2024 1,474 20,531 647 1,703 24,355
Accumulated amortization and
impairment losses:
Balance, January 1, 2024 (413) (15,034) (200) (1,000) (16,647)
Amortization - (2,515) (76) (71) (2,662)
Impairment (77) - - - (77)
Deductions 11 4,472 - - 4,483
Reclassifications/translations - (9) (1) - (10)
Balance, December 31, 2024 (479) (13,086) (277) (1,071) (14,913)
Net book value 995 7,445 370 632 9,442
Other intangible
Goodwill Software License assets Total
Gross carrying amount:
Balance, January 1, 2023 1,492 19,779 620 1,491 23,382
Additions - 2,763 69 206 3,038
Deductions - (890) (130) - (1,020)
Reclassifications/translations - (10) (9) (3) (22)
Balance, December 31, 2023 1,492 21,642 550 1,694 25,378
Accumulated amortization and
impairment losses:
Balance, January 1, 2023 (402) (13,616) (152) (910) (15,080)
Amortization - (2,321) (58) (94) (2,473)
Impairment (11) - - - (11)
Deductions - 890 2 - 892
Reclassifications/translations - 13 8 4 25
Balance, December 31, 2023 (413) (15,034) (200) (1,000) (16,647)
Net book value 1,079 6,608 350 694 8,731
(i) Goodwill resulted from the acquisition by Mitratel, Metranet, Metra, Sigma, TDE, and Telkomsat
amounted to Rp467 billion, Rp220 billion, Rp85 billion, Rp78 billion, Rp77 billion, and Rp68 billion,
respectively. Deduction of goodwill resulted from divestment of BDI (Note 1e.vi).
(ii) As of December 31, 2024, the impairment of goodwill arising from Digiserve and MNDG amounted
to Rp64 billion and Rp13 billion, respectively. The impairment losses are presented as part of
“Depreciation and amortization expenses” in the consolidated statements of profit and loss and
other comprehensive income.
(iii) The remaining amortization periods of software for the years ended December 31, 2024 and 2023
are from 1 to 6 years, respectively. The amortization expense is presented as part of “Depreciation
and amortization expenses” in the consolidated statements of profit or loss and other
comprehensive income.
(iv) As of December 31, 2024 and 2023, the cost of fully amortized intangible assets that are still
utilized in operations amounted to Rp8,345 billion and Rp10,604 billion, respectively.
55
Page 64
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
15. TRADE PAYABLES
The breakdown of trade payables is as follows:
2024 2023
Related parties
Purchases of equipment, materials, and services 378 424
Payables to other telecommunication providers 248 161
Sub-total 626 585
Third parties
Purchases of equipment, materials, and services 9,729 12,748
Radio frequency usage charges, concession fees,
and Universal Service Obligation (“USO”) charges 2,631 2,399
Payables to other telecommunication providers 2,350 2,876
Sub-total 14,710 18,023
Total 15,336 18,608
Trade payables by currency are as follows:
2024 2023
Rupiah 13,217 15,929
U.S. Dollar 2,059 2,537
Others 60 142
Total 15,336 18,608
Terms and conditions of the above trade payables:
a. The Group’s trade payables are non-interest bearing and normally settled within 1 year term.
b. Refer to Note 32c for details on related party transactions.
c. Refer to Note 37b.v for the Group’s liquidity risk management.
GSD, Telkom Akses, and Mitratel entered into supply chain financing with several banks. Those
facilities can be used by the GSD, Telkom Akses and Mitratel's supplier to obtain payment of invoices
that have been approved to be paid by the bank in accordance with certain terms and conditions. As
of December 31, 2024 and 2023, the carrying amount of liabilities under supplier finance arrangement
is as follows:
2024 2023
Liabilities under supplier finance arrangement 475 257
Total amount of which the supplier has received payment
from finance provider 473 257
Range of payment due dates 1 - 3 month 1 - 3 month
There were no material business combinations or foreign exchange differences that would affect the
liabilities under the supplier finance arrangement in either period. There were non-cash transfers from
trade payables to liabilities under the supplier finance arrangement in 2024 and 2023 amounted to
Rp115 billion and Rp61 billion, respectively.
56
Page 65
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
16. ACCRUED EXPENSES
The breakdown of accrued expenses is as follows:
2024 2023
Operation, maintenance,
and telecommunication services 6,424 5,813
Salaries and benefits 3,856 3,909
General, administrative, and marketing expenses 3,665 3,114
Interest and bank charges 247 243
Total -
14,192 13,079
Refer to Note 32 for details of related party transactions.
17. CONTRACT LIABILITIES
The breakdown of contract liabilities is as follows:
a. Current
2024 2023
Advances from customers for Mobile 3,285 3,267
Advances from customers for Enterprise 2,306 1,587
Advances from customers for WIB 1,322 1,291
Advances from customers for Consumer 244 244
Advances from customers for others 581 459
Total 7,738 6,848
b. Non-Current
2024 2023
Advances from customers for WIB 948 795
Advances from customers for Consumer 602 705
Advances from customers for Enterprise 247 251
Advances from customers for others 687 840
Total 2,484 2,591
Movements of contract liabilities for the years ended December 31, 2024 and 2023 are as follows:
2024 2023
At January, 1 9,439 7,856
Deferred during the year 7,631 7,878
Recognized as revenue during the year (6,848) (6,295)
At December, 31 10,222 9,439
Current 7,738 6,848
Non-Current 2,484 2,591
Refer to Note 32 for details of related party transactions.
57
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
18. SHORT-TERM BANK LOANS
Outstanding
Lenders 2024 2023
Related parties
Bank Mandiri 3,755 4,013
BNI 1,799 903
Sub-total 5,554 4,916
Third parties
PT Bank HSBC Indonesia ("HSBC") 2,440 2,547
MUFG Bank ("MUFG") 1,805 1,155
Bank of China 1,000 -
PT Bank DBS Indonesia ("DBS") 440 440
PT Bank Maspion Indonesia Tbk. ("Bank Maspion") 167 -
UOB Indonesia 100 500
Others 19 92
Sub-total 5,971 4,734
Total 11,525 9,650
Other significant information relating to short-term bank loans as of December 31, 2024 is as follows:
Total
facility
(in Interest Interest rate per
Borrower Currency billions)* Maturity date rate annum Security**
Bank Mandiri
2020 - 2023 Finnet, PST Rp 600 February 21, 2025 - Monthly, 1 month None
April 28, 2025 Quarterly JIBOR + 1.30%
3 months
JIBOR + 1.25%
2021 - 2022 Nutech, Rp 3,550 July 25, 2025 - Monthly 6.00% - 9.00% Trade receivables
Mitratel September 27, 2025 and property and
equipment
BNI
2014 - 2024 Sigma, GSD, Rp 1,350 May 29, 2025 - Monthly 6.00% - 8.50% Trade receivables
Mitratel January 9, 2026 and property and
equipment
2017 - 2021 Infomedia, Rp 1,135 February 18, 2025 - Monthly 1 month JIBOR + Trade receivables
Metranet, June 6, 2025 1.75% - 2.50%
Telkom Infra
HSBC
2014 Sigmaa Rp 400 November 6, 2025 Monthly Under BLR Trade receivables
7.40%
2018 - 2023 Sigma, Metra, Rp 2,723 January 20, 2025 - Monthly, 1 month JIBOR + None
PINS, October 4, 2025 Quarterly 0.35% - 0.80%
Metranet, 3 months
Telkomsat, JIBOR + 2.00%
GSD, TDE
MUFG
2018 - 2019 Infomedia, Rp 2,176 March 27, 2025 - Monthly, 1 month JIBOR + None
Metra, GSD, October 31, 2025 Quarterly 0.25% - 0.80%
Telkom Infra, 3 months JIBOR +
Telkomsat 0.25% - 0.80%
Bank of China
2020 The Company Rp 1,000 October 23, 2025 Quarterly 4.90% None
DBS
2018 Telkom Infra, Rp 440 July 31, 2025 Monthly 1 month None
Infomedia JIBOR + 1.20%
Bank Maspion
2023 Metranet Rp 170 January 26, 2025 Monthly 7.25% None
UOB Indonesia
2016 Finnet Rp 500 July 31, 2025 Monthly 1 month None
JIBOR + 1.75%
* In original currency
** Refer to Note 5 and Note 11 for details of trade receivables and property and equipment pledged as collateral.
a
Unsettled loan will be automatically extended.
58
Page 67
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
18. SHORT-TERM BANK LOANS (continued)
As stated in the agreements, the Group is required to comply with all covenants or restrictions such
as limitation that the Company must have a majority shareholding of at least 51% of the subsidiaries
and must maintain certain level of financial ratios. As of December 31, 2024, the Group has complied
with all covenants regarding these financial ratios, except for Sigma which its current ratio and debt
service coverage ratio are still lower than required. As of December 31, 2024, the Group obtained
waiver for loan amounting to Rp758 billion from HSBC for the non-fulfillment financial ratios in Sigma.
The waiver from HSBC was received on December 18, 2024 and effective for the 12 months after
reporting period.
The credit facilities were obtained by the Group for working capital purposes.
19. LONG-TERM LOANS AND OTHER BORROWINGS
Current maturities of long-term loans and other borrowings consist of the following:
Notes 2024 2023
Two-step loans 19a - 84
Bonds and medium-term notes ("MTN") 19b 2,347 548
Bank loans 19c 13,519 9,282
Other borrowings 19d - 362
Total 15,866 10,276
Long-term loans and other borrowings consist of the following:
Notes 2024 2023
Bonds and MTN 19b 2,696 4,795
Bank loans 19c 22,822 22,978
Total 25,518 27,773
Scheduled principal payments as of December 31, 2024 are as follows:
Year
Notes Total 2026 2027 2028 2029 Thereafter
Bonds and MTN 19b 2,696 - - - - 2,696
Bank loans 19c 22,822 6,867 4,894 4,134 3,732 3,195
Total 25,518 6,867 4,894 4,134 3,732 5,891
a. Two-step loans
Two-step loans are unsecured loans obtained by the Government from overseas banks which are
then re-loaned to the Company. Loans obtained after July 1994 are payable in their original
currencies and any resulting foreign exchange gain or loss is borne by the Company.
2024 2023
Outstanding Outstanding
Foreign currency Rupiah Foreign currency Rupiah
Lenders Currency (in millions) equivalent (in millions) equivalent
Overseas banks Yen - - 768 84
Total - 84
Current maturities - (84)
Long-term portion - -
Principal payment Interest rate per
Lenders Currency schedule Interest payment period annum
Overseas banks Yen Semi-annually Semi-annually 2.95%
In 2024, the Company has paid the outstanding loan.
59
Page 68
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
19. LONG-TERM LOANS AND OTHER BORROWINGS (continued)
b. Bonds and MTN
Outstanding
Bonds and MTN 2024 2023
Bonds
Bonds Telkom 2015
Series B 2,100 2,100
Series C 1,200 1,200
Series D 1,500 1,500
Bonds Mitratel 2024 240 -
Sukuk Mitratel 2024 10 -
MTN
MTN Mitratel 2023 - 550
Total 5,050 5,350
Unamortized debt issuance cost (7) (7)
Long-term portion 5,043 5,343
Current maturities (2,347) (548)
Long-term portion 2,696 4,795
i. Bonds
(a) Bonds Telkom 2015
Listed Issuance Interest Interest rate
Bonds Principal Issuer on date Maturity date payment period per annum
Series A 2,200 The Company IDX June 23, 2015 June 23, 2022 Quarterly 9.93%
Series B 2,100 The Company IDX June 23, 2015 June 23, 2025 Quarterly 10.25%
Series C 1,200 The Company IDX June 23, 2015 June 23, 2030 Quarterly 10.60%
Series D 1,500 The Company IDX June 23, 2015 June 23, 2045 Quarterly 11.00%
Total 7,000
The bonds are not secured by specific security but by all of the Company’s assets,
movable or non-movable, either existing or in the future (Note 11b.viii). The underwriters
of the bonds are PT. Bahana TCW Management Investment (“Bahana TCW”), PT BRI
Danareksa Sekuritas, PT Mandiri Sekuritas, and PT Trimegah Sekuritas Indonesia Tbk.,
and the trustee is Bank Permata. The Company received the proceeds from the issuance
of bonds on June 23, 2015.
The funds received from the public offering of bonds net of issuance costs, were used to
finance capital expenditures which consisted of broadband, backbone, metro network,
regional metro junction, information technology application and support, and acquisition
of some domestic and international entities.
As of December 31, 2024, the rating of the bonds issued by Pefindo is idAAA (Triple A).
Based on the Indenture Trusts Agreement, the Company is required to comply with all
covenants or restrictions, including maintaining financial ratios as follows:
(i) Debt to equity ratio should not exceed 2:1;
(ii) EBITDA to interest ratio should not be less than 4:1;
(iii) Debt service coverage is at least 125%.
As of December 31, 2024, the Company has complied with the above-mentioned ratios.
60
Page 69
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
19. LONG-TERM LOANS AND OTHER BORROWINGS (continued)
b. Bonds and MTN (continued)
i. Bonds (continued)
(b) Bonds Mitratel 2024
On July 4, 2024, Mitratel issued shelf register bonds phase I amounting Rp240 billion.
Bonds has annual interest rate 6.50% that will be paid quarterly. Bonds will mature on
July 14, 2025.
BTN was appointed as trustee for the issuance of the Bonds. The rating of the Bonds
issued by Pemeringkat Efek Indonesia is idAAA.
(c) Sukuk Mitratel 2024
On July 4, 2024, Mitratel issued sukuk Ijarah shelf register phase I amounting
Rp10 billion. Sukuk has annual interest rate 6.50% that will be paid quarterly. Sukuk will
mature on July 14, 2025.
BTN was appointed as trustee for the issuance of Sukuk. The rating of Sukuk issued by
Pemeringkat Efek Indonesia is AAAsy.
ii. MTN
On September 26, 2023, Mitratel issued MTN amounting to Rp550 billion which will be used
to support the provision of funds for credit refinancing, with annual interest rate 6.20%, that
already fully paid on October 26, 2024.
c. Bank loans
2024 2023
Outstanding Outstanding
Foreign Foreign
currency Rupiah currency Rupiah
Lenders Currency (in millions) equivalent (in millions) equivalent
Related parties
Bank Mandiri Rp - 6,355 - 3,453
BNI Rp - 6,030 - 6,182
BSI Rp - 2,083 - 509
BRI Rp - 1,475 - 955
Sub-total 15,943 11,099
Third parties
BCA Rp - 9,755 - 10,170
DBS Rp - 4,800 - 1,500
Bank of China Rp - 1,900 - 1,400
Bank CIMB Niaga Rp - 1,710 - 2,110
US$ 6 99 4 60
Bank Permata Rp - 1,021 - 1,313
HSBC Rp - 1,000 - 625
Bank Danamon Rp - 110 - 273
Syndication of banks Rp - - - 2,500
US$ 4 60 10 160
PT Bank ANZ Indonesia ("Bank ANZ") Rp - 22 - 110
BJB Rp - - - 500
MUFG Rp - - - 500
Others Rp - 3 - 13
MYR 7 27 9 29
Sub-total 20,507 21,263
Total 36,450 32,362
Unamortized debt issuance cost (109) (102)
36,341 32,260
Current maturities (13,519) (9,282)
Long-term portion 22,822 22,978
61
Page 70
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
19. LONG-TERM LOANS AND OTHER BORROWINGS (continued)
c. Bank loans (continued)
Other significant information relating to bank loans as of December 31, 2024, is as follows:
Current
Total period
facility payment Principal Interest
(in (in payment payment Interest rate
Borrower Currency billions)* billions)* schedule period per annum Security**
Bank Mandiri
2018 - 2024 The Rp 13,975 8,339 2020 - 2031 Quarterly 3 months JIBOR + None
Company, 0.25% - 1.50%
GSD, PST,
Telkomsel,
Mitratel
BNI
2013 - 2024 The Rp 14,175 1,607 2018 - 2033 Monthly, 1 month Trade
Company, Quarterly JIBOR + 2.25%; receivables
TLT, Sigma, 3 months JIBOR + and
Mitratel, UMT 0.25% - 1.70% property
and
equipment
2024 Mitratel Rp 2,000 - 2024 - 2031 Monthly 7.00% None
BSI
2024 Mitratel Rp 2,292 208 2024 - 2029 Semi- 7.82% None
annually
BRI
2019 - 2023 The Rp 3,000 434 2021 - 2030 Quarterly 3 months None
Company, JIBOR + 0.75%
Mitratel
BCA
2020 - 2023 The Rp 9,186 1,660 2020 - 2031 Quarterly 3 months JIBOR + None
Company, 1.00% - 1.50%
PST, GSD
2020 - 2024 The Rp 9,500 596 2024 - 2030 Quarterly 6.75% - 7.00% None
Company,
Mitratel
DBS
2021 Mitratel Rp 3,500 700 2022 - 2028 Quarterly 3 months None
JIBOR + 1.20%
2023 - 2024 The Rp 7,000 - 2024 - 2031 Quarterly 6.50% - 6.90% None
Company,
Mitratel
Bank of China
2019 Telkomsel Rp 1,900 1,400 2021 - 2025 Monthly 4.90% None
Bank CIMB
Niaga
2019 - 2022 PINS, Rp 2,300 391 2022 - 2029 Quarterly 3 months JIBOR + None
Mitratel 1.30% - 1.95%
2021 - 2022 Telin US$ 0 - 2024 - 2030 Semi- 6 months None
annually SOFR + 1.82%
Bank Permata
2020 - 2022 Mitratel Rp 2,000 292 2021 - 2029 Quarterly 3 months None
JIBOR + 1.30%
HSBC
2021 - 2023 Mitratel Rp 1,250 125 2023 - 2030 Quarterly 3 months JIBOR + None
0.50% - 1.85%
Bank Danamon
2022 Mitratel Rp 636 182 2022 - 2025 Quarterly 3 months None
JIBOR + 1.50%
2024 SSI Rp 24 1 2024 - 2029 Monthly 8.75% None
Syndication
of banks
2018 Telin US$ 0 0 2020 - 2025 Semi- 6 months None
annually SOFR + 1.55%
Bank ANZ
2015 GSD, PINS Rp 440 100 2020 - 2025 Quarterly 3 months JIBOR + None
1.40% - 2.00%
** In original currency
** Refer to Note 5 and Note 11 for details of trade receivables and property and equipment pledged as collateral.
62
Page 71
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
19. LONG-TERM LOANS AND OTHER BORROWINGS (continued)
c. Bank loans (continued)
As stated in the agreements, the Group is required to comply with all covenants or restrictions such
as dividend distribution, obtaining new loans, and maintaining financial ratios.
