Skip to content
Back to announcement

Info Memo 1H24 Eng vF.pdf

Financial statement Text extracted ISAT

Source file signed link, expires in 15 minutes

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

Extracted text 6

Page 1
                                                 30 July 2024
                                     First Half 2024 Results
                           Total Revenue of IDR27,976.3 Bn, +13.4% YoY.
             EBITDA of IDR13,412.2 Bn, +17.8% YoY. Sustained Net Profit of IDR2,734.7 Bn
PT Indosat Tbk. (“the Company”) has demonstrated robust performance in the first half of the 2024
financial year, maintaining its double-digit growth trajectory. Total revenue increased 13.4% YoY to
IDR27,976.3 billion while EBITDA grew faster than revenue increasing by 17.8% YoY to IDR13,412.2 billion.
EBITDA margin stood at 47.9% in 1H 2024 highlighting the Company’s ability to convert revenue into
earnings efficiently. Profit For The Period Attributable To Owners Of The Parent was IDR2,734.7 billion. This
profitability underscores the Company's solid financial health and its capacity to generate substantial
returns for stakeholders.
The Company's customer base grew by 0.9 million to reach 100.9 million in the first half of 2024 compared
to the same period in 2023. ARPU for cellular customers increased to IDR37.9 thousand in the first half of
2024, marking a 10.5% rise or IDR3.6 thousand higher than in the first half of 2023.
Data traffic experienced an impressive 13.4% YoY increase in the first half of 2024. The Company
expanded its network infrastructure, increasing the number of 4G BTS to 188k to effectively handle the
data traffic growth and provide the best customer experience for its users.
Financial Highlights




* excluding Right of Use Assets under PSAK 116

On April 18, 2024, the Company and Mastercard signed a memorandum of understanding (MoU) to
collaborate on safeguarding Indonesia's digital economy through the establishment of the Indosat-
Mastercard Cybersecurity Center of Excellence (CoE). The CoE will focus on three main pillars: (1)
Education to enhance the quality of human resources in the field of cybersecurity by improving access
to education and cybersecurity training, (2) Innovation through research in key areas of cybersecurity
and digital trust utilizing the latest technology, and (3) Industry Collaboration in detecting and mitigating
fraud.

On June 14, 2024, the Company and Google Cloud continue their long-term strategic partnership with
the aim of accelerating Indosat's transformation from a telecom company to an AI Native TechCo. This
collaboration will combine extensive networks, operations, and customer datasets with Google Cloud's
unified AI stack to provide impressive experiences to over 100 million Indosat customers, as well as AI
solutions for enterprises and generative AI (GenAI) for businesses across Indonesia.
Page 2
                                                 FIRST HALF 2024
                                         OPERATING AND FINANCIAL RESULTS

The Company has released its unaudited interim consolidated financial statements for the First Half 2024
(“1H 2024”). The unaudited interim consolidated financial statements have been prepared and presented
in accordance with Indonesian Financial Accounting Standards (IFAS).
Unaudited Interim Consolidated Statements of Profit or Loss and Other Comprehensive Income
Key Indicators                                      Annually                                         Quarterly
(in IDR billion)                     1H 2024        1H 2023      Growth %               2Q 2024 1Q 2024             Growth %
Revenues                                27,976.3       24,674.8        13.4                 14,141.0     13,835.3          2.2
 • Cellular                             23,601.0        21,177.7        11.4               11,944.2       11,656.8         2.5
 • MIDI                                  3,916.4        3,029.3        29.3                  1,945.1        1,971.3       (1.3)
 • Fixed Telecom                           458.9          467.8        (1.9)                   251.7         207.2        21.5
Expenses                              (22,223.6)     (19,909.0)         11.6              (11,154.3)   (11,069.3)          0.8
Operating Profit                         5,752.7         4,765.8             20.7            2,986.7         2,766.0              8.0
Other Expenses - Net                   (2,031.0)       (2,345.4)            (13.4)          (1,033.9)         (997.1)              3.7
Profit for the Period
 Attributable to Owners
 of The Parent                           2,734.7          1,908.4            43.3             1,439.9         1,294.8             11.2
EBITDA*                                 13,412.2          11,383.1            17.8           6,902.9         6,509.3              6.0
EBITDA Margin                             47.9%             46.1%              1.8             48.8%           47.0%               1.8

Financial Ratios
                                                           Formula                                          1H 2024         1H 2023
    Interest Coverage**               EBITDA/Interest Payment                                                20.62             13.79
    Net Debt to EBITDA***             (Debt - Cash & Cash Equivalent)/Total EBITDA                            0.36             0.45
     * EBITDA (earnings before interest, taxes, depreciation and amortization) is a non-IFAS measure that management believes is a useful
     supplemental measure of cash generated prior to debt service, capital expenditures and income tax. Investors are cautioned that
     EBITDA should not be construed as an alternative to net income determined in accordance with IFAS as an indicator of the Company’s
     performance or to cash flows from operations as a measure of liquidity and cash flows. EBITDA does not have a standardized meaning
     prescribed by IFAS. The Company’s method of calculating EBITDA may differ from the methods used by other companies and,
     accordingly, it may not be comparable to similarly titled measures used by other companies.
     ** Calculated using EBITDA and interest payment for the periods ended 30 June 2024 and 2023.
     *** Net debt excludes lease liabilities.