As of December 31, 2024, the Group has complied with all covenants regarding these financial
ratios, except for TLT, Sigma, and GSD which its current ratio and debt service coverage ratio are
still lower than required. As of December 31, 2024, the Group obtained waiver from lenders for the
non-fulfillment financial ratios in TLT, Sigma, and GSD for loan amounting Rp660 billion,
Rp106 billion, and Rp231 billion, respectively. Waivers from BNI and BCA were received on
December 10, 2024, December 12, 2024, and December 31, 2024, respectively, except for GSD’s
bank loan from Bank Mandiri that did not receive before December 31, 2024, so that the entire
balance of GSD’s long-term loan amounting to Rp13 billion has been classified as short-term. The
waivers are effective for the 12 months after reporting period.
The credit facilities were obtained by the Group for working capital purposes and investment
purposes.
As of December 31, 2024, the Group had Rp45,762 billion and US$73 million of undrawn
committed borrowing facilities available.
d. Other borrowings
Outstanding
Lenders 2024 2023
PT Sarana Multi Infrastruktur (Persero)
("Sarana Multi Infrastruktur") - 362
Unamortized debt issuance cost - 0
Total - 362
Current maturities - (362)
Long-term portion - -
In 2024, the Company and Telkomsat have paid the outstanding of other borrowing.
20. NON-CONTROLLING INTERESTS
The details of non-controlling interests are as follows:
2024 2023
Non-controlling interests in net assets of subsidiaries:
Telkomsel 11,022 11,108
Mitratel 8,440 9,106
Others (each below Rp100 billion) 934 604
Total 20,396 20,818
2024 2023
Non-controlling interests in profit (loss)
in current year of subsidiaries:
Telkomsel 6,434 7,104
Mitratel 594 566
Others 66 (22)
Total 7,094 7,648
63
Page 72
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
20. NON-CONTROLLING INTERESTS (continued)
Material partly-owned subsidiaries
The non-controlling interests which are considered material to the Company are the non-controlling
interests in Telkomsel and Mitratel. On December 31, 2024 and 2023, the non-controlling interests in
Telkomsel holds 30.10% and Mitratel holds 28.16%.
The summarized financial informations of Telkomsel and Mitratel are provided below. These
informations are based on amounts before intercompany eliminations and adjustments.
Summarized statements of financial position:
Telkomsel Mitratel
2024 2023 2024 2023
Current assets 19,374 20,505 3,447 3,420
Non-current assets 98,029 92,461 54,693 53,590
Current liabilities (41,199) (40,009) (12,286) (11,071)
Non-current liabilities (45,216) (42,308) (12,467) (11,901)
Total equity 30,988 30,649 33,387 34,038
Attributable to:
Owners of the parent company 19,966 19,541 24,947 24,932
Non-controlling interests 11,022 11,108 8,440 9,106
Summarized statements of profit or loss and other comprehensive income:
Telkomsel Mitratel
2024 2023 2024 2023
Revenues 113,340 102,372 9,308 8,595
Operation expenses (83,883) (72,005) (5,129) (4,955)
Other expenses - net (2,108) (2,271) (1,918) (1,501)
Profit before income tax 27,349 28,096 2,261 2,139
Income tax expense - net (5,347) (6,217) (157) (128)
Profit for the year 22,002 21,879 2,104 2,011
Other comprehensive income
(loss) - net 355 78 1 2
Total comprehensive income
for the year 22,357 21,957 2,105 2,013
Attributable to
non-controlling interests 6,434 7,104 594 566
Dividends paid to
non-controlling interests 6,627 9,267 407 484
Summarized statements of cash flows:
Telkomsel Mitratel
2024 2023 2024 2023
Operating 38,939 41,693 6,632 5,162
Investing (14,932) (14,302) (3,490) (6,504)
Financing (25,631) (28,601) (3,436) (4,118)
Net decrease in
cash and cash equivalents (1,624) (1,210) (294) (5,460)
CF
64
Page 73
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
21. CAPITAL STOCK
2024
Percentage of Total paid-in
Description Number of shares
ownership capital
Series A Dwiwarna share
Government 1 0 0
Series B shares
Government 51,602,353,559 52.09 2,580
The Bank of New York Mellon Corporation* 4,185,694,580 4.23 209
Directors (Note 1b):
Ririek Adriansyah 9,336,755 0 0
Bogi Witjaksono 6,952,700 0 0
Afriwandi 6,995,200 0 0
Heri Supriadi 7,242,700 0 0
F.M. Venusiana R. 10,629,200 0 0
Herlan Wijanarko 6,995,200 0 0
Muhamad Fajrin Rasyid 6,952,700 0 0
Budi Setyawan Wijaya 7,407,700 0 0
Honesti Basyir 3,250,844 0 0
Commissioners (Note 1b):
Isa Rachmatarwata 3,312,700 0 0
Marcelino Rumambo Pandin 3,312,700 0 0
Ismail 3,312,700 0 0
Arya Mahendra Sinulingga 3,359,500 0 0
Rizal Mallarangeng 3,312,700 0 0
Silmy Karim 1,344,700 0 0
Public (individually less than 5%) 43,190,450,461 43.68 2,164
Total 99,062,216,600 100.00 4,953
2023
Percentage of Total paid-in
Description Number of shares
ownership capital
Series A Dwiwarna share
Government 1 0 0
Series B shares
Government 51,602,353,559 52.09 2,580
The Bank of New York Mellon Corporation* 3,973,451,980 4.02 199
Directors (Note 1b):
Ririek Adriansyah 6,016,355 0 0
Bogi Witjaksono 4,130,400 0 0
Afriwandi 4,172,900 0 0
Heri Supriadi 4,170,400 0 0
F.M. Venusiana R. 7,806,900 0 0
Herlan Wijanarko 4,172,900 0 0
Muhamad Fajrin Rasyid 4,130,400 0 0
Budi Setyawan Wijaya 4,585,400 0 0
Honesti Basyir 370,544 0 0
Commissioners (Note 1b):
Isa Rachmatarwata 1,968,000 0 0
Marcelino Rumambo Pandin 1,968,000 0 0
Ismail 1,968,000 0 0
Arya Mahendra Sinulingga 2,014,800 0 0
Rizal Mallarangeng 1,968,000 0 0
Public (individually less than 5%) 43,436,968,061 43.89 2,174
Total 99,062,216,600 100.00 4,953
* The Bank of New York Mellon Corporation serves as the Depositary of the registered ADS holders for the Company’s ADSs.
The Company issued only 1 Series A Dwiwarna share which is held by the Government of the Republic
of Indonesia and cannot be transferred to any party, and has a veto right in the General Meeting of
Stockholders of the Company with respect to the election and removal of the Boards of Commissioners
and Directors, issuance of new shares, and amendments of the Company’s Articles of Association.
65
Page 74
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
22. OTHER EQUITY
2024 2023
Difference from the acquisition of non-controlling
interests in subsidiaries 8,364 8,364
Exchange rate translation adjustment 1,102 844
Effect of changes in associates’ equity 386 386
Unrealized gain on available-for-sale securities 9 8
Other equity components 37 37
Total 9,898 9,639
23. REVENUES
The Group derives revenues in the following major product lines:
2024 Mobile Consumer Enterprise WIB Others Consolidated revenue
Telephone revenues
Cellular 6,077 - - 183 - 6,260
Fixed lines - - 397 82 - 479
Total telephone revenues 6,077 - 397 265 - 6,739
Interconnection revenues 363 - - 8,824 - 9,187
Data, internet, and information
technology service revenues
Cellular data and internet 72,639 - - - - 72,639
Internet, data communication, and
information technology services - 11 11,327 2,766 - 14,104
SMS 3,791 - 14 - - 3,805
Others 134 - 1,746 1,064 846 3,790
Total data, internet, and information
technology service revenues 76,564 11 13,087 3,830 846 94,338
Network revenues 3 - 1,462 1,714 - 3,179
IndiHome revenues - 26,262 - - - 26,262
Other services
E-payment 14 - 1,286 - - 1,300
Call center service - - 1,255 - - 1,255
Manage service and terminal - 1 1,039 5 - 1,045
E-health - - 767 - - 767
Others 379 36 1,291 333 827 2,866
Total other services 393 37 5,638 338 827 7,233
Total revenues from
contract with customer 83,400 26,310 20,584 14,971 1,673 146,938
Revenues from lessor transactions - - - 3,029 - 3,029
Total revenues 83,400 26,310 20,584 18,000 1,673 149,967
Adjustments and eliminations - 2 9 2 (595)
Total external revenues as reported in
note operating segment 83,400 26,312 20,593 18,002 1,078
2023 Mobile Consumer Enterprise WIB Others Consolidated revenue
Telephone revenues
Cellular 8,022 - - 172 - 8,194
Fixed lines - 332 450 117 - 899
Total telephone revenues 8,022 332 450 289 - 9,093
Interconnection revenues 293 - - 8,774 - 9,067
Data, internet, and information
technology service revenues
Cellular data and internet 73,187 - - - - 73,187
Internet, data communication, and
information technology services 268 85 8,167 2,379 - 10,899
SMS 3,345 - 35 - - 3,380
Others 34 - 2,010 1,098 212 3,354
Total data, internet, and information
technology service revenues 76,834 85 10,212 3,477 212 90,820
Network revenues 4 - 1,212 1,266 - 2,482
IndiHome revenues - 25,992 2,793 - - 28,785
Other services
Call center service - - 1,264 - - 1,264
Manage service and terminal - - 908 12 - 920
E-health - - 761 - - 761
E-payment - - 496 - - 496
Others 138 27 1,401 318 858 2,742
Total other services 138 27 4,830 330 858 6,183
Total revenues from
contract with customer 85,291 26,436 19,497 14,136 1,070 146,430
Revenues from lessor transactions - - - 2,786 - 2,786
Total revenues 85,291 26,436 19,497 16,922 1,070 149,216
Adjustments and eliminations - 6 11 6 (668)
Total external revenues as reported in
note operating segment 85,291 26,442 19,508 16,928 402
66
Page 75
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
23. REVENUES (continued)
Management expects that most of the transaction price allocated to the unsatisfied contracts as of
December 31, 2024 will be recognized as revenue during the next reporting periods. Unsatisfied
performance obligations as of December 31, 2024, which management expects to be realised within
one year is Rp8,279 billion, and more than one year is Rp3,498 billion.
The Group entered into non-cancellable lease agreements with both third and related parties. The
lease agreements cover leased lines, telecommunication equipment and land and building with terms
ranging from 1 to 28 years and with expiry dates between 2025 and 2037. Periods may be extended
based on the agreement by both parties.
Refer to Note 32 for details of related parties transactions.
24. PERSONNEL EXPENSES
The breakdown of personnel expenses is as follows:
2024 2023
Salaries and related benefits 9,457 9,674
Vacation pay, incentives, and other benefits 4,214 4,159
Pension and other post-employment
benefits (Note 30) 1,691 1,764
Early retirement program 1,186 0
LSA expense (Note 31) 226 289
Others 33 41
Total 16,807 15,927
Refer to Note 32 for details of related parties transactions.
25. OPERATION, MAINTENANCE, AND TELECOMMUNICATION SERVICE EXPENSES
The breakdown of operation, maintenance, and telecommunication service expenses is as follows:
2024 2023
Operation and maintenance 24,365 23,057
Radio frequency usage charges (Note 35c.i) 7,687 7,412
Leased lines and Customer Premise Equipment ("CPE") 3,422 3,462
Concession fees and USO charges (Note 15) 2,933 2,836
Electricity, gas, and water 1,097 877
Cost of SIM cards, vouchers, and
sales of peripherals (Note 7) 584 797
Project management 427 489
Insurance 308 269
Vehicles rental and supporting facilities 271 308
Others (each below Rp100 billion) 108 211
Total 41,202 39,718
Refer to Note 32 for details of related parties transactions.
67
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
26. GENERAL AND ADMINISTRATIVE EXPENSES
The breakdown of general and administrative expenses is as follows:
2024 2023
General expenses 2,448 2,446
Allowance for expected credit losses
trade receivables (Note 5) 904 513
Professional fees 855 996
Training, education, and recruitment 453 461
Traveling 421 443
Meeting 390 334
Social contribution 233 232
Collection expenses 194 195
Others (each below Rp100 billion) 327 479
Total 6,225 6,099
Refer to Note 32 for details of related parties transactions.
27. TAXATION
a. Prepaid income taxes
2024 2023
The Company:
Income Tax
Article 22 - Withholding tax on goods delivery
and imports - 0
Article 23 - Withholding tax on service delivery 260 238
Subsidiaries:
Income Tax
Corporate income tax 1 -
Article 4(2) - Final tax 17 1
Article 23 - Withholding tax on service delivery 79 4
VAT 2,076 1,669
Total prepaid taxes 2,433 1,912
Current portion (2,433) (1,912)
Non-current portion - -
b. Claims for tax refund
2024 2023
The Company
Corporate income tax 641 271
Article 21 - Individual income tax 154 2
VAT 168 164
Subsidiaries
Income Tax
Corporate income tax 1,553 699
Article 23 - Witholding tax on services delivery - 10
Article 21 - Individual income tax 7 -
VAT 706 476
Total claims for tax refund 3,229 1,622
Current portion (411) (16)
Non-current portion (Note 13) 2,818 1,606
68
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
27. TAXATION (continued)
c. Taxes payable
2024 2023
The Company:
Income taxes
Article 4(2) - Final tax 11 33
Article 21 - Individual income tax 1 102
Article 22 - Withholding tax on goods delivery
and imports 1 2
Article 23 - Withholding tax on services 45 24
Article 25 - Installment of corporate income tax 78 122
Article 26 - Withholding tax on non-resident
income - 0
VAT 109 170
VAT - Tax collector 114 163
359 616
Subsidiaries:
Income taxes
Article 4(2) - Final tax 644 317
Article 21 - Individual income tax 160 182
Article 22 - Withholding tax on goods delivery
and imports 6 9
Article 23 - Withholding tax on services 33 152
Article 25 - Installment of corporate income tax 587 539
Article 26 - Withholding tax on non-resident
income 178 10
Article 29 - Corporate income tax 203 1,672
VAT 473 399
VAT - Tax collector 650 629
2,934 3,909
Total taxes payable 3,293 4,525
d. The components of consolidated income tax expense (benefit) are as follows:
2024 2023
Current
The Company 905 1,271
Subsidiaries 6,730 7,525
7,635 8,796
Deferred
The Company 608 503
Subsidiaries 167 (713)
775 (210)
Net income tax expense 8,410 8,586
69
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
27. TAXATION (continued)
d. The components of consolidated income tax expense (benefit) are as follows (continued):
The reconciliation between the profit before income tax and the estimated taxable income of
the Company for years ended December 31, 2024 and 2023 are as follows:
2024 2023
Profit before income tax consolidation 39,153 40,794
Add back consolidation eliminations 25,590 24,647
Consolidated profit before income tax and eliminations 64,743 65,441
Less: profit before income tax of the subsidiaries (38,949) (38,965)
Profit before income tax attributable to the Company
before deduction of income subject to final tax 25,794 26,476
Less: income subject to final tax (801) (642)
Profit before income tax attributable to the Company
after deduction of income subject to final tax 24,993 25,834
Temporary differences:
Allowance for expected credit losses (324) (284)
Deferred installation fee 17 2
Leases 7 8
Provision for employee benefits (127) 36
Land rights, intangible assets, and other 67 30
Net periodic pension and other post-employment
benefits costs (175) (1,032)
Difference between accounting and tax bases
of property and equipment (2,695) (2,006)
Accrued expenses (127) -
Others (7) 91
Net temporary differences (3,364) (3,155)
Permanent differences:
Net periodic post-retirement health care benefit costs 282 204
Donations 211 231
Employee benefits 14 33
Expense related to income subject to final tax 242 217
Equity in net income of associates and subsidiaries (18,342) (17,062)
Other (income) expense from tax assesment result 69 1
Others 95 37
Net permanent differences (17,429) (16,339)
Taxable income of the Company 4,200 6,340
Current corporate income tax expense 798 1,204
Final income tax expense 107 67
Total current income tax expense of the Company 905 1,271
Current income tax expense of the subsidiaries 6,730 7,525
Total current income tax expense 7,635 8,796
70
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
27. TAXATION (continued)
d. The components of income tax expense (benefit) are as follows (continued):
The reconciliation between the income tax expense calculated by applying the applicable tax rate
of 19% to the profit before income tax less income subject to final tax, and the net income tax
expense as shown in the consolidated statements of profit or loss and other comprehensive income
is as follows:
2024 2023
Profit before income tax consolidation 39,153 40,794
Less consolidated income subject to final tax - net (7,598) (11,015)
31,555 29,779
Income tax expense calculated at the Company’s
applicable statutory tax rate 5,995 5,658
Difference in applicable statutory tax rate for
subsidiaries 738 623
Non-deductible expenses 1,229 2,016
Final income tax expense 107 64
Deferred tax adjustment (4) (203)
Unrecognized deferred tax 8 180
Others 337 248
Net income tax expense 8,410 8,586
In Law No. 7 of 1983 concerning Income Tax as amended several times, most recently by Law
No. 6 of 2023 concerning Stipulation of Government Regulations in Lieu of Law No. 2 of 2022
concerning Job Creation becomes Law, Article 17 paragraph (1) letter b which stipulates that the
tax rate applied to Taxable Income for domestic corporate taxpayers and permanent
establishments is 22%, which comes into force in the 2022 fiscal year, and in article 17 paragraph
(2b) stipulates that for corporate taxpayers in the form of a limited liability company with a total
number of paid-up shares is traded on a stock exchange in Indonesia of at least 40% and meeting
certain requirements can receive 3% tax rate lower than the expected rate.
The Company applied the tax rate of 19% for the years ended December 31, 2024 and 2023. The
subsidiaries applied the tax rate of 22% for the years ended December 31, 2024 and 2023.
The Company has submitted its Annual Corporate Income Tax Return for the 2023 fiscal year on
April 30, 2024 to the Tax Authority in accordance with the applicable tax regulations.
e. Tax assessments
(i) The Company
In the year ended December 31, 2024, the Company received a number of tax assessments
from tax audits for the 2019, 2020 and 2021 fiscal years, where from all of these tax
assessments the Company received a net refund of Rp7.7 billion after being deducted by other
types of tax collection letters and assessments. The Company disagreed and submitted an
approval for the tax assessment of Rp35.7 billion. In addition to the restitution from the tax
audit results, the Company also received a restitution of Rp37.9 billion for the decision to
approve the cancellation of the 2015 and 2016 VAT Tax Collection Letters.
In July 2024, the Company received a Field Audit Notification Letter for all types of taxes in
2023. In September 2024, the Company received a VAT Field Audit Notification Letter for
2022. As of the date of issuance of this financial report, the tax audit process is still ongoing.
71
Page 80
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
27. TAXATION (continued)
e. Tax assessments (continued)
(i) The Company (continued)
In the year ended December 31, 2023, the Company received a number of tax assessments
and rulings. The Company received a tax assessment from the VAT audit for the period of
May 2020 and has received a restitution of Rp0.3 billion and has approved and charged a tax
assessment of Rp0.7 billion to the 2023 income statement. The Company also received
Supreme Court Decision number 1365/B/PK/Pjk/2023 which rejected the Directorate General
of Taxes (“DGT”)’s request for a judicial review of the 2015 Corporate Income Tax dispute,
with the Decision, all types of taxes for 2015 have permanent legal force. In addition, the
Company received a Tax Audit Notification Letter for Corporate Income Tax and
Withholding/Collection Income Tax for 2019 and 2020, VAT for 2020 (except for the May
Period) and for all types of taxes for 2021. Until the period ending on December 31, 2023,
there were no tax assessments for which objections and/or appeals were filed.
(ii) Telkomsel
As of December 31, 2024 and 2023, Telkomsel has a number of tax assessments that are in
the appeal process. The details of claims for tax refund, both associated with tax assessments
or that have not been determined by the Tax Authority, including tax assessment exposure
that are not accompanied by tax claims by Telkomsel, are as follows:
2024 2023
Appeal Others Total Appeal Others Total
Claims for tax refund which are not yet
confirmed by the Tax Authority
Corporate Income Tax
2024 fiscal year - 791 791 - - -
Tax assessment with claims for tax refund
Corporate Income Tax
2018 fiscal year 35 - 35 35 - 35
2015 fiscal year 294 - 294 294 - 294
2014 fiscal year 2 - 2 2 - 2
Witholding tax
2015 fiscal year - 0 0 - 0 0
VAT
2014 fiscal year - - - - 0 0
331 791 1,122 331 0 331
Tax assesment with no associated
claims for tax refund
Corporate Income Tax
2014 fiscal year 35 - 35 35 - 35
As of December 31, 2024, Telkomsel received a number of tax examination notification letters
for 2019, 2021, 2022 and 2023 fiscal year. On September 30, 2024, Telkomsel received
underpayment SKP amounting to Rp6 billion (including penalty amounting to Rp2 billion) for
2019 fiscal year Prepaid VAT, where Telkomsel acted as the VAT Collector. Telkomsel
accepted the entire tax assessment result and compensated the tax underpayments
amounting to Rp4 billion to prepaid VAT under prevailing tax regulation, and booked an
additional tax expenses for the penalty. As of the authorization date of these consolidated
financial statements, the tax examinations for the remaining fiscal years are still in progress.
As of December 31, 2023, Telkomsel received official verdicts from Supreme Court in February
to May 2023, which fully rejected the judicial review claimed by the Tax Authorities for the Tax
Court’s verdicts on appeal for 2014 and 2015 fiscal year VAT amounting to Rp8 billion and
Rp24 billion, respectively. Therefore, these cases have been legally enforced (“in-kracht”) and
no additional tax payables for 2014 and 2015 fiscal years VAT. In October 2023, Telkomsel
also received objection decision letters from Tax Authorities, which partially accepted
Telkomsel’s objection for withholding and VAT as well as rejected the entire Telkomsel’s
objection for corporate income tax; both were related to 2018 fiscal year. As the result,
Telkomsel has fully received tax refund amounting to Rp22 billion and charged the rejected
portion of withholding and VAT amounting to Rp0.20 billion as expense in 2023 consolidated
statement of profit or loss.
Management believes that Telkomsel has a strong case to defend its position. Telkomsel
determines an allowance related to the tax assessments is not necessary.
72
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
27. TAXATION (continued)
f. Deferred tax assets and liabilities
The details of the Group's deferred tax assets and liabilities are as follows:
Deferred tax asset and liabilities (Charged) credited to
in financial position profit or loss
2024 2023 2024 2023
The Company
Allowance for expected credit losses 770 831 (61) (54)
Net periodic pension and other
post-employment benefit costs 781 822 (34) (196)
Difference between accounting and tax
bases of property and equipment (51) 430 (481) (285)
Provision for employee benefits 276 299 (23) 7
Deferred installation fee 25 21 4 1
Land rights, intangible assets and others 42 29 13 6
Accrued expenses - 24 (24) -
Leases 1 - 1 1
Others 73 76 (3) 17
Total deferred tax assets - net 1,917 2,532 (608) (503)
Telkomsel
Provision for employee benefits 1,445 1,385 160 168
Allowance for expected credit losses 324 205 119 61
Leases 481 554 (73) 86
Contract liabilities 370 400 (30) 217
Fair value measurement of financial
instruments (8) - (8) 7
Difference between accounting and tax bases of
property and equipment (1,361) (1,228) (133) 122
License amortization (174) (171) (3) (25)
Contract cost (23) (46) 23 5
Other financial instruments (242) (165) (77) (45)
Deferred tax assets of Telkomsel - net 812 934 (22) 596
Deferred tax assets of the other subsidiaries - net 680 704 (15) (70)
Deferred tax liabilities of the other subsidiaries - net (992) (841) (130) 187
Deferred tax expense (income) (775) 210
Total deferred tax assets - net 3,409 4,170
Total deferred tax liabilities - net (992) (841)
As of December 31, 2024 and 2023 the aggregate amounts of temporary differences associated
with investments in subsidiaries and associated companies, for which deferred tax liabilities are
not recognized were Rp84,310 billion and Rp79,794 billion, respectively.
Realization of the deferred tax assets is dependent upon the Group’s capability in generating future
profitable operations. Although realization is not assured, the Group believes that it is probable that
these deferred tax assets will be realized through reduction of future taxable income when
temporary differences reverse. The amount of deferred tax assets is considered realizable;
however, it can be reduced if actual future taxable income is lower than estimates.
g. Administration
In June 2023, the Government issued Minister of Finance Regulation No. 66/PMK.03/2023
concerning Income Tax Treatment of Reimbursement or Compensation in Relation to Work or
Services Received or Obtained in Kind and/or Enjoyment. The Company ensures administrative
and legal aspects of transactions, and builds intensive coordination between related units to
implement these rules.
73
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
27. TAXATION (continued)
g. Administration (continued)
In December 2023, the Government issued Government Regulation No. 58 of 2023 concerning
Income Tax Withholding Rates Article 21 on Income in Connection with Work, Services or Activities
of Individual Taxpayers as well as Regulation of the Minister of Finance No. 168 of 2023 concerning
Guidelines for Implementing Tax Deductions on Income in Connection with Work, Services or
Individual Activities which will comes into effect from January 1, 2024. With this provision, there is
a change in the mechanism for calculating Income Tax Article 21 for Employees which previously
used progressive rates in accordance with Article 17 of the Law. The Income Tax Law uses the
average effective rate (TER) for Article 21 Income Tax deductions as regulated in the government
regulation. The Company ensures that there is intensive coordination between related units to
implement these regulations.
In December 2023, the Government issued Regulation of the Minister of Finance No. 172 of 2023
concerning the Application of the Principle of Fairness and Business Custom in Transactions
Influenced by Special Relationships which will be the basis for preparing transfer pricing documents
starting from the 2024 tax year.
In December 2024, the Government issued the Decree of the Minister of Finance No. 465
concerning the Implementation of the Core Tax Administration System and the Regulation of the
Minister of Finance concerning Tax Provisions in the Framework of the Implementation of the Core
Tax Administration System No. 81 of 2024. The Company ensures coordination with related units,
the IT Team and the tax authorities so that the tax administration process carried out through the
Core Tax Administration System application runs smoothly.
In response to the implementation of the Organisation for Economic Co-operation and Development
(“OECD”) Pillar Two framework, on December 31, 2024, Indonesian Government implemented
Pillar Two framework through Regulation of the Minister of Finance No. 136/2024 (PMK 136/2024).
The Pillar Two model rules as implemented under PMK 136/2024 will take effect for fiscal years
beginning on or after January 1, 2025.
Various countries have enacted or intend to enact tax legislation to comply with Pillar Two model
rules, including Indonesia. The Group is within the scope of PMK 136/2024, which did not impact
2024 consolidated financial statements but may impact the Group’s consolidated financial
statements from January 1, 2025 onward.
PMK 136/2024 applies new taxing mechanisms under which a Multinational Enterprises (“MNE”)
would pay a top-up tax in a jurisdiction whenever the effective tax rate, determined on
a jurisdictional basis under the Pillar Two rules is below a 15% minimum rate. PMK 136/2024 sets
out the mechanics for determining which entity or entities in an MNE Group should apply the top-
up tax and the portion of such tax that is charged to each relevant entity.
For the year ended December 31, 2024, the Group has applied amendment to PSAK 212, which
provides mandatory temporary exception from recognizing or disclosing deferred taxes related to
Pillar Two rules such that there is no impact to the 2024 consolidated financial statements. The
future impact of Pillar Two rules for the Group is currently not reasonably estimable.
The Pillar Two model rules are complex and the Group is still in the process of assessing potential
impact to the consolidated financial statements, if any. Based on currently available information,
the Group does not expect any material impact to the consolidated financial statements.
74
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
27. TAXATION (continued)
g. Administration (continued)
Related to the implementation of the provisions of Article 222 of the Minister of State-owned
Enterprise Regulation Number PER-2/MBU/03/2023 concerning Guidelines for Governance and
Significant Corporate Activities of State-owned Enterprise. State-owned enterprise is required to
convey the realization of contributions to the state (cash basis). Details of contributions to the state
as of December 31, 2024 are as follow:
December 31, 2024
Tax
Income tax 19,960
VAT and VAT on luxury goods 16,641
Import/exit duties, customs, and stamp duties 3
Property tax - other sectors 21
Regional taxes and levies, including
property tax for urban and rural 112
Total tax contribution 36,737
Non-tax contribution
Dividend 9,211
Other non-tax contribution 9,849
Total other non-tax contribution 19,060
Total contribution to the state 55,797
28. BASIC EARNINGS PER SHARE
Basic earnings per share is computed by dividing profit for the year attributable to owners of the parent
company amounting to Rp23,649 billion and Rp24,560 billion by the weighted average number of
shares outstanding during the period totaling 99,062,216,600 shares for the years ended December
31, 2024 and 2023, respectively. The weighted average number of shares takes into account the
weighted average effect of changes in treasury stock transaction during the period.
Basic earnings per share amounting to Rp238.73 and Rp247.92 (in full amount) for the year ended
December, 2024 and 2023, respectively. The Company does not have potentially dilutive financial
investments for the years ended December 31, 2024 and 2023.
29. CASH DIVIDENDS AND GENERAL RESERVE
Pursuant to the AGM of Stockholders of the Company stated in Notarial Deed No. 73 dated
May 30, 2023 of Ashoya Ratam, S.H., M.Kn., the Company’s stockholders approved the distribution
of cash dividend for 2022 amounting to Rp16,603 billion (Rp167.59 per share). The Company paid
cash dividend on July 5, 2023.
Pursuant to the AGM of Stockholders of the Company stated in Notarial Deed No. 04 dated
May 3, 2024 of Ashoya Ratam, S.H., M.Kn., the Company’s stockholders approved the distribution of
cash dividend for 2023 amounting to Rp17,683 billion (Rp178.50 per share). The Company paid cash
dividend on May 29, 2024.
Under the Limited Liability Company Law, the Company is required to establish a statutory reserve
amounting to at least 20% of its issued and paid-up capital.
The balance of the appropriated retained earnings of the Company as of December 31, 2024 and 2023
is Rp15,337 billion, respectively.
75
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
30. PENSION AND OTHER POST-EMPLOYMENT BENEFITS
The details of pension and other post-employment benefit liabilities are as follows:
Notes 2024 2023
Pension benefit and other post-employment
benefit obligations
Pension benefit
The Company - funded 30a.i.a
Defined pension benefit obligation 30a.i.a.i 3,543 3,666
Additional pension benefit obligation 30a.i.a.ii 42 44
The Company - unfunded 30a.i.b 215 258
Telkomsel 30a.ii 4,950 4,726
Projected pension benefit obligations 8,750 8,694
Net periodic post-employment health care
benefit 30b 1,550 1,470
Other post-employment benefit 30c 175 244
Long service employee benefit 30d 1 1
Obligation under the Labor Law 30e 1,064 1,005
Total 11,540 11,414
The details of net pension benefit expense recognized in the consolidated statements of profit or loss
and other comprehensive income is as follows:
Notes 2024 2023
Pension benefit cost
The Company - funded 30a.i.a
Defined pension benefit obligation 30a.i.a.i 518 629
Additional pension benefit obligation 30a.i.a.ii 3 3
The Company - unfunded 30a.i.b (27) 54
Telkomsel 30a.ii 663 633
Total periodic pension benefit cost 24 1,157 1,319
Net periodic post-employment health care
benefit cost 24,30b 282 205
Other post-employment benefit cost 24,30c 20 22
Long service employee benefit cost 24,30d 0 1
Obligation under the Labor Law 24,30e 232 217
Total 1,691 1,764
The amounts recognized in OCI are as follows:
Notes 2024 2023
Defined benefit plan actuarial gain (loss)
The Company - funded 30a.i.a
Defined pension benefit obligation 30a.i.a.i 72 (524)
Additional pension benefit obligation 30a.i.a.ii 1 1
The Company - unfunded 30a.i.b (53) 246
Telkomsel 30a.ii 420 91
Others 0 0
Post-employment health care benefit cost 30b 202 (1,265)
Other post-employment benefit 30c 6 (2)
Long service employee benefit 30d 0 -
Obligation under the Labor Law 30e 107 41
Sub-total 755 (1,412)
Deferred tax effect at the applicable tax rates (120) 23
Defined benefit plan actuarial gain (loss) -
net of tax 635 (1,389)
76
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
30. PENSION AND OTHER POST-EMPLOYMENT BENEFITS (continued)
The following table presents the changes in projected pension benefit obligation and post-employment
health care benefit obligations, changes in pension benefit and post-employment health care benefit
plan assets, funded status of the pension plan and post-employment health care benefit plan, and net
amount recognized in the consolidated statements of financial position as of December 31, 2024 and
2023, under the defined benefit pension plan:
Funded Post-employment
Defined pension benefit obligation health care benefit
The Company Telkomsel The Company
Projected
Projected Projected post-employment Post-employment
pension Pension pension Pension health care health care
benefit benefit benefit benefit benefit benefit
obligations plan assets obligations plan assets obligation plan assets Total
Balance, January 1, 2024 23,718 (20,052) 5,796 (1,070) 14,624 (13,154) 9,862
Service costs 279 - 346 - - - 625
Transferred employees costs (2) 1 2 (2) - - (1)
Interest costs (income) 1,533 (1,304) 381 (65) 966 (866) 645
Plan administration cost (115) 115 - 1 - 182 183
Additional welfare benefits 34 - - - - - 34
Cost recognized in the consolidated
statement of profit or loss 1,729 (1,188) 729 (66) 966 (684) 1,486
Actuarial (gain) loss on:
Experience adjustments (609) - (121) - 65 - (665)
Changes in demographic assumptions (1) - - - 0 - (1)
Changes in financial assumptions (491) - (314) - (863) - (1,668)
Return on plan assets
(excluding amount included in
net interest expense) - 1,029 - 15 - 596 1,640
Cost recognized in OCI (1,101) 1,029 (435) 15 (798) 596 (694)
Employer’s contributions - (558) - (18) - - (576)
Pension plan participants’ contributions 13 (13) 1 (1) - - -
Benefits paid from plan assets (1,948) 1,948 (2) 1 (640) 640 (1)
Benefits paid by employer (34) - - - - - (34)
Balance, December 31, 2024 22,377 (18,834) 6,089 (1,139) 14,152 (12,602) 10,043
Projected pension benefit
obligation at end of year 3,543 4,950 1,550 10,043
Funded Post-employment
Defined pension benefit obligation health care benefit
The Company Telkomsel The Company
Projected
Projected Projected post-employment Post-employment
pension Pension pension Pension health care health care
benefit benefit benefit benefit benefit benefit
obligations plan assets obligations plan assets obligation plan assets Total
Balance, January 1, 2023 23,136 (18,902) 5,128 (853) 12,878 (12,878) 8,509
Service costs 326 - 331 - - - 657
Settlement costs (2) 2 - - - - -
Interest costs (income) 1,573 (1,295) 369 (67) 913 (898) 595
Plan administration cost (126) 126 - 0 - 187 187
Interest expense on effect of asset ceiling - - - - - 3 3
Additional welfare benefits 50 - - - - - 50
Cost recognized in the consolidated
statement of profit or loss 1,821 (1,167) 700 (67) 913 (708) 1,492
Actuarial (gain) loss on:
Experience adjustments 91 - (76) - (907) - (892)
Changes in financial assumptions 906 - (40) - 2,349 - 3,215
Return on plan assets
(excluding amount included in
net interest expense) - (473) - 25 - (89) (537)
Changes in asset ceiling - - - - - (88) (88)
Cost recognized in OCI 997 (473) (116) 25 1,442 (177) 1,698
Employer’s contributions - (1,635) - (4) - - (1,639)
Pension plan participants’ contributions 17 (17) - - - - -
Benefits paid from plan assets (1,972) 1,972 (149) - (586) 586 (149)
Benefits paid by employer (50) - - - - - (50)
Benefit obligation from transferred employees - - 233 (171) - - 62
Effect on transfer of IndiHome
business to Telkomsel (231) 170 - - (23) 23 (61)
Balance, December 31, 2023 23,718 (20,052) 5,796 (1,070) 14,624 (13,154) 9,862
Projected pension benefit
obligation at end of year 3,666 4,726 1,470 9,862
77
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
30. PENSION AND OTHER POST-EMPLOYMENT BENEFITS (continued)
The following table presents the changes in unfunded projected pension benefit obligations, additional
pension benefit obligations, other post-employment benefit obligations and obligations under the Labor
Law, changes in additional pension benefit plan assets, and net amount recognized in the consolidated
statements of financial position as of December 31, 2024 and 2023, under the defined benefit pension
plan:
The Company
The Company and its subsidiaries
Other
Additional post-employment Long service Obligations
pension benefit benefit employee under
Unfunded obligations obligations benefit the Labor Law Total
Balance, January 1, 2024 258 44 244 1 1,005 1,552
Service costs 9 0 6 0 204 219
Past service costs - - 1 - 18 19
Interest costs 14 3 13 - 10 40
Transferred employees costs (0) (0) (0) - (0) -
Early retirement settlement costs (50) - 0 (0) (0) (50)
Cost recognized in the consolidated
statement of profit or loss (27) 3 20 - 232 228
Actuarial (gain) loss recognized in OCI 53 (1) (6) (0) (107) (61)
Benefits paid by employer (69) (4) (83) - (62) (218)
Divestment - - - - (4) (4)
Balance, December 31, 2024 215 42 175 1 1,064 1,497
The Company
The Company and its subsidiaries
Other
Additional post-employment Long service Obligations
pension benefit benefit employee under
Unfunded obligations obligations benefit the Labor Law Total
Balance, January 1, 2023 522 44 268 1 928 1,763
Service costs 22 - 7 1 152 182
Interest costs 32 3 15 - 65 115
Cost recognized in the consolidated
statement of profit or loss 54 3 22 1 217 297
Actuarial (gain) loss recognized in OCI (246) (1) 2 - (41) (286)
Benefits paid by employer (53) (2) (38) (1) (102) (196)
Effect on transfer of IndiHome business to Telkomsel (19) 0 (10) - 3 (26)
Balance, December 31, 2023 258 44 244 1 1,005 1,552
a. Pension benefit costs
i. The Company
(a) Funded pension plan
(i) Defined pension benefit obligation
The Company sponsors a defined benefit pension plan for employees with permanent
status prior to July 1, 2002. The plan is governed by the pension laws in Indonesia and
managed by Telkom Pension Fund (“Dana Pensiun Telkom” or “Dapen”). Pension Fund
Management in accordance with the Pension Fund and Investment Directives
Regulations determined by the Founder is carried out by the Board of Management.