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

Revenues of IDR27,976.3 billion were recorded for 1H 2024, an increase of IDR3,301.5 billion or 13.4% higher
compared to 1H 2023. The Company’s Cellular, MIDI, and Fixed Telecommunication business each
contributed 84.4%, 14.0%, and 1.6%, respectively to the interim consolidated operating revenues for the
period ended 30 June 2024.

•     Cellular Revenues increased by 11.4% compared to 1H 2023, attributable to increase in Data, offsetting
      with decrease in Voice revenue and Value-Added services.
•     MIDI Revenues increased by 29.3% compared to 1H 2023, attributable to increase in Fixed Internet,
      Fixed Connectivity, and IT Services revenue.
•     Fixed Telecommunication Revenues decreased by 1.9% compared to 1H 2023 driven by decrease in
      International Call revenues.

Expenses of IDR22,223.6 billion were recorded for 1H 2024, an increase of IDR2,314.6 billion or 11.6% higher
compared to 1H 2023. This increase was mainly due to increase in Cost of Services, Depreciation and
Amortization, Personnel, Marketing Expenses, General and Administration Expenses and Other Operating
Income (Expense) - net.

•     Cost of Services: increased by IDR678.7 billion or 6.5% higher over 1H 2023, mainly due to
      increase in rental and services, partnership cost, interconnection and installation
      offsetting with lower maintenance and radio frequency fee.
•     Depreciation and Amortization: increased by IDR499.9 billion or 6.9% higher over 1H
      2023, mainly due to impact of depreciation from additional fixed assets and right
      of use assets from network roll out and amortization intangible assets.
Page 3
•   Personnel Expenses: increased by IDR73.9 billion or 3.9% higher over 1H 2023 mainly due to increase in
    employee salary, medical expenses and incentives and other employee benefits.
•   Marketing Expenses: increased by IDR398.6 billion or 67.9% higher over 1H 2023, mainly due to increase
    in subscriber acquisition cost with expansion of rural distribution, marketing agency, and customer
    service as impact from higher activities to support revenue growth, offset by decrease in advertising.
•   General and Administration Expenses: increased by IDR121.2 billion or 35.0% higher over 1H 2023 mainly
    due to increase in professional fees, and public relations expenses.
•   Other Operating Income (Expense) - net: decreased by IDR542.3 billion or 86.9% lower over 1H 2023
    mainly due to one-off net gain on assets sale and leaseback in 2023.

Other Expenses - net: The Company recorded other expenses-net of IDR2,031.0 billion, decreased by
IDR314.4 billion or 13.4% lower over 1H 2023. This was due to a decrease in finance costs of IDR203.3 billion
mainly due to lower outstanding debt and higher gain (loss) on foreign exchange by IDR 125.4 billion
offsetting with lower interest income IDR 14.3 billion.

Profit for the Period Attributable to Owners of the Parent: The Company recorded net profit of IDR2,734.7
billion, increased by IDR826.3 billion primarily due to increase in revenue, offset by increase in cost of
services, depreciation & amortization, personnel expenses, marketing expenses, general and
administrative expenses, and other operating expenses (income) - net.

UNAUDITED INTERIM CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

Key Indicators (in IDR billion)                               1H 2024             FY 2023            Growth %
ASSETS
  Current Assets                                                    13,445.8              15,479.7             (13.1)
  Non-Current Assets                                                99,334.9             99,242.5                0.1
TOTAL ASSETS                                                      112,780.7            114,722.2               (1.7)
LIABILITIES
  Current Liabilities                                                31,911.7             34,134.3             (6.5)
  Non-Current Liabilities                                          46,529.9               46,879.1             (0.7)
TOTAL LIABILITIES                                                  78,441.6              81,013.4             (3.2)
TOTAL EQUITY                                                       34,339.1             33,708.8                 1.9
TOTAL LIABILITIES & EQUITY                                        112,780.7            114,722.2               (1.7)

•   Current assets decreased by 13.1% to IDR13,445.8 billion, mainly due to decrease in prepaid expenses,
    cash and cash equivalent and inventories.
•   Non-current assets increased by 0.1% to IDR99,334.9 billion, mainly due to an increase in fixed assets,
    offset by a decrease in intangible assets.
•   Current liabilities decreased by 6.5% to IDR31,911.7 billion mainly due to decrease in procurement
    payables, short term benefit obligations, and taxes payable offset by increase in account payables,
    lease liabilities and current maturities of long-term sharia and bonds payable.
•   Non-current liabilities decreased by 0.7% at IDR46,529.9 billion mainly due to a decrease in non-current
    portion of long-term loans offset by an increase in obligation under finance lease.