The Board of Management is monitored by the Oversight Board consisting
of representatives of the Company and participants.
The pension benefits are paid based on the participating employees’ latest basic salary
at retirement and the number of years of their service. The participating employees
contribute 18% (before March 2003: 8.4%) of their basic salaries to the pension fund.
The Company made contributions to the pension fund amounted to Rp558 billion and
Rp1,635 billion, for the years ended December 31, 2024 and 2023, respectively.
78
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
30. PENSION AND OTHER POST-EMPLOYMENT BENEFITS (continued)
a. Pension benefit costs (continued)
i. The Company (continued)
(a) Funded pension plan (continued)
(i) Defined pension benefit obligation (continued)
Risks exposed to defined benefit programs are risks such as asset volatility and
changes in bond yields. The project liabilities are calculated using a discount rate that
refers to the level of government bond yields, if the return on program assets is lower,
it will result in a program deficit. A decrease in the yield of government bonds will
increase the program liabilities, although this will be offset in part by an increase in the
value of the program bonds held. The Company ensures that the investment position is
set within the framework of asset-liability matching ("ALM") that has been formed to
achieve long-term results that are in line with the liabilities in the defined benefit pension
plan. Within the ALM framework, the Company's objective is to adjust its pension assets
and liabilities by investing in a well diversified portfolio to produce an optimal rate of
return, taking into account the level of risk. Investment in the program has been well
diversified, so that one investment's poor performance will not have a material impact
on all asset groups.
As of December 31, 2024 and 2023, plan assets consist of:
2024 2023
Quoted in Quoted in
active market Unquoted active market Unquoted
Cash and cash equivalents 921 - 564 -
Equity instruments:
Financials 1,265 - 1,815 -
Consumer non-cyclicals 48 - 99 -
Basic material 203 - 278 -
Infrastructures 510 - 748 -
Energy 146 - 162 -
Technology 91 - 41 -
Industrials 239 - 269 -
Consumer cyclicals 448 - 521 -
Properties and real estate 110 - 113 -
Healthcare 175 - 211 -
Transportation and logistic 4 - 7 -
Equity-based mutual fund 193 - 379 -
Fixed income instruments:
Corporate bonds - 2,034 - 2,469
Government bonds 10,608 - 10,350 -
Fixed income mutual funds ("RDPT") - 66 - 101
MTN - 100 - 100
Asset-backed securities ("EBA") - 7 - 13
Sukuk - 935 - 1,063
Non-public equity:
Direct placement - 377 - 374
Property - 202 - 188
Others - 356 - 366
Total 14,961 4,077 15,557 4,674
Pension plan assets include Series B shares issued by the Company with fair values
totaling to Rp294 billion and Rp457 billion, representing 1.54% and 2.28% of total plan
assets as of December 31, 2024 and 2023, respectively, and bonds issued by the
Company with fair value totaling to Rp338 billion and Rp345 billion representing 1.78%
and 1.72% of total plan assets as of December 31, 2024 and 2023, respectively.
79
Page 88
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
30. PENSION AND OTHER POST-EMPLOYMENT BENEFITS (continued)
a. Pension benefit costs (continued)
i. The Company (continued)
(a) Funded pension plan (continued)
(i) Defined pension benefit obligation (continued)
The expected return is determined based on market expectation for returns over the
entire life of the obligation by considering the portfolio mix of the plan assets. The actual
return on plan assets was Rp275 billion and Rp1,768 billion for the years ended
December 31, 2024 and 2023, respectively. Based on the Company’s policy issued on
January 14, 2014 regarding Dapen’s Funding Policy, the Company will not contribute
to Dapen when Dapen’s Funding Sufficiency Ratio (“FSR”) is above 105%. Based on
Dapen’s financial statements as of December 31, 2024, Dapen’s FSR is below 105%.
Therefore, the Company will contribute to the defined benefit pension plan.
Based on the Company Regulations issued on September 30, 2022, regarding the
Pension Fund Regulations from the Telkom Pension Fund, the Company stipulates
those retirees who quit other than because of Disciplinary Punishment, Early
Retirement, and at their own request and receive Pension Benefits of less than
Rp1 million per month are given increase in monthly Pension Benefits to Rp1 million.
In 2024 and 2023, the Company provided employee welfare benefit to pensioners and
pension beneficiaries who entered their retirement period before June 30, 2002
amounting to Rp34 billion and Rp50 billion, respectively.
The actuarial valuation for the defined benefit pension plan was performed based on
the measurement date as of December 31, 2024 and 2023, with reports dated
March 19, 2025, and March 1, 2024, respectively, by KKA I Gde Eka Sarmaja, FSAI.
The principal actuarial assumptions used by the independent actuary for December 31,
2024 and 2023 are as follows:
2024 2023
Discount rate 7.00% 6.75%
Rate of compensation increases 8.00% 8.00%
Indonesian mortality table 2019 2019
(ii) Additional pension benefit obligation
Based on the Company Regulations issued on September 30, 2022, regarding the
Regulations on Pension Funds from Telkom Pension Funds, the Company organizes a
Defined Contribution Other Benefit Program (“PMLIP”) in the form of Additional Benefits.
PMLIP participants are entitled to receive Periodic Pension Benefits every month in
accordance with the provisions in the Pension Fund Regulations. Additional Benefit
Funds are sourced from Employer Additional Benefit contributions and provision for
investment development proceeds if the FSR is achieved above 102% and the rate of
Return on Investment (“ROI”) is above the actuarial interest rate for funding. The
employer's additional benefit contribution for each PMLIP participant is set at
Rp120 thousand for a 12-month contribution period which is calculated proportionally
according to the amount received.
80
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
30. PENSION AND OTHER POST-EMPLOYMENT BENEFITS (continued)
a. Pension benefit costs (continued)
i. The Company (continued)
(a) Funded pension plan (continued)
(ii) Additional pension benefit obligation (continued)
The actuarial valuation for additional pension benefit plan was performed based on
the measurement date as of December 31, 2024 and 2023, with reports dated
March 19, 2025 and March 1, 2024, respectively, by KKA I Gde Eka Sarmaja, FSAI.
The principal actuarial assumptions used by the independent actuary for
December 31, 2024 and 2023 are as follows:
2024 2023
Discount rate 7.00% 6.75%
Indonesian mortality table 2019 2019
Additional pension benefit obligation has been set aside since 2018 according to the
approval by the Oversight Board. As of December 31, 2024, there are no additional
obligations set aside because the requirements for recognizing additional benefits as
mentioned above have not been fulfilled.
(b) Unfunded pension plan
The Company sponsors unfunded defined benefit pension plans and a defined contribution
pension plan for its employees. The defined contribution pension plan is provided to
employees with permanent status hired on or after July 1, 2002. The plan is managed by
Financial Institutions Pension Fund (Dana Pensiun Lembaga Keuangan or “DPLK”). The
Company’s contribution to DPLK is determined based on a certain percentage of the
participants’ salaries and amounted to Rp52 billion and Rp50 billion, for the years ended
December 2024 and 2023, respectively.
Since 2007, the Company has provided pension benefit based on uniformization for both
participants prior to and from April 20, 1992 effective for employees retiring beginning
February 1, 2009. In 2010, the Company replaced the uniformization with Manfaat Pensiun
Sekaligus (“MPS”). MPS is given to those employees reaching retirement age, upon death
or upon becoming disabled starting from February 1, 2009.
The Company also provides benefits to employees during a pre-retirement period in which
they are inactive for 6 months prior to their normal retirement age of 56 years, known as
pre-retirement benefits (Masa Persiapan Pensiun or “MPP”). During the pre-retirement
period, the employees still receive benefits provided to active employees, which include,
but are not limited to, regular salary, health care, annual leave, bonus, and other benefits.
Since April 1, 2012, the employee is required to file a request for MPP and if the employee
does not file the request, such employee is required to work until the retirement date.
The actuarial valuation for the unfunded defined benefit pension plan was performed based
on the measurement date as of December 31, 2024 and 2023, with reports dated
March 19, 2025 and March 1, 2024, respectively, by KKA I Gde Eka Sarmaja, FSAI. The
principal actuarial assumptions used by the independent actuary as of December 31, 2024
and 2023 are as follows:
2024 2023
Discount rate 7.00% 6.75%
Rate of compensation increases 6.00%-8.00% 6.10%-8.00%
Indonesian mortality table 2019 2019
81
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
30. PENSION AND OTHER POST-EMPLOYMENT BENEFITS (continued)
a. Pension benefit costs (continued)
ii. Telkomsel
Telkomsel provides a defined benefit pension plan to its employees. Under this plan, employees
are entitled to pension benefits determined based on their latest basic salary or take-home pay
(exclusive of functional allowances) and number of service years. The plan is managed by
PT Asuransi Jiwasraya (Persero) (“Jiwasraya”), a state-owned life insurance company, through
an annuity insurance contract. Until 2004, employees contributed 5% of their monthly salaries
to the plan, while Telkomsel contributed the remaining part required under the plan. Beginning
in 2005, Telkomsel has been taking responsibility for the full amount of the contributions.
On April 23, 2021, Telkomsel and Jiwasraya agreed to terminate the insurance program contract
(as mentioned above) and entered into restructuring agreement. The agreement replaced the
benefit plan from annuities to lumpsum benefit. Based on this agreement, both parties agreed
to determine the Cash Value (“CV”) at the termination date which divided into CV for active
participant and passive participant amounting to Rp857 billion and Rp73 billion, respectively.
There was a 5% cut from CV for active participant, hence the 95% of Rp857 billion (or equal to
Rp814 billion) plus Rp73 billion will be the amount that subsequently taken over by PT Asuransi
Jiwa IFG (“IFG Life”) when the agreement with IFG Life become effective and accordingly, the
restructuring agreement will be terminated. As of November 30, 2023, the cash fund had been
completely taken over by IFG Life with no changes was applied to the terms of the plan and
cash value being transferred at the transfer date, and accordingly, the restructuring agreement
was terminated.
On June 27, 2023, the Company and Telkomsel signed an agreement regarding Dapen to
appoint Telkomsel as a Partner of the Company as the sole Founder, which resulted in rights
and obligations to Telkomsel as governed in the Pension Fund Agreement effective from the
business transfer of IndiHome consumer business segment to Telkomsel.
Effective from the business transfer of IndiHome consumer business segment to Telkomsel,
Telkomsel sponsors a defined benefit pension plan for transferring employees hired prior to
July 1, 2002. The plan is governed by the pension laws in Indonesia and managed by Dapen.
Dapen is managed in accordance with the Pension Fund and Investment Directives
Regulations, which is determined by the Company as the Founder and is carried out by the
Board of Management. The Board of Management is monitored by the Oversight Board,
appointed by the Founder.
The pension benefits are paid based on the participating employee’s latest basic salary at
retirement and the number of years of their service. The participating employees contribute 18%
of their basic salaries to the pension fund. Telkomsel’s contribution to the pension fund for the
year ended December 31, 2024 was amounting to Rp18 billion (2023: Rp21 billion).
The actuarial valuation for the defined benefit pension plan was performed based on the
measurement date as of December 31, 2024 and 2023 with reports dated March 6, 2025, and
March 5, 2024, respectively, by KKA Halim and Partner, an independent actuary in association
with Milliman. The principal actuarial assumptions used by the independent actuary as of
December 31, 2024 and 2023, are as follows:
2024 2023
Discount rate 7.10% 6.70%
Rate of compensation increases 7.25% - 8.00% 7.50% - 8.00%
Indonesian mortality table 2019 2019
82
Page 91
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
30. PENSION AND OTHER POST-EMPLOYMENT BENEFITS (continued)
b. Post-employment health care benefit cost
The Company provides post-employment health care benefits to all its employees hired before
November 1, 1995 who have worked for the Company for 20 years or more when they retire, and
to their eligible dependents. The requirement to work for 20 years does not apply to employees
who retired prior to June 3, 1995. The employees hired by the Company starting from November
1, 1995 are no longer entitled to this plan. The plan is managed by Yayasan Kesehatan Telkom
(“Yakes Telkom”).
The defined contribution post-employment health care benefit plan is provided to employees with
permanent status hired on or after November 1, 1995 or employees with terms of service less than
20 years at the time of retirement. The Company did not make contributions to Yakes Telkom for
the years ended December 31, 2024 and 2023. As of December 31, 2024 and 2023, plan assets
consists of:
2024 2023
Quoted in Quoted in
active market Unquoted active market Unquoted
Cash and cash equivalents 375 - 392 -
Equity instruments:
Financials 1,070 - 1,468 -
Consumer non-cyclicals 78 - 115 -
Basic material 197 - 260 -
Infrastructures 517 - 618 -
Energy 164 - 156 -
Technology 43 - 24 -
Industrials 242 - 261 -
Consumer cyclicals 355 - 395 -
Properties and real estate 96 - 110 -
Healthcare 118 - 147 -
Transportation and logistic 4 - 5 -
Equity-based mutual funds 313 - 435 -
Fixed income instruments:
Government obligations 1,837 - 1,271 -
Corporate obligations 196 - 6 -
Fixed income mutual funds 6,484 - 7,067 -
Exchange Traded Fund ("ETF") 24 - - -
Index mutual funds 5 - - -
Unlisted shares:
Private placement - 507 - 448
Total 12,118 507 12,730 448
Yakes Telkom plan assets also include Series B shares issued by the Company with fair value
totaling Rp217 billion and Rp321 billion, representing 1.72% and 2.45% of total plan assets as of
December 31, 2024 and 2023, respectively. Bonds issued by The Company with a fair value of
Rp69 billion and Rp6 billion each represent 0.55% and 0.04% of total assets as of December 31,
2024 and 2023. The expected return is determined based on market expectation for the returns
over the entire life of the obligation by considering the portfolio mix of the plan assets. The actual
return on plan assets was Rp270 billion and Rp987 billion for the years ended December 31, 2024
and 2023, respectively.
The actuarial valuation for the post-employment health care benefits plan was performed based on
the measurement date as of December 31, 2024 and 2023, with reports dated March 19, 2025 and
March 1, 2024, respectively, by KKA I Gde Eka Sarmaja, FSAI. The principal actuarial assumptions
used by the independent actuary for December 31, 2024 and 2023 are as follows:
2024 2023
Discount rate 7.00% 6.75%
Health care costs trend rate assumed for next year 7.00% 7.00%
Ultimate health care costs trend rate 7.00% 7.00%
Year that the rate reaches the ultimate trend rate 2024 2023
Indonesian mortality table 2019 2019
83
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
30. PENSION AND OTHER POST-EMPLOYMENT BENEFITS (continued)
c. Other post-employment benefits cost
The Company provides other post-employment benefits in the form of cash paid to employees on
their retirement or termination. These benefits consist of final housing allowance (Biaya Fasilitas
Perumahan Terakhir or “BFPT”) and home passage leave (Biaya Perjalanan Pensiun dan
Purnabhakti or “BPP”) and death allowance (Meninggal Dunia or “MD” allowance) is given to
employees who have passed away with an amount of 12 times from the last salary.