Cash Flow and Capital Expenditure
Key Indicators (in IDR billion)                                       1H 2024            1H 2023         Growth %
Net Cash Flows Provided by Operating Activities                             9,651.5           8,482.0             13.8
Net Cash Flows Used in Investing Activities                              (4,702.0)           (3,122.2)           50.6
Net Cash Flows Used in Financing Activities                                (5,613.1)         (9,399.7)         (40.3)
Net Foreign Exchange Differences from Cash and Cash Equivalents                43.6            (126.7)          134.4
Net Decrease in Cash and Cash Equivalents                                 (620.0)           (4,166.6)          (85.1)
CASH AND CASH EQUIVALENTS AT BEGINNING OF THE PERIOD                       5,189.6           9,507.9          (45.4)
CASH AND CASH EQUIVALENTS AT END OF THE PERIOD                            4,569.6             5,341.3          (14.4)

Capex in 1H 2024 amounted to IDR4,520.6 billion (excluding IDR3,336.5 billion of Right of Use
Assets). Approximately 89.8% of the Capex was allocated to cellular, to support data
services demand and the remaining balance was allocated to MIDI and IT Capex.
Page 4
STATUS OF DEBT
Total outstanding debt: As of 30 June 2024, the Company had total outstanding gross debts (excluding
unamortized transaction costs and lease liabilities) of IDR13,931.0 billion. The Company’s cash position as
at 30 June 2024 stood at IDR4,569.6 billion and net debt is at IDR9,361.4 billion. The composition of the
Company’s gross debt, excluding lease liabilities, is as follows:

 Debt Proportion (Principal amount)                              1H 2024       FY 2023      Growth %
 IDR Loans (billion)                                              7,200.0       7,420.0           (3.0)
 IDR Bonds (billion)                                               6,731.0      7,383.0           (8.8)
Total maturing debt: in the next twelve months, IDR2,883 billion of the Company’s debt is maturing. The
average tenor of debt is 2.4 years as of 30 June 2024.

OPERATIONAL RESULTS

                                                   Annually                                  Quarterly
Key Indicators
                                    1H 2024       1H 2023       Growth %       2Q 2024       1Q 2024        Growth %
Customers - Postpaid (million)              1.5           1.6          (6.9)           1.5           1.6           (5.0)
Customers - Prepaid (million)             99.4          98.4             1.0         99.4          99.3              0.1
Customers - Total (million)             100.9         100.0             0.9        100.9         100.8              0.0
ARPU (Postpaid) (IDR thousand)            92.3          70.0            31.9         98.7          85.9             14.9
ARPU (Prepaid) (IDR thousand)              37.1         33.8             9.8         37.5          36.7              2.0
ARPU (Blended) (IDR                      37.9          34.3            10.5         38.4          37.5              2.4
MoU (minutes)                              5.7           7.6         (24.3)           5.4           6.1           (11.3)
Data Traffic (PB)                       7,965         7,027            13.4        4,107         3,858              6.5
SMS Traffic (bn)                           1.0           1.7        (40.4)           0.4            0.7          (40.9)
Percentage changes may vary due to rounding

In 1H 2024, the Company’s customer base increased by 0.9 million customers to 100.9 million compared to
1H 2023.

ARPU for cellular customers increased in 1H 2024 to IDR37.9 thousand, an increase of 10.5% or IDR3.6
thousand higher compared to 1H 2023.
Average Minutes of Usage (MOU) per customer decreased to 5.7 minutes, a 24.3% decrease compared to
1H 2023 in-line with the decrease of industry trend related to traditional voice services.

NETWORKS

As of 30 June 2024, the Company has operated ~188K 4G BTS (adding ~22K 4G BTS during 1H 2024) and 103
5G BTS.

                                                                                     Annually
 Key Indicators
                                                                     1H 2024          1H 2023              % Change
 Base Transceiver Stations (BTS)                         2G                52,149          48,860              6.7
                                                         4G               188,218         166,536             13.0
                                                         5G                   103              90             14.4

2023 SUSTAINABILITY REPORT
On 5 April 2024, the Company issued 2023 sustainability report. The report shows that the Company has
established a strong foundation for its commitment to environmental, social and responsibility through the
implementation of various significant sustainability initiatives.