The actuarial valuation for the other post-employment benefits plan was performed based on
measurement date as of December 31, 2024 and 2023, with reports date March 19, 2025 and
March 1, 2024, respectively, by KKA I Gde Eka Sarmaja, FSAI. The principal actuarial assumptions
used by the independent actuary for December 31, 2024 and 2023 are as follows:
2024 2023
Discount rate 7.00% 6.50%
Indonesian mortality table 2019 2019
d. Long service employee benefits
The Company provides long service employee benefits to employee hired before July 1, 2002 and
have a service period of more than 30 years and retired after September 19, 2019. Total obligation
recognized as of December 31, 2024 and 2023 amounted to Rp1 billion and Rp1 billion,
respectively. The related long service employee benefits cost charged to expense amounted to
Rp1 billion and Rp1 billion for the years ended December 31, 2024 and 2023, respectively.
e. Obligation under the Labor Law
Under Law No. 11 Year 2020, the Group is required to provide minimum pension benefits, if not
covered yet by the sponsored pension plans, to its employees upon retirement. Total obligation
recognized as of December 31, 2024 and 2023 amounted to Rp1,064 billion and Rp1,005 billion,
respectively. The related pension employee benefits cost charged to expense amounted to
Rp232 billion and Rp217 billion for the years ended December 31, 2024 and 2023, respectively.
The actuarial gain in OCI amounted to Rp107 billion and Rp41 billion for the years ended
December 31, 2024 and 2023, respectively.
f. Maturity Profile of Defined Benefit Obligation (“DBO”)
The timing of benefits payments and weighted average duration of DBO for 2024 and 2023 are as
follows:
Expected Benefits Payment
The Company
Funded
Defined Additional Post-employment Other post- Post-employment
pension benefit pension benefit health care employment benefits
Time Period obligation obligation Unfunded Telkomsel benefits benefits UUCK (Telkom)
2024
Within next 10 years 20,107 39 277 9,404 8,153 202 118
Within 10-20 years 15,035 28 110 13,131 13,311 118 488
Within 20-30 years 8,744 15 212 8,449 13,927 66 610
Within 30-40 years 3,079 5 20 410 7,896 2 41
Within 40-50 years 539 1 - - 2,142 - -
Within 50-60 years 37 - - - 340 - -
Within 60-70 years 1 - - - 62 - -
Within 70-80 years - - - - 7 - -
Weighted average
duration of DBO 8.16 years 8.16 years 6.48 years 8.49 years 13.39 years 5.18 years 10.71 years
84
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
30. PENSION AND OTHER POST-EMPLOYMENT BENEFITS (continued)
f. Maturity Profile of Defined Benefit Obligation (“DBO”) (continued)
The timing of benefits payments and weighted average duration of DBO for 2024 and 2023 are as
follows (continued):
Expected Benefits Payment
The Company
Funded
Defined Additional Post-employment Other post- Post-employment
pension benefit pension benefit health care employment benefits
Time Period obligation obligation Unfunded Telkomsel benefits benefits UUCK (Telkom)
2023
Within next 10 years 21,044 39 340 8,833 8,929 281 83
Within 10-20 years 15,850 30 79 13,778 13,651 116 426
Within 20-30 years 9,623 16 139 9,184 12,128 70 485
Within 30-40 years 3,630 5 21 439 5,114 3 49
Within 40-50 years 693 1 - - 819 - -
Within 50-60 years 53 - - - 48 - -
Within 60-70 years 1 - - - 5 - -
Within 70-80 years - - - - 1 - -
Weighted average
duration of DBO 8.42 years 8.42 years 5.54 years 9.18 years 12.39 years 4.51 years 11.18 years
g. Sensitivity Analysis
As of December 31, 2024 and 2023, 1% change in discount rate and rate of compensation would
have effect on DBO, are as follows:
Discount Rate Rate of Compensation
1% Increase 1% Decrease 1% Increase 1% Decrease
Increase (decrease) in amounts Increase (decrease) in amounts
Sensitivity
2024
Funded:
Defined pension benefit obligation (1,809) 2,113 153 (146)
Unfunded (11) 12 13 (12)
Telkomsel (502) 568 623 (559)
Post-employment health care benefits (1,663) 2,031 1,943 (1,624)
Other post-employment benefits (9) 10 3 (3)
Post-employment benefits UUCK (Telkom) (12) 14 37 (32)
2023
Funded:
Defined pension benefit obligation (2,030) 2,387 235 (224)
Unfunded (10) 12 13 (12)
Telkomsel (529) 602 651 (582)
Post-employment health care benefits (1,609) 1,939 1,845 (1,565)
Other post-employment benefits (11) 12 3 (3)
Post-employment benefits UUCK (Telkom) (10) 12 33 (28)
The sensitivity analysis was determined based on a method that extrapolates the impact on DBO
as a result of reasonable changes in key assumptions occurring at the end of the reporting period.
The sensitivity results above determine the individual impact on the Plan’s DBO at the end of the
year. In reality, the Plan is subject to multiple external experience items which may move the DBO
in similar or opposite directions, and the Plan’s sensitivity to such changes can vary over time.
There are no changes in the methods and assumptions used in preparing the sensitivity analysis
from the previous period.
85
Page 94
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
31. LONG SERVICE AWARDS (“LSA”) PROVISIONS
Telkomsel and Telkomsat provide certain cash awards or certain number of days leave benefits to
28. their employees based on the employees’ length of service requirements, including LSA and Long
Service Leaves (“LSL”). LSA are either paid at the time the employees reach certain years of
employment, or at the time of termination. LSL are either certain number of days leave benefit or cash,
subject to approval by management, provided to employees who meet the requisite number of years
of service and reach a certain minimum age.
The obligation with respect to these awards which was determined based on an actuarial valuation
using the Projected Unit Credit method amounted to Rp1,192 billion and Rp1,153 billion as of
December 31, 2024 and 2023, respectively. The related benefit costs charged to expense amounted
Rp226 billion and Rp289 billion for the years ended December 31, 2024 and 2023, respectively (Note
24).
32. RELATED PARTIES TRANSACTIONS
a. Nature of relationships and accounts/transactions with related parties
Details of the nature of relationships and accounts/transactions with significant related parties are
as follows:
Related parties Nature of relationships parties Nature of accounts/transactions
The Government Majority stockholder Internet and data service revenues, other
Ministry of Finance telecommunication service revenues, finance costs,
and investment in financial instruments
State-owned enterprises
Indosat Entity under common control Interconnection revenues, leased lines revenues,
satellite transponder usage revenues, interconnection
expenses, telecommunication facilities usage
expenses, operating and maintenance expenses, and
usage of data communication network system
expenses
PT Pertamina (Persero) Entity under common control Internet and data service revenues and other
(“Pertamina”) telecommunication service revenues
State-owned banks Entity under common control Finance income and finance costs
BNI Entity under common control Internet and data service revenues, other
telecommunication service revenues, consultant
expenses, medical expenses, finance income, and
finance costs
BRI Entity under common control Internet and data service revenues, other
telecommunication service revenues, finance income,
and finance costs
Bank Mandiri Entity under common control Internet and data service revenues, other
telecommunication service revenues, finance income,
and finance costs
PT Perusahaan Listrik Negara Entity under common control Internet and data service revenues, other
(Persero) (“PLN”) telecommunication service revenues, and electricity
expenses
Indonesia Financial Group Entity under common control Fixed assets insurance expenses and personal
insurance expenses
Bahana TCW Entity under common control Mutual funds
Sarana Multi Infrastruktur Entity under common control Other borrowing and finance costs
Other state-owned enterprises Entity under common control Internet and data service revenues, other
telecommunication services revenues, operating
expenses, and purchase of property and equipments
PT Omni Inovasi Indonesia Tbk. Associated
Associatedcompany
companies Distribution of SIM cards and pulse reload voucher
(“Omni Inovasi Indonesia”)
PT Fintek Karya Nusantara Associated companies Marketing expenses and distribution of SIM cards and
(“Finarya”) pulse reload voucher
PT Kereta Cepat Indonesia China Other related entities Other telecommunication service revenue
(“KCIC”)
Padi UMKM Other related entities Operational and maintenance expenses, collection fees,
training expenses, internal security expenses, research
and development expenses, printing expenses,
meeting expenses, general and other administrative
expenses, promotion expenses, advertising expenses,
sales fees, customer education expenses, and
marketing expenses
Directors Key management personnel Honorarium and facilities
Commissioners Supervisory personnel Honorarium and facilities
86
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
32. RELATED PARTIES TRANSACTIONS (continued)
a. Nature of relationships and accounts/transactions with related parties (continued)
The outstanding balances of trade receivables and payables as of December 31, 2024 and 2023
are unsecured and interest-free and the settlement occurs in cash. There have been no guarantees
provided or received for any related party receivables or payables. As of December 31, 2024 and
2023, the Group recorded an increase of impairment loss from trade receivables of related party
amounted to Rp29 billion and Rp47 billion, respectively.
b. Significant transactions with related parties
The following table presents significant transactions with related parties:
2024 2023
% of total % of total
Amount revenues Amount revenues
Revenues
Majority Stockholder
Ministry of Finance 234 0.16 174 0.12
Entities under common control
Indosat 2,209 1.47 2,195 1.47
BNI 531 0.35 509 0.34
Pertamina 488 0.33 755 0.51
Bank Mandiri 308 0.21 156 0.10
BRI 228 0.15 190 0.13
Others (each below Rp100 billion) 430 0.29 1,006 0.67
Sub-total 4,194 2.80 4,811 3.22
Other related entities
KCIC 357 0.24 87 0.06
Others 47 0.03 43 0.03
Sub-total 404 0.27 130 0.09
Associated companies 0 0.00 8 0.01
Total 4,832 3.23 5,123 3.44
2024 2023
% of total % of total
Amount expenses Amount expenses
Expenses
Entities under common control
PLN 2,779 2.58 2,602 2.49
Indosat 644 0.60 566 0.54
Indonesia Financial Group 183 0.17 198 0.19
BNI 112 0.10 143 0.14
Others (each below Rp100 billion) 150 0.14 381 0.36
Sub-total 3,868 3.59 3,890 3.72
Other related entities
Padi UMKM 508 0.47 561 0.54
Others 77 0.07 94 0.09
Sub-total 585 0.54 655 0.63
Associated companies
Finarya 109 0.10 126 0.12
Others 0 0.00 0 0.00
Sub-total 109 0.10 126 0.12
Total 4,562 4.23 4,671 4.47
2024 2023
% of total % of total
Amount finance income Amount finance income
Finance income
Entities under common control
State-owned banks 371 27.14 312 29.41
Total 371 27.14 312 29.41
87
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
32. RELATED PARTIES TRANSACTIONS (continued)
b. Significant transactions with related parties (continued)
The following table presents significant transactions with related parties (continued):
2024 2023
% of total % of total
Amount finance cost Amount finance cost
Finance cost
Majority stockholder
Ministry of Finance 1 0.02 5 0.11
Entities under common control
State-owned banks 1,329 25.52 1,111 23.88
Sarana Multi Infrastruktur 8 0.15 74 1.59
Total 1,338 25.69 1,190 25.58
2024 2023
% of total % of total
Amount purchases Amount purchases
Purchase of property
and equipment
Entities under common control 29 0.12 64 0.19
Total 29 0.12 64 0.19
2024 2023
% of total % of total
Amount revenues Amount revenue
Distribution of SIM
card and voucher
Associated companies
Omni Inovasi Indonesia 371 0.25 467 0.31
Finarya 100 0.07 159 0.11
Total 471 0.32 626 0.42
c. Balance of accounts with related parties
The following table presents significant transactions with related parties:
2024 2023
% of total % of total
Amount assets Amount assets
Cash and cash equivalents
(Note 3) 26,217 8.75 19,024 6.63
Other current financial
asset (Note 4) 918 0.31 800 0.28
Trade receivables
(Note 5) 2,350 0.78 1,918 0.67
Contract assets
Majority stockholder
Ministry of Finance 16 0.01 36 0.01
Entities under common control 193 0.06 252 0.09
Associated companies 1 0.00 1 0.00
Other related entities 3 0.00 1 0.00
Total 213 0.07 290 0.10
Other current asset 138 0.05 53 0.02
Other non-current asset 12 0.00 5 0.00
88
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
32. RELATED PARTIES TRANSACTIONS (continued)
c. Balance of accounts with related parties (continued)
The following table presents significant transactions with related parties (continued):
2024 2023
% of total % of total
Amount liabilities Amount liabilities
Trade payables (Note 15)
Majority stockholder
Ministry of Finance 17 0.01 18 0.01
Entities under common control
State-owned enterprises 317 0.23 302 0.23
Indosat 212 0.15 129 0.10
Others - - 12 0.01
Sub-total 529 0.38 443 0.34
Associated companies 20 0.01 40 0.03
Other related entities 60 0.04 84 0.06
Total 626 0.44 585 0.44
Accrued expenses
Majority stockholder
Ministry of Finance - - 1 0.00
Entities under common control
State-owned enterprises 209 0.15 137 0.10
State-owned banks 81 0.06 39 0.03
Sub-total 290 0.21 176 0.13
Associated companies 1 0.00 - -
Total 291 0.21 177 0.13
Contract liabilities
Majority stockholder
Ministry of Finance 90 0.07 18 0.01
Entities under common control
State-owned enterprises 474 0.35 312 0.24
Others 1 0.00 1 0.00
Sub-total 475 0.35 313 0.24
Associated companies 7 0.01 13 0.01
Other related entities
KCIC 1,113 0.81 1,133 0.87
Others 4 0.00 2 0.00
Sub-total 1,117 0.81 1,135 0.87
Total 1,689 1.24 1,479 1.13
Customer deposits 19 0.01 19 0.01
Short-term bank loans (Note 18) 5,554 4.05 4,916 3.77
Two-step loans (Note 19a) - - 84 0.06
Long-term bank loans (Note 19c) 15,943 11.62 11,099 8.51
Other borrowings (Note 19d) - - 362 0.28
89
Page 98
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
32. RELATED PARTIES TRANSACTIONS (continued)
d. Significant agreements with related parties
i. The Government
The Company obtained two-step loans from the Government (Note 19a).
ii. Indosat
The Company has an agreement with Indosat to provide international telecommunications
services to the public.
The Company has also entered into an interconnection agreement between the Company’s
fixed line network (Public Switched Telephone Network or “PSTN”) and Indosat’s Global
System for Mobile (“GSM”) cellular telecommunications network in connection with the
implementation of Indosat Multimedia Mobile services and the settlement of related
interconnection rights and obligations.
The Company also has an agreement with Indosat for the interconnection of Indosat's GSM
mobile cellular telecommunications network with the Company's PSTN, which enable each
party’s customers to make domestic calls between Indosat’s GSM mobile network and the
Company’s fixed line network, as well as enabling Indosat’s mobile customers to access the
Company’s International Direct Dialing (“IDD”) service by dialing “007”.
Indosat's owner, Ooredoo, has merged with Tri, CK Hutchison Holdings (“CKHH”) by merging
their companies into Indosat Ooredoo Hutchison. With this merger and the latest MoCI
Regulation No. 5 of 2021, the Company has amended the interconnection cooperation
agreement for fixed-line networks (local, Sambungan Langsung Jarak Jauh ("SLJJ"),
and international) and mobile networks on May 30, 2023 in order to implement cost-based
tariff obligations based on the 2014 Interconnection Offering Document.
The Company also provides leased lines to Indosat and its subsidiaries, namely PT Aplikanusa
Lintasarta (“Lintasarta”). The leased lines can be used by these companies for telephone,
telegraph, data, telex, facsimile, or other telecommunication services.
e. Remuneration of key management and supervisory personnel
Key management personnel consists of the Board of Directors of the Company and supervisory
personnel consists of the Board of Commissioners.
The Company provides remuneration in the form of salaries/honorarium and facilities to support
the governance and oversight duties of the Board of Commissioners along with the leadership and
management duties of the Board of Directors. Total of such remuneration is as follows:
2024 2023
% of total % of total
Amount expenses Amount expenses
Board of Directors 504 0.47% 475 0.46%
Board of Commissioners 176 0.16% 179 0.17%
The amounts disclosed in the table above are amounts recognized as general and administration
expense during the reporting periods.
90
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
33. OPERATING SEGMENTS
The Group has four primary reportable segments, namely mobile, consumer, enterprise, and WIB.
The mobile segment provides mobile voice, SMS, value added services, and mobile broadband.
The consumer segment provides IndiHome services (bundled service of fixed wireline, pay TV, and
internet) and other telecommunication services to residential customers. The enterprise segment
provides end-to-end solution to corporate and institutional customers. The WIB segment provides
interconnection services, broadband access, information technology services, data, and internet
services to other licensed telecommunication operator and international customers. Other segment
provides digital content products (music and game), big data, Business-to-Business (“B2B”)
Commerce, and financial services to individual and corporate customers. There are no operating
segments that have been aggregated to form the reportable segments.
Management monitors the operating results of the business units separately for the purpose of
decision-making about resource allocation and performance assessment. Segment performance is
evaluated based on operating profit or loss and is measured consistently with operating profit or loss
in the consolidated financial statements. However, the financing activities and income taxes are
managed on group basis and are not separately monitored and allocated to operating segments.
Segment revenues and expenses include inter-segment transactions and are accounted at prices that,
management believes, represent market prices.
2024
Adjustment
Total and Total
Mobile Consumer Enterprise WIB Others segment elimination consolidated
Segment results
Revenues
External revenues 83,400 26,312 20,593 18,002 1,078 149,385 582 149,967
Inter-segment revenues 3,226 50 24,749 21,398 1,657 51,080 (51,080) -
Total segment revenues 86,626 26,362 45,342 39,400 2,735 200,465 (50,498) 149,967
Segment results 25,977 8,216 443 9,102 (1,051) 42,687 (3,534) 39,153
Other information
Capital expenditures (11,679) (5,413) (2,677) (4,540) (8) (24,317) (132) (24,449)
Depreciation and
amortization (20,852) (5,870) (3,631) (6,691) (16) (37,060) 4,417 (32,643)
Provision recognized in
current year (110) (560) (142) (37) (7) (856) (48) (904)
2023
Adjustment
Total and Total
Mobile Consumer Enterprise WIB Others segment elimination consolidated
Segment results
Revenues
External revenues 85,291 26,442 19,508 16,928 402 148,571 645 149,216
Inter-segment revenues 3,628 165 25,234 20,333 2,014 51,374 (51,374) -
Total segment revenues 88,919 26,607 44,742 37,261 2,416 199,945 (50,729) 149,216
Segment results 28,693 7,971 602 9,386 (1,188) 45,464 (4,670) 40,794
Other information
Capital expenditures (12,370) (6,434) (5,073) (8,964) (11) (32,852) (116) (32,968)
Depreciation and
amortization (21,248) (5,828) (3,884) (6,135) (18) (37,113) 4,450 (32,663)
Provision recognized in
current year (231) (463) 173 (11) (5) (537) 24 (513)
91
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
33. OPERATING SEGMENTS (continued)
Adjustments and eliminations:
a. Revenue reconciliation
2024 2023
Total segment revenues 200,465 199,945
Revenue from other non-operating segments 582 645
Adjustment and inter-segment elimination (51,080) (51,374)
Consolidated revenues 149,967 149,216
b. Segment results reconciliation
2024 2023
Total segment results 42,687 45,464
Loss from other non-operating segments (2,699) (2,679)
Adjustment and inter-segment elimination 3,003 1,599
Finance income 1,367 1,061
Finance cost (5,208) (4,652)
Share of profit of long-term investment in associates 3 1
Consolidated profit before income tax 39,153 40,794
c. Capital expenditure reconciliation
2024 2023
Total segment capital expenditure (24,317) (32,852)
Capital expenditure from
other non-operating segments (132) (116)
Consolidated capital expenditure (24,449) (32,968)
d. Depreciation and amortization reconciliation
2024 2023
Total segment depreciation and amortization (37,060) (37,113)
Depreciation and amortization from
other non-operating segments (212) (250)
Adjustment and inter-segment elimination 4,629 4,700
Consolidated depreciation and amortization (32,643) (32,663)
e. Provision recognized in current year reconciliation
2024 2023
Total segment provision (856) (537)
Provision recognized from other
non-operating segments (37) (5)
Adjustment and inter-segment elimination (11) 29
Consolidated provision recognized
in current year (904) (513)
92
Page 101
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
33. OPERATING SEGMENTS (continued)
Geographic information:
2024 2023
External revenues
Indonesia 141,062 141,157
Abroad 8,905 8,059
Total 149,967 149,216
The revenue information above is based on the location of the customers.
There are no revenue from major customer which exceeds 10% of total revenues for the years ended
December 31, 2024 and 2023.
2024 2023
Non-current operating assets
Indonesia 187,158 186,554
Abroad 2,850 2,932
Total 190,008 189,486
Non-current operating assets for segment reporting purpose consist of property and equipment and
intangible assets.
34. TELECOMMUNICATIONS SERVICE TARIFFS
Under Law No. 36 Year 1999 and Government Regulation No. 52 Year 2000, tariffs for operating
telecommunications network and/or services are determined by providers based on the tariff type,
structure, and with respect to the price cap formula set by the Government. Furthermore, these
regulations were superseded by Law No. 11 Year 2020 and Government Regulation No. 46 Year 2021
where the authorised minister is able to determine the upper and/or lower tariff limits.
a. Fixed line telephone tariffs
The Government has issued a new adjustment tariff formula which is stipulated in MoCI Regulation
No. 5/2021 dated March 31, 2021 concerning “Telecommunication Operation”. This Decree
replaced the previous Decree No. 15/PER/M.KOMINFO/4/2008 dated April 30, 2008.
Under the Decree, tariff structure for basic telephony services connected through fixed line network
consists of the following:
i. Activation fee
ii. Monthly subscription charges
iii. Usage charges, and
iv. Additional facilities fee.
b. Mobile cellular telephone tariffs
On March 31, 2021, MoCI issued MoCI Regulation No. 5/2021, which provides guidelines to
determine cellular tariffs with a formula consisting of network element cost and retail services
activity cost.
Under MoCI Regulation No. 5/2021, cellular tariffs for the operation of telecommunication services
connected through mobile cellular network consist of the following:
i. Basic telephony services tariff
ii. Roaming tariff, and/or
iii. Multimedia services tariff
with the following traffic structure:
i. Activation fee
ii. Monthly subscription charges, and/or
iii. Usage charges
93
Page 102
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
34. TELECOMMUNICATIONS SERVICE TARIFFS (continued)
c. Interconnection tariffs
The Indonesian Telecommunication Regulatory Body (“ITRB”), in its letter No. 262/BRTI/XII/2011
dated December 12, 2011, decided to change the basis for SMS interconnection tariff to cost basis
with a maximum tariff of Rp23 per SMS effective from June 1, 2012, for all telecommunication
provider operators.
Based on letter No.118/KOMINFO/DJPPI/PI.02.04/01/2014 dated January 30, 2014 of the Director
General of Post and Informatics, the Director General of Post and Informatics decided to implement
new interconnection tariff effective from February 1, 2014 until December 31, 2016, subject to
evaluation on an annual basis. Pursuant to the Director General of Post and Informatics letter, the
Company and Telkomsel are required to submit the Reference Interconnection Offer (“RIO”)
proposal to ITRB to be evaluated.
Subsequently, ITRB in its letters No. 60/BRTI/III/2014 dated March 10, 2014 and
No. 125/BRTI/IV/2014 dated April 24, 2014 approved Telkomsel and the Company’s revision of
RIO regarding the interconnection tariff. Based on the letter, ITRB also approved the changes to
the SMS interconnection tariff to Rp24 per SMS.
On January 18, 2017, ITRB in its letters No. 20/BRTI/DPI/I/2017 and No. 21/BRTI/DPI/I/2017,
decided to use the interconnection tariff based on the Company and Telkomsel’s RIO in 2014 until
the new interconnection tariff is set.
d. Network lease tariffs
In 2008, the Director General of Post and Telecommunication issued Decree No. 115 of 2008 which
stated its agreement on Agreement on Network Lease Service Type Document, Network Lease
Service Tariff, Available Capacity of Network Lease Service, Quality of Network Lease Service,
and Provision Procedure of Network Lease Service Owned by Dominant Network Lease Service
Provider in conformity with the Company’s proposal. Through MoCI Regulation No. 5/2021, the
Government regulated the form, type, tariff structure, and tariff formula for services of network
lease.
e. Tariff for other services
The tariffs for satellite lease, telephony services, and other multimedia are determined by the
service provider by taking into account the expenditures and market price. The Government only
determines the tariff formula for basic telephony services. There is no stipulation for the tariff of
other services.
94
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
35. SIGNIFICANT COMMITMENTS, AGREEMENTS, AND OTHERS
a. Capital expenditures
As of December 31, 2024, capital expenditures committed under the contractual arrangements are
Rp11,272 billion and US$223 million.
The above balance includes the following significant agreements:
Contracting parties Date of agreement Significant part of the agreement
Development and Rollout Agreement
("DRA") and Technical Support
September 12, 2019 -
Telkomsel and PT Phincon Agreement ("TSA") Customer
September 12, 2027
Relationship Management ("CRM")
Solution System Integrator
Telkomsel, PT Ericsson Indonesia,
February 1, 2021 - Procurement Agreement for Radio
PT Huawei Tech Investment, and
January 31, 2027 Ultimate Solution ("ROA") and TSA
PT ZTE Indonesia
Telkomsel, PT Sempurna Global
Procurement Agreement of Next
Pratama, PT Lintas Teknologi September 1, 2021 -
Generation of Gateway GPRS Support
Indonesia, and PT Ericsson August 31, 2024*
Node ("GGSN") (Virtualized EPC)
Indonesia
Telkomsel, Amdocs Software Agreement Online Charging System
October 8, 2024 -
Solutions Limited Liability Company, (“OCS”) and Service Control Points
October 7, 2029
and PT Application Solutions (“SCP”) System Solution Development
Telkomsel and PT Application October 8, 2024 -
TSA for OCS and SCP
Solutions October 7, 2029
Telkomsat and Thales Alenia Space October 28, 2021 - Procurement and Installation Agreement
France ("TAS") October 27, 2037 of HTS 113BT Satellite System
Telkomsel and PT Ericsson February 13, 2022 - Procurement Agreement for CS Core
Indonesia February 12, 2025 Solution ROA and TSA
Telkomsel and PT Lintas Teknologi February 13, 2022 - Procurement Agreement for CS Core
Indonesia February 12, 2025 Solution ROA and TSA
Telkomsel and PT Huawei Tech March 24, 2022 -
Procurement Agreement for GGSN
Investment March 24, 2025
Telkomsat and Space Exploration
April 19, 2022 - Procurement Agreement for Launch
Technologies Corporation
June 30, 2025 Service of HTS 113BT Satellite
("SpaceX")
July 1, 2024 -
TDI and PT Nusacipta Indonesia Pilling and Cut & Fill for Bromo Project
June 12, 2025
Contract Agreement of General
October 14, 2024 -
TDE and PT ZTE Indonesia Contractor (GC) for Delta Project Level-2
October 14, 2027
Fit Out Works
The Company and PT Master December 9, 2024 - Agreement Procurement and Installation
System Infotama June 6, 2025 for Expand IP Backbone Platform Cisco
Agreement Procurement and Installation
The Company and PT ZTE December 12, 2024 -
for OTN Metro (OTM) Future State
Indonesia September 25, 2025
Architecture (FSA) - Platform ZTE
Agreement Procurement and Installation
The Company and PT Lintas December 13, 2024 -
for OTN Metro (OTM) Future State
Teknologi Indonesia June 28, 2025
Architecture (FSA) - Platform Nokia
Agreement Procurement and Installation
The Company and PT Packet December 18, 2024 -
for OTN Metro (OTM) Future State
Systems Indonesia July 28, 2025
Architecture (FSA) - Platform Huawei
Procurement and Installation for Multi
The Company and PT Datacomm December 27, 2024 -
Service Aggregation (MSA) Platform
Diangraha June 28, 2025
Nokia
Agreement Procurement and Installation
The Company and PT Huawei Tech December 31, 2024 -
for Expand MSA, WAG, BNG, and PCEF
Investment June 28, 2025
Wifi Platform Huawei
* Telkomsel is currently renewing this agreement.
95
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
35. SIGNIFICANT COMMITMENTS, AGREEMENTS, AND OTHERS (continued)
35.
b. Borrowings and other credit facilities
(i) As of December 31, 2024, the Company has bank guarantee facilities for tender bonds,
performance bonds, maintenance bonds, deposit guarantee, and advance payment bonds for
various projects of the Company, as follows:
Lenders Total facility Maturity Currency Facility utilized
BRI 500 March 14, 2026 Rp 10
BNI 500 March 31, 2025 Rp 49
Bank Mandiri 500 June 21, 2025 Rp 180
Total 1,500 239
The Company has sufficient bank facilities to meet its current obligations (Note 37b.v).
(ii) As of December 31, 2024, Telkomsel has bank guarantee facilities for various projects, as
follows:
Lenders Total facility Maturity Currency Facility utilized
BRI 1,000 September 25, 2028 Rp 618
BNI 2,100 December 11, 2025 Rp 1,459
Total 3,100 2,077
Bank guarantee facility with BRI and BNI are mainly for performance bond and surety bond of
radio frequency (Note 35c.i).
(iii) Telin has a bank guarantee facilities from Bank Mandiri and BRI with a maximum credit limit
of US$25 million and US$5 million or equal to Rp403 billion and Rp81 billion, respectively.
As of December 31, 2024, there is no bank guarantee facility used.
c. Others
(i) Radio frequency usage
With reference to Law No. 36 of 1999, the use of radio frequency spectrum and the cost of
using radio frequency are determined by the government. With reference to the Decision Letter
No. 025/TEL.01.02/2022 Year 2022 dated January 28, 2022, of the MoCI, the MoCI granted
Telkomsel the rights to provide mobile telecommunication services with radio frequency
bandwidth in the 800 MHz, 900 MHz, 1,800 MHz, 2.1 GHz and 2.3 GHz; and basic
telecommunication services.
With reference to Decision Letters No. 509 Year 2016, No. 1896 Year 2017, No. 806 Year
2019, No. 620 Year 2020, No. 178 Year 2021, No. 479 Year 2022, No. 90 Year 2023, and
No. 188 Year 2023 of the MoCI, Telkomsel is required, among other things, to:
1. Issue a surety bond each year amounting Rp1.03 trillion for spectrum 2.3 GHz.
2. Issue a surety bond each year amounting Rp360 billion for both spectrum 2.3 GHz
Block A and C.
3. Issue a surety bond amounting Rp617 billion for spectrum 2.1 GHz.
4. Pay an annual right of usage (“BHP”) as set forth in the decision letters. The BHP is
payable upon receipt of Surat Pemberitahuan Pembayaran (notification letter) from the
DGPI. The BHP fee is payable annually up to the expiry period of the license.
The following are radio frequency band licenses owned by Telkomsel along with the BHP fees
paid during current year:
1. Radio frequency for band 800 MHz, 900 MHz, and 1,800 MHz
Based on Decree No. 620 Year 2020 of the MoCI, concerning the extension of the
determination of radio frequency bands 800 MHz, 900 MHz and 1,800 MHz, Telkomsel
should pay annual frequency usage fees from 2020 to 2030.
96
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
35. SIGNIFICANT COMMITMENTS, AGREEMENTS, AND OTHERS (continued)
c. Others (continued)
(i) Radio frequency usage (continued)
2. Radio frequency for band up to 2.1 GHz
License No. Description
Decree No. 90 Year 2023 of On February 27, 2023, Telkomsel was granted to
the MoCI amd. Decree No. 76 utilize the annual radio frequency license for band
Year 2023 of the MoCI 1,975 - 1,980 MHz paired with 2,165 - 2,170 MHz until
March 18, 2033.
Decree No. 509 Year 2016 of MoCI granted the extension of the radio frequency
the MoCI amd. Decree No. 76 license for band 1,970 - 1,975 MHz paired with 2,160
Year 2023 of the MoCI - 2,165 MHz until March 28, 2026.
Decree No. 806 Year 2019 of MoCI granted the extension of the radio frequency
the MoCI amd. Decree No. 76 license for band 1,965 - 1,970 MHz paired with 2,155
Year 2023 of the MoCI - 2,160 MHz until September 30, 2029.
Decree No. 479 Year 2022 of Telkomsel as the winner of auction and was granted to
the MoCI amd. Decree No. 76 utilize the radio frequency license for band 1,960 -
Year 2023 of the MoCI 1,965 MHz paired with 2,150 - 2,155 MHz effective
from January 11, 2023 until January 10, 2033.
3. Radio frequency for band up to 2.3 GHz
License No. Description
Decree No. 1896 Year 2017 Telkomsel was appointed to use the radio frequency
of the MoCI license for band 2,300 - 2,330 Mhz until 2026.
Decree No. 178 Year 2021 of Telkomsel as the winner to utilize the radio frequency
the MoCI license for band 2,330 - 2,340 MHz paired with
2,340 - 2,350 MHz for Block A and Block C,
respectively until 2030.
Decree No. 487 Year 2022 of On November 18, 2022, Telkomsel received a right to
the MoCI amd. Decree No. 92 use reallocated radio frequency license for band
Year 2023 of the MoCI 2,340 - 2,355 MHz paired with 2,330 - 2,360 MHz until
November 17, 2029.
Decree No. 188 Year 2023 of On April 18, 2023, Telkomsel was granted an approval
the MoCI to allocate part of the rights-of-use of 2.3 GHz radio
frequency spectrum to PT Smart Telecom.
(ii) Radio frequency spectrum cooperation agreement
The MoCI has given approval to Telkomsel for a cooperation on the use of radio frequency
spectrum with KCIC through a letter No. B-171/M.KOMINFO/SP.01.01/03/2023 dated
March 17, 2023, regarding the Cooperation Agreement on the Use of Radio Frequency
Spectrum in the range of 891 - 895 MHz paired with 936 - 940 MHz, with a period up to
December 14, 2030.
As result from this agreement, KCIC shall pay to the Company several compensations, which
are annual utilization fees totaling Rp878 billion, network recovery fee of Rp1,250 billion, as
well as incremental operational and maintenance costs.
97
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
35. SIGNIFICANT COMMITMENTS, AGREEMENTS, AND OTHERS (continued)
c. Others (continued)
(iii) Supplier of Google product cooperation agreement
On November 10, 2022, Sigma and PT Google Cloud Indonesia (“Google”) signed a
cooperation agreement which authorizes Sigma as a supplier of Google products. This
Agreement requires Sigma to meet certain minimum purchase commitments for Google
products over a three-year period. Sigma is obliged to pay the difference between the actual
value of Google product purchases and the minimum commitment.
(iv) Conditional Sale and Purchase Agreement of Telkomsel with PT Dhost Telekomunikasi
Nusantara (”Dhost”)
On June 26, 2024, Telkomsel entered into a Conditional Sale and Purchase Agreement with
Dhost for the sale of 850 units in-building telecommunication coverage antenna system (“IBS”)
with total consideration of Rp685 billion. Subsequently, 689 units of the IBS were utilized by
Dhost to provide in-building coverage service to Telkomsel. Telkomsel has assessed this
transaction does not meet the sale and leaseback criteria under PSAK 116 and recognized a
gain on sale of Rp642 billion.
(v) USO
On December 27, 2011, Telkomsel (on behalf of Konsorsium Telkomsel, a consortium which
was established with Mitratel on December 9, 2011) was selected by Balai Penyedia dan
Pengelola Pembiayaan Telekomunikasi dan Informatika (“BPPPTI”), now has been renamed
as Badan Aksesibilitas Telekomunikasi dan Informasi (“BAKTI”) as a provider of the USO
Program in the border areas with a total price of Rp261 billion. In 2015, the Program was
ceased. In January 2016, Telkomsel filed an arbitration claim to BANI for the settlement of the
outstanding receivables of USO Programs.
On June 22, 2017, Telkomsel received a decision letter from BANI No. 792/1/ARB-BANI/2016
requesting BAKTI to pay compensation to Telkomsel amounting to Rp218 billion, and as of
the date of the issuance of these consolidated financial statements Telkomsel has received
the payment from BAKTI amounting to Rp91 billion (before tax) and no additional payment.
The MoCI issued Regulation No. 5 Year 2021 dated March 31, 2021, which replaced previous
regulations regarding policies underlying the USO program. The regulation requires
telecommunications operators in Indonesia to contribute 1.25% of gross revenues (with due
consideration for bad debts and/or interconnection charges and/or connection charges and/or
the exclusion of certain revenues that are not considered as part of gross revenues as a basis
to calculate the USO charged) for USO development.
Based on Decree No. 827/KOMINFO/BAKTI.31/KS.1/10/2021 dated October 4, 2021,
of BAKTI granted Telkomsel as operating cooperation partners (“KSO”) for eight packages
KSO, which cover Nusa Tenggara, Kalimantan, Sulawesi, Maluku, West Papua, West Central
Papua, North Central Papua and South East Papua for period from 2021 until 2031.