Highlights of the Company’s sustainability report:

    1.   ESG Framework
         In 2023, the Company developed a holistic sustainability strategy. Through its ESG
         frameworks, the Company confirms its commitment to 3 main pillars, i.e. care for
         environment, digital opportunity to empower community and responsible and
         ethical business. This framework provides guidance for the Company in
         implementing sustainable practices throughout its operations.
Page 5
     2.    ESG materiality matrix
           The Company compiled a materiality matrix which is an important tool in identifying and
           managing the most relevant and significant issues for the Company and its stakeholders.
           Therefore, the Company can focus on aspects that most influence to the Company’s
           sustainability performance and respond with appropriate strategies.




     3.    Multi-standard reporting
           The 2023 sustainability report is prepared using various standards, including Indonesian Financial
           Security Regulation No. 51/POJK.03/2017, Global Reporting Initiatives (GRI) and Sustainability
           Accounting Standard Boards (SASB).


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

Ticker: ISAT; Closing Price: IDR10,700; Market Capitalization: IDR86.3 trillion; Ratings: Pefindo idAAA (Stable);
Fitch AA+(idn) (Positive);
Page 6
                    UNAUDITED INTERIM CONSOLIDATED STATEMENTS OF PROFIT OR LOSS AND
                                       OTHER COMPREHENSIVE INCOME
                           For The Six-Month Periods Ended 30 June 2024 and 2023
                                        (Expressed in Billions of Rupiah)

                                                                                                                            Growth
                                   Description                                           2024              2023
                                                                                                                             (%) (1)
REVENUES
Cellular                                                                                   23,601.0          21,177.7          11.4
Multimedia, Data Communication, Internet ("MIDI")                                           3,916.4          3,029.3          29.3
Fixed Telecommunications                                                                      458.9            467.8           (1.9)
TOTAL REVENUES                                                                            27,976.3         24,674.8           13.4

(EXPENSE) INCOME
Cost of services                                                                             (11,151.1)      (10,472.4)        6.5
Depreciation and Amortization                                                               (7,741.0)           (7,241.1)      6.9
Personnel                                                                                   (1,959.7)          (1,885.8)       3.9
Marketing                                                                                     (985.6)            (587.0)      67.9
General and Administration                                                                    (467.7)            (346.5)     35.0
Share of Net Loss of Associates and Joint Ventures                                              (60.7)             (63.9)     (5.0)
Gain (Loss) on Foreign Exchange - net                                                            41.3               (0.8)   5,262.5
Net Gain on Assets Sale and Leaseback                                                               -             722.4     (100.0)
Others - Net                                                                                   100.9               (33.9)    397.6
TOTAL EXPENSES                                                                           (22,223.6)        (19,909.0)         11.6

OPERATING PROFIT                                                                            5,752.7          4,765.8         20.7

Interest Income                                                                                 176.1           190.4          (7.5)
Gain (Loss) on Foreign Exchange - net                                                           23.5            (101.9)       123.1
Finance Costs                                                                               (2,230.6)        (2,433.9)         (8.4)

OTHER EXPENSES - Net                                                                       (2,031.0)        (2,345.4)        (13.4)

PROFIT BEFORE INCOME TAX                                                                    3,721.7         2,420.4          53.8
INCOME TAX EXPENSE                                                                          (797.0)           (376.5)        111.7

PROFIT FOR THE PERIOD                                                                      2,924.7           2,043.9          43.1
PROFIT FOR THE PERIOD ATTRIBUTABLE TO:
    OWNERS OF THE PARENT                                                                   2,734.7           1,908.4         43.3
    NON-CONTROLLING INTERESTS                                                                190.0             135.5         40.2
TOTAL                                                                                      2,924.7           2,043.9         43.1
1) Percentage changes may vary due to rounding.

Disclaimer
This document contains certain financial information and results of operation, and may also contain certain projections, plans, strategies,
and objectives of Indosat Ooredoo Hutchison, that are not statements of historical fact which would be treated as forward -looking
statements within the meaning of applicable law. Forward looking statements are subject to risks and uncertainties that may cause
actual events and Indosat Ooredoo Hutchison's future results to be materially different than expected or indicated by such statements.
No assurance can be given that the results anticipated by Indosat Ooredoo Hutchison, or indicated by any such forward looking
statements, will be achieved.
The financial information provided herein is based on Indosat Ooredoo Hutchison’s consolidated financial statements in accordance with
Indonesian Financial Accounting Standards.

File

File Open PDF
Source IDX
Size0.37 MB
Published30 Jul 2024
Pages6
Characters23,185
Text sourceEmbedded text layer
OCR confidence—

Names mentioned 2 people and organisations named in the text · linked when the evidence is strong

linked — Ooredoo Hutchison p.5 ×4
possible org Indosat Tbk. p.1 ×2

Extraction attempts how the parser did, and what it refused

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

No extraction attempted yet.

Other files in this announcement 7

↑↓ select ↵ open ⇧↵ see every result