(vi) Contingency
Under PSAK 237: Provisions, Contingent Liabilities And Contingent Assets, a provision should
be recognized when there is a present obligation (legal or constructive) arising from a past
event, an outflow of economic benefits to settle the obligation is probable (more likely than
not), and the amount can be reliably estimated.
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
35. SIGNIFICANT COMMITMENTS, AGREEMENTS, AND OTHERS (continued)
c. Others (continued)
(vi) Contingency (continued)
In October 2023, the Group received a document request from the U.S. Securities and
Exchange Commission (“SEC”) as it relates to Telkom Infra’s involvement in a project with the
Indonesian Information and Telecommunication Accessibility Agency of the Ministry of
Communication and Informatics (“BAKTI Kominfo”) regarding the provision of 4G Base
Transceiver Station (“BTS”) infrastructure. The SEC has since expanded its investigation to
include accounting and disclosures issues relating to the Group's revenue recognition and
financial reporting practices and internal control over financial reporting, as well as public
reports regarding certain Indonesian legal proceedings involving the Group, various
subsidiaries and affiliates, and certain of the Group's clients and suppliers. Beginning in May
2024, the Group also received additional requests for information from the U.S. Department
of Justice (“DOJ”) focused on compliance with the U.S. Foreign Corrupt Practices Act
(“FCPA”). Each U.S. authority is aware of the other agency’s investigation. As at December
31, 2024, the SEC’s and DOJ’s investigations are ongoing. The Group is cooperating with the
U.S. authorities and has retained outside counsel to conduct an internal investigation into
these issues which is ongoing.
For the above mentioned requests from the SEC on project with BAKTI Kominfo and the DOJ
on compliance with FCPA, the Group is currently unable to estimate the reasonably possible
loss or a range of reasonable possible loss as the requests are in the early stages, and there
is considerable uncertainty regarding the timing or ultimate resolution of such investigations,
which includes fine, penalty or business impact, if any.
For the above mentioned investigation on the Group’s accounting and disclosure issues
relating to revenue recognition and financial reporting practices and internal control over
financial reporting, based on the Group’s assessment up to the date of the issuance of the
consolidated financial statements, the Group currently does not believe that the above
mentioned investigation will have a material adverse effect on its December 31, 2023 and
2024 consolidated financial statements.
It is possible, however, that future financial performance could be materially affected by
changes in the assessments to the impacts to the above mentioned requests from the SEC
on project with BAKTI Kominfo and the DOJ on compliance with FCPA and investigation on
the Group’s accounting and disclosure issues.
99
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
36. ASSETS AND LIABILITIES DENOMINATED IN FOREIGN CURRENCIES
Assets and liabilities denominated in foreign currencies are as follows:
2024
US Dollar Japanese Yen Others* Rupiah equivalent
(in millions) (in millions) (in millions) (in billions)
Assets
Cash and cash equivalents 475.58 5.62 12.97 7,885
Other current financial assets 18.19 - 0.06 295
Trade receivables
Related parties 0.19 - 0.01 3
Third parties 134.77 - 18.64 2,479
Contract assets 2.77 - - 45
Other receivables 1.09 - - 18
Other current assets 2.05 - 0.31 38
Long-term investment in financial instruments 389.31 - 12.28 6,464
Other non-current assets 0.42 - 2.90 53
Total assets 1,024.37 5.62 47.17 17,280
Liabilities
Trade payables
Related parties (0.01) - - 0
Third parties (127.43) (17.95) (3.45) (2,119)
Other payables 3.76 - (8.00) (70)
Accrued expenses (13.90) - (1.83) (254)
Customer deposits (2.72) - (0.27) (47)
Current maturities of long-term borrowings (9.33) - (0.28) (155)
Long-term borrowings - net of current maturities (24.65) - (1.47) (422)
Other liabilities (0.09) - (0.05) (2)
Total liabilities (174.37) (17.95) (15.35) (3,069)
Assets (liabilities) - net 850.00 (12.33) 31.82 14,211
2023
US Dollar Japanese Yen Others* Rupiah equivalent
(in millions) (in millions) (in millions) (in billions)
Assets
Cash and cash equivalents 263.35 5.66 16.23 4,271
Other current financial assets 27.15 - - 419
Trade receivables
Related parties 0.14 - 0.03 2
Third parties 152.98 - 11.71 2,525
Contract assets 6.90 - - 107
Other receivables 0.51 - 1.10 25
Other current assets 1.40 - 2.61 34
Long-term investment in financial instruments 376.76 - 5.90 5,902
Other non-current assets 0.35 - 0.49 14
Total assets 829.54 5.66 38.07 13,299
Liabilities
Trade payables
Related parties (0.14) - - (2)
Third parties (164.46) (26.73) (10.42) (2,677)
Other payables 2.32 - (7.73) (55)
Accrued expenses (32.26) (2.61) (4.53) (549)
Customer deposits (2.93) - (0.14) (47)
Current maturities of long-term borrowings (11.29) (767.90) (0.25) (262)
Long-term borrowings - net of current maturities (31.89) - (1.62) (516)
Other liabilities (0.09) - - (1)
Total liabilities (240.74) (797.24) (24.69) (4,109)
Assets (liabilities) - net 588.80 (791.58) 13.38 9,190
*Assets and liabilities denominated in other foreign currencies are presented as US Dollar equivalents using the buy and sell rates quoted by
Reuters prevailing at the end of the reporting period.
The Group’s activities expose them to a variety of financial risks, including the effects of changes in
debt and equity market prices, foreign currency exchange rates, and interest rates.
100
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PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
37. FINANCIAL INSTRUMENTS
a. Financial assets and financial liabilities
i. Classification
(a) Financial assets
2024 2023
Amortized cost
Cash and cash equivalents 33,905 29,007
Other current financial assets 1,196 1,359
Trade receivables 12,193 10,667
Other receivables 621 266
Other non-current assets 165 155
FVTPL
Long-term investment in financial instruments 8,174 8,028
Other current financial assets 89 302
FVTOCI
Long-term investment in financial instruments 51 25
Total financial assets 56,394 49,809
(b) Financial liabilities
2024 2023
Financial liabilities measured at amortized cost
Trade payables 15,336 18,608
Other payables 454 441
Accrued expenses 14,192 13,079
Customers deposits 41 42
Short-term bank loans 11,525 9,650
Two-step loans - 84
Bonds and MTN 5,043 5,343
Long-term bank loans 36,341 32,260
Other borrowings - 362
Lease liabilities 23,959 20,425
Other liabilities 104 141
Total financial liabilities 106,995 100,435
ii. Fair values
The following table presents comparison of the carrying amounts and fair values of the
Company’s financial instruments, other than those the fair values are considered to
approximate their carrying amounts as the impact of discounting is not significant:
Fair value measurement at reporting date using
Quoted prices in
active markets Significant
for identical other Significant
assets or observable unobservable
Carrying liabilities inputs inputs
2024 value Fair value (level 1) (level 2) (level 3)
FVTPL
Other current financial assets 89 89 89 - -
Long-term investment in financial instruments 8,174 8,174 1,668 - 6,506
FVTOCI
Long-term investment in financial instruments 51 51 - - 51
Financial liabilities at amortized cost
Interest-bearing loans and other borrowings:
Bonds and MTN 5,043 5,669 5,669 - -
Long-term bank loans 36,341 36,472 - - 36,472
Lease liabilities 23,959 23,959 - - 23,959
Other liabilities 104 104 - - 104
Total 73,761 74,518 7,426 - 67,092
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
37. FINANCIAL INSTRUMENTS (continued)
a. Financial assets and financial liabilities (continued)
ii. Fair values (continued)
The following table presents comparison of the carrying amounts and fair values of the
Company’s financial instruments, other than those the fair values are considered to
approximate their carrying amounts as the impact of discounting is not significant (continued):
Fair value measurement at reporting date using
Quoted prices in
active markets Significant
for identical other Significant
assets or observable unobservable
Carrying liabilities inputs inputs
December 31, 2023 value Fair value (level 1) (level 2) (level 3)
FVTPL
Other current financial assets 302 302 302 - -
Long-term investment in financial instruments 8,028 8,028 2,056 - 5,972
FVTOCI
Long-term investment in financial instruments 25 25 - - 25
Financial liabilities at amortized cost
Interest-bearing loans and other borrowings:
Two-step loans 84 83 - - 83
Bonds and MTN 5,343 6,120 5,586 - 534
Long-term bank loans 32,260 31,473 - - 31,473
Other borrowings 362 362 - - 362
Lease liabilities 20,425 20,425 - - 20,425
Other liabilities 141 141 - - 141
Total 66,970 66,959 7,944 - 59,015
Gain on fair value measurement recognized in consolidated statements of profit or loss and
other comprehensive income for the year ended December 31, 2024 amounting to
Rp578 billion.
Reconciliations of the beginning and ending balances for items measured at fair value using
significant unobservable inputs (level 3) as of December 31, 2024 and 2023 are as follows:
2024 2023
Beginning balance 5,997 6,358
Gain (loss) recognized in consolidated statement
of profit or loss and other comprehensive income 578 (687)
Purchase/addition 49 330
Settlement/deduction (67) (4)
Ending balance 6,557 5,997
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
37. FINANCIAL INSTRUMENTS (continued)
a. Financial assets and financial liabilities (continued)
ii. Fair values (continued)
Sensitivity Analysis
The following table summarizes the quantitative information about the significant unobservable
inputs used in level 3 fair value measurements:
Significant
Valuation unobservable Range Sensitivity of the input of fair
Industry technique input (weighted average) value
Investment in equity
Non-listed equity investment - OPM Backsolve Volatility 27% - 80% 10% increase (decrease) in the
technology method percentage of volatility would
result in an increase (decrease)
Rp34 billion of the Investment
value
Exit timing 1 - 6 Years Increase (decrease) in 1 year exit
timing would result in an increase
(decrease) Rp50 billion of the
Investment value
CoCos Equity Volatility 19.18% - 119.76% 10% increase (decrease) in the
percentage of volatility would
result in an increase (decrease)
Rp36 billion of the Investment
value
Exit timing 1 - 6 Years Increase (decrease) in 1 year exit
timing would result in an increase
(decrease) Rp61 billion of the
Investment value
Probability- Volatility 60% - 80% 10% increase (decrease) in the
weighted Method percentage of volatility would
result in an increase (decrease)
Rp15 billion of the Investment
value
Exit timing 1.25 - 3.25 Years Increase (decrease) in 1 year exit
timing would result in an increase
(decrease) Rp34 billion of the
Investment value
Recent Volatility 53.66% - 73.66% 10% increase (decrease) in the
Transaction percentage of volatility would
result in an increase (decrease)
Rp1 billion of the Investment value
Exit timing 2 - 4 Years Increase (decrease) in 1 year exit
timing would result in an increase
(decrease) Rp0 billion of the
Investment value
Market movement Volatility 33% - 100% 10% increase (decrease) in the
percentage of volatility would
result in an increase (decrease)
Rp2 billion of the Investment value
Time to liquidity 1.3 - 4.3 Years Increase (decrease) in 1 year time
to liquidity would result in an
increase (decrease) Rp4 billion of
the Investment value
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
37. FINANCIAL INSTRUMENTS (continued)
a. Financial assets and financial liabilities (continued)
ii. Fair values (continued)
Sensitivity Analysis (continued)
The following table summarizes the quantitative information about the significant unobservable
inputs used in level 3 fair value measurements (continued):
Significant Range
Valuation unobservable (weighted
Industry technique input average) Sensitivity of the input of fair value
Investment in equity
Non-listed equity investment - Discounted cash Weighted Average 12% - 24% 1% decrease (increase) in the
credit rating agency flow Cost of Capital percentage of WACC would result in an
("WACC") increase (decrease) Rp13 billion of the
Investment value
Terminal growth rate 1% - 5% 1% increase (decrease) in terminal
growth rate would result in an increase
(decrease) Rp8 billion of the Investment
value
Non-listed equity investment - Discounted cash WACC 3.2% - 14.7% 0.5% decrease (increase) in WACC
telecommunication flow would result in an increase (decrease)
Rp0 billion of the Investment value
Terminal growth rate 1.96% - 3.1% 1% increase (decrease) in terminal
growth rate would result in an increase
(decrease) Rp0 billion of the Investment
value
Convertible bonds
Non-listed equity investment - Conversion Probability of 50% 50% increase (decrease) in probability
technology discount qualified financing of qualified financing would result in an
increase (decrease) Rp1 billion of the
Investment value
iii. Fair value measurement
Fair value is the amount for which an asset could be exchanged, or a liability settled, between
parties in an arm's length transaction.
The fair values of short-term financial assets and financial liabilities with maturities of one year
or less (cash and cash equivalents, trade and other receivables, other current financial assets,
trade and other payables, accrued expenses, and short-term bank loans) and other non-
current assets are considered to approximate their carrying amounts as the impact of
discounting is not significant.
The fair values of long-term financial assets (other non-current assets (long-term trade
receivables and restricted cash)) approximate their carrying amounts as the impact of
discounting is not significant.
104
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
37. FINANCIAL INSTRUMENTS (continued)
a. Financial assets and financial liabilities (continued)
iii. Fair value measurement (continued)
The Group determined the fair value measurement for disclosure purposes of each class of
financial assets and financial liabilities based on the following methods and assumptions:
(a) Fair value through profit or loss, primarily consists of stocks, mutual funds, corporate and
government bonds, and convertible bonds. Stocks and mutual funds actively traded in an
established market are stated at fair value using quoted market price or, if unquoted,
determined using a valuation technique. The fair value of convertible bonds and
subsidiaries investments (non-listed equity investments) are determined using valuation
technique. Corporate and government bonds are stated at fair value by reference to
prices of similar securities at the reporting date.
(b) The fair values of long-term financial liabilities are estimated by discounting the future
contractual cash flows of each liability at rates offered to the Group for similar liabilities of
comparable maturities by the bankers of the Group, except for bonds which are based on
market price.
The fair value estimates are inherently judgemental and involve various limitations, including:
(a) Fair values presented do not take into consideration the effect of future currency
fluctuations.
(b) Estimated fair values are not necessarily indicative of the amounts that the Group would
record upon disposal/termination of the financial assets and liabilities.
b. Financial risk management objectives and policies
The Group’s activities expose it to a variety of financial risks such as market risks (including foreign
exchange risk, market price risk, and interest rate risk), credit risk, and liquidity risk. Overall, the
Group’s financial risk management program is intended to minimize losses on the financial assets
and financial liabilities arising from fluctuation of foreign currency exchange rates and the
fluctuation of interest rates. Management has a written policy on foreign currency risk management
mainly on time deposit placements and hedging to cover foreign currency risk exposures for periods
ranging from 3 up to 12 months.
Financial risk management is carried out by the Group Financial Accounting & Treasury unit under
policies approved by the Board of Directors. The Group Financial Accounting & Treasury unit
identifies, evaluates and hedges financial risks.
i. Foreign exchange risk
The Group is exposed to foreign exchange risk on sales, purchases and borrowings that are
denominated in foreign currencies. The foreign currency denominated transactions are
primarily in U.S. Dollars and Japanese Yen. The Group’s exposures to other foreign exchange
rates are not material.
Increasing risks of foreign currency exchange rates on the obligations of the Group are
expected to be partly offset by the effects of the exchange rates on time deposits and
receivables in foreign currencies that are equal to at least 25% of the outstanding current
foreign currency liabilities.
The following table presents the Group’s financial assets and financial liabilities exposure to
foreign currency risk:
2024 2023
U.S. Dollar Japanese Yen U.S. Dollar Japanese Yen
(in billions) (in billions) (in billions) (in billions)
Financial assets 1.02 0.01 0.83 0.01
Financial liabilities (0.17) (0.02) (0.24) (0.80)
Net exposure 0.85 (0.01) 0.59 (0.79)
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
37. FINANCIAL INSTRUMENTS (continued)
b. Financial risk management objectives and policies (continued)
i. Foreign exchange risk (continued)
Sensitivity analysis
A strengthening of the US Dollar and Japanese Yen, as indicated below, against the Rupiah
at December 31, 2024 would have decreased equity and profit or loss by the amounts shown
below. This analysis is based on foreign currency exchange rate variances that the Group
considered to be reasonably possible at the reporting date. The analysis assumes that all other
variables, in particular interest rates, remain constant.
Equity/profit (loss)
December 31, 2024
U.S. Dollar (1% strengthening) 137
Japanese Yen (5% strengthening) (0)
A weakening of the U.S. Dollar and Japanese Yen against the Rupiah at December 31, 2024,
would have had an equal but opposite effect on the above currencies to the amounts shown
above, on the basis that all other variables remain constant.
ii. Market price risk
The Group is exposed to changes in debt and equity market prices related to financial assets
measured at FVTPL carried at fair value. Gains and losses arising from changes in the fair
value of financial assets measured at FVTPL are recognized in the consolidated statements
of profit or loss and other comprehensive income.
The performance of the Group’s financial assets measured at FVTPL is monitored periodically,
together with a regular assessment of their relevance to the Group’s long-term strategic plans.
As of December 31, 2024, management considered the price risk for the Group’s financial
assets measured at FVTPL to be immaterial in terms of the possible impact on profit or loss
and total equity from a reasonably possible change in fair value.
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These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
37. FINANCIAL INSTRUMENTS (continued)
b. Financial risk management objectives and policies (continued)
iii. Interest rate risk
Interest rate fluctuation is monitored to minimize any negative impact to financial performance.
Borrowings at variable interest rates expose the Group to interest rate risk (Notes 18 and 19).
To measure market risk pertaining to fluctuations in interest rates, the Group primarily uses
interest margin and maturity profile of the financial assets and liabilities based on changing
schedule of the interest rate.
At reporting date, the interest rate profile of the Group’s interest-bearing borrowings was as
follows:
2024 2023
Fixed rate borrowings 48,097 38,386
Variable rate borrowings 28,771 29,738
Sensitivity analysis for variable rate borrowings
As of December 31, 2024, a decrease (increase) by 25 basis points in interest rates of variable
rate borrowings would have increased (decreased) equity and profit or loss by Rp72 billion,
respectively. The analysis assumes that all other variables, in particular foreign currency rates,
remain constant.
iv. Credit risk
The following table presents the maximum exposure to credit risk of the Group’s financial
assets:
2024 2023
Cash and cash equivalents 33,905 29,007
Other current financial assets 1,285 1,661
Trade receivables 12,193 10,667
Other receivables 621 266
Other non-current assets 165 155
Total 48,169 41,756
The Group is exposed to credit risk primarily from cash and cash equivalents and trade and
other receivables. The credit risk is controlled by continuous monitoring of outstanding balance
and collection. Credit risk from balances with banks and financial institutions is managed by
the Group Financial Accounting & Treasury Unit in accordance with the Group’s written policy.
The Group placed the majority of its cash and cash equivalents in state-owned banks because
they have the most extensive branch networks in Indonesia and are considered to be
financially sound banks, as they are owned by the State. Therefore, it is intended to minimize
financial loss through banks and financial institutions’ potential failure to make payments.
The customer credit risk is managed by continuous monitoring of outstanding balances and
collection. Trade and other receivables do not have any major concentration of risk whereas
no customer receivable balance exceeds 5.76% of trade receivables as of December 31, 2024
(2023: 3.53%).
Management is confident in its ability to continue to control and sustain minimal exposure to
the customer credit risk given that the Group has recognized sufficient provision for impairment
of receivables to cover incurred loss arising from uncollectible receivables based on existing
historical data on credit losses.
107
Page 116
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
37. FINANCIAL INSTRUMENTS (continued)
b. Financial risk management objectives and policies (continued)
v. Liquidity risk
Liquidity risk arises in situations where the Group has difficulties in fulfilling financial liabilities
when they become due.
Prudent liquidity risk management implies maintaining sufficient cash in order to meet the
Group’s financial obligations. The Group continuously performs an analysis to monitor
financial position ratios, such as liquidity ratios and debt-to-equity ratios, against debt covenant
requirements. The Group has a net current liabilities position as of December 31, 2024, and
is expected to meet its current obligations by having access to sufficient undrawn bank
facilities amounted to Rp45,762 billion and US$73 million (Note 19c).
The following is the maturity profile of the Group’s financial liabilities based on contractual
undiscounted payments:
Carrying Contractual 2029 and
amount cash flows 2025 2026 2027 2028 thereafter
2024
Trade payables 15,336 (15,336) (15,336) - - - -
Other payables 454 (454) (454) - - - -
Accrued expenses 14,192 (14,192) (14,192) - - - -
Customer deposits 41 (41) (41) - - - -
Interest bearing loans and
other borrowings:
Short-term bank loans 11,525 (11,525) (11,525) - - - -
Bonds and MTN 5,043 (9,307) (2,763) (296) (296) (297) (5,655)
Long-term bank loans 36,341 (42,701) (15,419) (8,442) (6,086) (4,955) (7,799)
Lease liabilities 23,959 (29,261) (6,824) (4,597) (3,656) (3,152) (11,032)
Other liabilities 104 (120) (6) (29) (29) (28) (28)
Total 106,995 (122,937) (66,560) (13,364) (10,067) (8,432) (24,514)
Carrying Contractual 2028 and
amount cash flows 2024 2025 2026 2027 thereafter
2023
Trade payables 18,608 (18,608) (18,608) - - - -
Other payables 441 (441) (441) - - - -
Accrued expenses 13,079 (13,079) (13,079) - - - -
Customer deposits 42 (42) (42) - - - -
Interest bearing loans and
other borrowings:
Short-term bank loans 9,650 (9,650) (9,650) - - - -
Two-step loans 84 (85) (85) - - - -
Bonds and MTN 5,343 (10,163) (1,086) (2,574) (293) (293) (5,917)
Long-term bank loans 32,260 (38,386) (11,194) (8,090) (6,901) (4,569) (7,632)
Other borrowings 362 (370) (370) - - - -
Lease liabilities 20,425 (24,498) (6,614) (3,564) (3,073) (2,573) (8,674)
Other liabilities 141 (146) (4) (36) (36) (35) (35)
Total 100,435 (115,468) (61,173) (14,264) (10,303) (7,470) (22,258)
The difference between the carrying amount and the contractual cash flows is interest value.
The interest value of variable-rate borrowings are determined based on the effective interest
rates as of reporting date.
108
Page 117
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
38. CAPITAL MANAGEMENT
The capital structure of the Group is as follows:
2024 2023
Amount Portion Amount Portion
Short-term debts 11,525 5.26% 9,650 4.73%
Long-term debts 65,343 29.85% 58,474 28.68%
Total debts 76,868 35.11% 68,124 33.41%
Equity attributable to owners
of the parent company 142,094 64.89% 135,744 66.59%
Total 218,962 100.00% 203,868 100.00%
The Group’s objectives when managing capital are to safeguard the Group’s ability to continue as a
going concern in order to provide returns for stockholders and benefits to other stakeholders and to
maintain an optimum capital structure to minimize the cost of capital.
Periodically, the Group conducts debt valuation to assess possibilities of refinancing existing debts
with new ones with have more efficient cost that will lead to more optimized cost-of-debt. In case of
idle cash with limited investment opportunities, the Group will consider buying back its shares of stock
or paying dividend to its stockholders.
In addition to complying with loan covenants, the Group also maintains its capital structure at the level
it believes will not risk its credit rating and which is comparable with its competitors.
Debt-to-equity ratio (comparing net interest-bearing debt to total equity) is a ratio which is monitored
by management to evaluate the Group’s capital structure and review the effectiveness of the Group’s
debts. The Group monitors its debt levels to ensure the debt-to-equity ratio complies with or is below
the ratio set out in its contractual borrowings arrangements and that such ratio is comparable or better
than that of regional area entities in the telecommunications industry.
The Group’s debt-to-equity ratio as of December 31, 2024 and 2023, respectively, were as follows:
2024 2023
Total interest-bearing debts 76,868 68,124
Less: cash and cash equivalents (33,905) (29,007)
Net debts 42,963 39,117
Total equity attributable to owners
of the parent company 142,094 135,744
Net debt-to-equity ratio 30.24% 28.82%
As stated in Note 19, the Group is required to maintain a certain debt-to-equity ratio and debt service
coverage ratio by the lenders. For the years ended December 31, 2024 and 2023, the Group has
complied with externally imposed capital requirements.
109
Page 118
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
39. SUPPLEMENTAL CASH FLOWS INFORMATION
a. The non-cash investing activities for the years ended December 31, 2024 and 2023 are as follows:
2024 2023
Acquisition of property and equipment:
Credited to trade payables 2,251 3,905
Borrowing cost capitalization 98 124
Addition of right-of-use assets:
Credited to leases (Note 12) 10,421 10,390
Acquisition of intangible assets:
Credited to trade payables 339 479
b. The changes in liabilities arising from financing activities is as follows:
Non-cash changes
Foreign exchange Other
January 1, 2024 Cash flows Acquisition movement New leases Changes December 31, 2024
Short-term bank loans 9,650 1,875 - - - - 11,525
Two step loans 84 (100) - 16 - - -
Bonds 5,343 (300) - - - - 5,043
Long-term bank loans 32,260 3,933 148 7 - (7) 36,341
Other borrowings 362 (362) - - - - -
Lease liabilities 20,425 (7,387) - 29 10,421 471 23,959
Total liabilities from
financing activities 68,124 (2,341) 148 52 10,421 464 76,868
40. SUBSEQUENT EVENTS
1. On January 10, 2025, February 10, 2025, and March 10, 2025, Telkomsel has partially paid the
outstanding long-term loans to Bank Mandiri totaling to Rp4,000 billion.
2. Based on Notarial Deed of Jose Dima Satria, S.H., M.Kn., No. 121, dated March 22, 2025, the
Government transferred its ownership of 51,602,353,559 Series B shares, representing 52.09% of
the Company's total shares, to PT Biro Klasifikasi Indonesia (“BKI”) through “inbreng” capital
contribution. This share transfer was conducted in accordance with prevailing legal regulations,
specifically Government Regulation Number 15 Year 2025 regarding the Addition of Capital
Participation of the Republic of Indonesia into the Share Capital of BKI for the Establishment of an
Operational Holding, and Government Regulation Number 16 Year 2025 regarding the Addition of
State Capital Participation of the Republic of Indonesia into the Daya Anagata Nusantara
Investment Management Agency (“Danantara”). BKI, as the transferee, serves as the Operational
Holding Company, with all of its shares owned by the Government through the Minister of State-
Owned Enterprises and Danantara. The Government retains its position as the Company's Ultimate
Beneficial Owner through its direct ownership of 1 Series A Dwiwarna share with special rights and
its indirect ownership of BKI's Series B shares through Danantara.
3. On April 17, 2025, the Company announced plans to conduct shares buyback which is planned to
be carried out during the period from May 28, 2025 to May 27, 2026, with a maximum amount of
Rp3,000 billion.
110
Page 119
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
41. SUMMARY OF SIGNIFICANT DIFFERENCES BETWEEN PSAK AND INTERNATIONAL
FINANCIAL REPORTING STANDARDS (“IFRS”)
These are summary of significant differences between PSAK and IFRS for the year 2024.
Impact of significant differences between PSAK and IFRS on items in consolidated statements of
financial position as of December 31, 2024 were as follows:
Reference PSAK Reconciliation IFRS
ASSETS
Trade receivables - net allowance for
expected credit losses
Related parties b 2,350 655 3,005
Third parties b 9,843 (655) 9,188
Other current assets 8,174 14 8,188
Total Current Assets 63,080 14 63,094
Property and equipment - net of accumulated depreciation a 180,566 (1,981) 178,585
Right-of-use asset a,d 26,910 1,561 28,471
Deferred tax assets - net d 3,409 28 3,437
Total Non-current Assets 236,595 (392) 236,203
TOTAL ASSETS 299,675 (378) 299,297
LIABILITIES AND EQUITY
Trade payables
Related parties b 626 2,634 3,260
Third parties b 14,710 (2,634) 12,076
Current maturities of lease liabilities d 5,491 (44) 5,447
Total Current Liabilities 76,767 (44) 76,723
Lease liabilities d 18,468 10 18,478
Total Non-current Liabilities 60,418 10 60,428
TOTAL LIABILITIES 137,185 (34) 137,151
EQUITY
Additional paid-in capital c 2,310 (333) 1,977
Other equity c 9,898 (9,139) 759
Retained earnings c 124,933 9,266 134,199
Net equity attributable to owners of the parent company d 142,094 (206) 141,888
Non-controlling interests d 20,396 (138) 20,258
TOTAL EQUITY 162,490 (344) 162,146
TOTAL LIABILITIES AND EQUITY 299,675 (378) 299,297
111
Page 120
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
41. SUMMARY OF SIGNIFICANT DIFFERENCES BETWEEN PSAK AND INTERNATIONAL
FINANCIAL REPORTING STANDARDS (“IFRS”) (continued)
Impact of significant differences between PSAK and IFRS on items in consolidated statements of profit
or loss and other comprehensive income for the year ended December 31, 2024 were as follows:
Reference PSAK Reconciliation IFRS
Depreciation and amortization expenses a,d (32,643) 47 (32,596)
Other income - net d 281 (29) 252
OPERATING PROFIT 42,991 18 43,009
Finance cost d (5,208) (13) (5,221)
PROFIT BEFORE INCOME TAX 39,153 5 39,158
INCOME TAX (EXPENSE) BENEFIT (8,410) (23) (8,433)
PROFIT FOR THE YEAR 30,743 (18) 30,725
TOTAL COMPREHENSIVE INCOME FOR THE YEAR 31,638 (18) 31,620
Profit for the year attributable to:
Owners of the parent company 23,649 (38) 23,611
Non-controlling interests 7,094 20 7,114
Total comprehensive income for the year attributable to:
Owners of the parent company 24,434 (38) 24,396
Non-controlling interests 7,204 20 7,224
BASIC EARNING PER SHARE
(in full amount)
Net income per share 238.73 (0.38) 238.35
Net income per ADS (100 Series B shares per ADS) 23,872.88 (38.36) 23,834.52
a. Land rights
Under PSAK, land rights are recorded as part of property and equipment and are not amortized,
unless there is indication that the extension or renewal of land rights is not expected to be or will
not be received. Costs incurred to process the extension or renewal of land legal rights are
recognized as intangible assets and amortized over the shorter of the term of the land rights or the
economic life of the land.
Under IFRS, land rights are accounted and presented as part of right-of-use assets. Land rights
amortized over the lease period.
b. Related party transactions
Under Bapepam-LK Regulation No. VIII.G.7 regarding the Presentation and Disclosures of
Financial Statements of Issuers or Public Companies, a government-related entity is an entity that
is controlled, jointly controlled, or significantly influenced by a government. Government in this
context is the Ministry of Finance or the Local Government, as the shareholder of the entity.
Under IFRS, a government-related entity is an entity that is controlled, jointly controlled, or
significantly influenced by a government. Government in this context refers to the Government of
Indonesia, Government agencies, and similar bodies whether local, national, or international.
112
Page 121
These consolidated financial statements are originally issued in the Indonesian language.
PERUSAHAAN PERSEROAN (PERSERO)
PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
As of December 31, 2024 and For the Year Then Ended
(Amounts in the tables are expressed in billions of Rupiah, unless otherwise stated)
41. SUMMARY OF SIGNIFICANT DIFFERENCES BETWEEN PSAK AND INTERNATIONAL
FINANCIAL REPORTING STANDARDS (“IFRS”) (continued)
c. Differences in entities under common control restructuring transactions
According to PSAK, the difference between restructuring transactions between entities under
common control is included in the grouping of additional paid-in capital in equity. Meanwhile,
according to IFRS, the difference in restructuring transactions between entities under common
control is included in the grouping of retained earnings.
d. Timing difference in applying accounting standards
The Group applied PSAK 116 Leases starting from January 1, 2020. It is equivalent with accounting
standards in IFRS 16 Leases which was implemented in the beginning January 1, 2019. Timing
difference in applying accounting standard results in differences in some of accounts in the
consolidated financial statements.
113
Names mentioned 132 people and organisations named in the text · linked when the evidence is strong
unresolved
org
Telekomunikasi Indonesia Tbk.
p.1 ×168
unresolved
org
Government of the Republic of Indonesia
p.13 ×2
unresolved
person
Imas Fatimah
p.13
unresolved
org
Ministry of Justice
p.13
unresolved
person
Ashoya Ratam
p.13 ×8
unresolved
org
Ministry of Communication and Information
p.14
unresolved
org
Directorate General of Post and Informatics
p.14
unresolved
org
Directorate General of Post
p.14
unresolved
org
Bank Indonesia
p.14 ×2
unresolved
org
Bank Indonesia License Electronic
p.14
unresolved
person
Bambang Permadi Brodjonegoro
· President Commissioner
p.15
unresolved
org
Indonesia Stock Exchange
p.16
unresolved
person
A. Partomuan Pohan
p.16
unresolved
org
PT Dayamitra
p.18
unresolved
org
Telekomunikasi Tbk.
p.18
unresolved
org
PT Multimedia
p.18
unresolved
org
PT Telkom Satelit
p.18
unresolved
org
PT Telkom Data
p.18
unresolved
org
PT Sigma Cipta
p.18
unresolved
org
PT Graha Sarana Duta
p.18
unresolved
org
PT Telkom Akses
p.18
unresolved
org
PT Telkom
p.18
unresolved
org
PT Napsindo
p.18
unresolved
org
Singapore Pte. Ltd.
p.19
unresolved
org
PT Infomedia
p.19
unresolved
org
PT Telkom Landmark
p.19
unresolved
org
PT Persada Sokka
p.19
unresolved
org
PT Nuon Digital
p.19
unresolved
org
PT Finnet Indonesia
p.19
unresolved
org
PT Telkomsel Mitra
p.19
unresolved
org
PT Telkomsel
p.20
unresolved
org
PT Swadharma
p.20
unresolved
org
PT Ultra Mandiri
p.20
unresolved
org
PT Nusantara Sukses
p.20
unresolved
org
PT Graha Yasa
p.20
unresolved
org
PT Nutech Integrasi
p.20
unresolved
org
PT Collega Inti
p.20
unresolved
org
PT Graha Telkomsigma
p.20
unresolved
org
PT Pojok Celebes
p.21
unresolved
org
PT Metra TV
p.21
unresolved
org
Pty. Ltd.
p.21
unresolved
org
PT Metraplasa
p.21
unresolved
org
PT Bosnet Distribution
p.21
unresolved
person
Aulia Taufani
p.21 ×3
unresolved
org
Singapore Telecom Mobile Pte. Ltd.
p.21
unresolved
org
PT Gametraco Tunggal
p.21
unresolved
person
Shinta Dewi
p.22
unresolved
org
Yayasan Kesejahteraan Karyawan Pembangunan Perumahan
p.22
unresolved
person
Jimmy Tanal
p.22 ×2
unresolved
org
ST Dynamo ID Pte. Ltd.
p.22 ×2
unresolved
org
Nxera ID Pte. Ltd.
p.22
unresolved
org
NeutraDC Singapore Pte. Ltd.
p.22
unresolved
person
Utiek Rochmuljati Abdurachman
p.23 ×2
unresolved
person
M.L.I.
p.23 ×2
unresolved
org
PT Algolab Solution. Subsequently
p.23
unresolved
org
PT Algolab Solution
p.23
unresolved
org
Bapepam-LK
p.23 ×6
unresolved
org
Minister of Finance
p.25 ×6
unresolved
org
Shanghai Banking Corporation Ltd.
p.51
unresolved
org
PT Bank Pembangunan Daerah Jawa Barat
p.52
unresolved
org
Banten Tbk.
p.52
unresolved
org
PT Henan Putihrai Asset Management
p.53
unresolved
org
PT Indonusa Telemedia
p.54
unresolved
org
PT Jalin Pembayaran Nusantara
p.57
unresolved
org
Bank Maspion
p.66 ×2
unresolved
org
PT. Bahana TCW Management Investment
p.68
unresolved
org
PT BRI Danareksa Sekuritas
p.68
unresolved
org
PT Bank ANZ Indonesia
p.69
unresolved
org
Bank ANZ
p.69 ×2
unresolved
org
New York Mellon Corporation
p.73 ×3
unresolved
org
Minister of Finance Regulation
p.81
unresolved
org
Minister of State-owned Enterprise Regulation Number PER-
p.83
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