| TM (Telekom Malaysia) | ||||||
| Year | DPS | EPS | Retained EPS | |||
| 2002 | 2.4 | 5.8 | 3.4 | |||
| 2003 | 1.6 | 9.4 | 7.8 | |||
| 2004 | 5.4 | 7 | 1.6 | |||
| 2005 | 6.6 | 3 | -3.6 | |||
| 2006 | 6.5 | 11.4 | 4.9 | |||
| 2007 | 9 | 12.8 | 3.8 | |||
| 2008 | 10.6 | 5.2 | -5.4 | |||
| 2009 | 16.6 | 15.8 | -0.8 | |||
| 2010 | 18.1 | 14 | -4.1 | |||
| 2011 | 18.9 | 33.3 | 14.4 | |||
| Total | 95.7 | 117.7 | 22 | |||
| From | 2002 | to | 2011 | |||
| EPS increase (sen) | 27.5 | |||||
| DPO | 81% | |||||
| Return on retained earnings | 125% | |||||
| (Figures are in sens) | ||||||
Showing posts with label TM. Show all posts
Showing posts with label TM. Show all posts
Thursday, 30 August 2012
TM (Telekom Malaysia) - Return on Retained Earnings
Friday, 22 June 2012
Investor's Checklist: Telecom
Shifting regulations and new technologies have made the telecom industry far more competitive. Though some areas are more stable than others, look for a wide margin of safety to any estimate of value before investing.
Telecom is a capital-intensive business. Having the resources to maintain and improve the network is critical to success.
Telecom is high fixed-cost business. Keeping an eye on margins is very important.
Watching debt is also important. Firms can easily overextend themselves as they build networks.
The price of wireless airtime is plummeting. Carriers continue to compete primarily on price.
Ref: The Five Rules for Successful Stock Investing by Pat Dorsey
Read also:
Investor's Checklist: A Guided Tour of the Market...
Telecom is a capital-intensive business. Having the resources to maintain and improve the network is critical to success.
Telecom is high fixed-cost business. Keeping an eye on margins is very important.
Watching debt is also important. Firms can easily overextend themselves as they build networks.
The price of wireless airtime is plummeting. Carriers continue to compete primarily on price.
Ref: The Five Rules for Successful Stock Investing by Pat Dorsey
Read also:
Investor's Checklist: A Guided Tour of the Market...
Saturday, 14 January 2012
TM undergoes cosmetic and customer-centric changes
Saturday January 14, 2012
STARBIZWEEK held a question and answer session with Telekom Malaysia Bhd group chief executive officer Datuk Seri Zamzamzairani Md Isa recently. Below are excerpts:
Zamzamzairani: All these changes are necessary because we are not just in the wholesale service but also at the retail level.SBW: Did you expect the monthly run rate of new additions to be 20,000?
Zamzamzairani: It was beyond our expectations. Achieving 220,000 as at the end of last year was fantastic too.
What contributed to the take-up?
The Internet, broadband and the lifestyle change. We also have Hypp.TV, entertainment and voice to offer. It is more of the customer experience. With UniFi, people don't talk about doing speed checks, they just tell their friends about their (surfing) experience and the (fast) speed. So, word of mouth was also a way of getting new subscribers.
What is the customer rating of Unifi?
We use an index, the TRI*M to monitor, measurement and manage customer service levels and expectations. It is internationally recognised. The customer can tell us if they are satisfied or not. In fact, for our headline KPI for 2010, apart from the revenue EBIDTA, we had the customer element as KPI. This year there is a lot of focus on customer experience and we have embarked on the transformation journey and the focus now is on the revamping of our outlets.
Is this just cosmetic or bold change?
Both. Our staff now wear T-shirts instead of jackets, we started with our Kelana Jaya outlet. It is not implemented at all outlets, but the change is taking place. We also have our staff at the shop floor to attend to customers, and we now have payment kiosks at the outlet.
There is an average waiting time so that customers are not kept waiting, and all this is to improve the waiting experience. We also have a rating system at the counters, so that after they have been served they can rate the service of the individual.
We have introduced parking bays for customers at our Kelana Jaya branch so that people need not worry about parking their cars. All this is intended to reduce the waiting period so that more can be attended to.
All these changes are necessary because we are not just in the wholesale service but we also have to compete at the retail level, so customer service will be the differentiating factor since the technology platform for all is about the same. We have recognised that and we are making all the necessary changes. We also use the Kelana Jaya outlet as a model for others to emulate. We bring managers from all over the country to tell them what we need. It (boils) to managing people's expectations.
We are modelling the transformation programme based on the “cool'' concept where customer-centricity, one company mindset, company operational excellence and leadership are addressed.
If we do not focus on the first (customer-centricity), the others will not make sense.
How is your Streamyx service fairing?
It still has the strong appeal even though many of the existing subscribers have migrated to UniFi. About 53% of Streamyx users are on 1Mbps. Streamyx has 1.7 million users, and when combined with Unifi's 220,000, we have 1.9 million broadband users.
What is the priority, grow UniFi or Streamyx?
It is about growing broadband. There is an impact of migration especially in UniFi areas but that is alright as we can now offer an enhanced system.
The percentage of subscribers loss?
Quite surprising, the migration is 40% from Streamyx and 60% are new users plus those who had left Streamyx are coming back to UnFi. We cannot consider those who migrate from Streamyx to UniFi as a loss to Streamyx ... it is about rolling out a new service.
Any new player buying wholesale HSBB from you apart from Maxis Bhd, Packet One and Celcom Axiata Bhd?
We welcome anyone ... it is not an issue to us. For us it is about getting returns.
Which is better, wholesale versus retail business?
Where wholesale is concerned, we enter into long-term agreements with those who want to lease our HSBB and we cannot compare that with retail. It is not about which is better or worse, it is about two difference businesses.
What is the differentiator for both?
Retail business and the product itself. Whereas in wholesale we can offer higher speed, its up to them to proceed as they have the flexibility.
Maxis is riding on HSBB to offer about the same services, will it affect your retail business?
Of course, it is competition for the retail side and we have to do it better.
When you are packaging WiFi with UniFi, are you making money on WiFi? We will package it with UniFi but we will also offer prepaid. The good thing about our WiFi is that our backhaul is on fibre and we are able to offer high capacity. But a lot of users get locked out (if there is no strong backhaul) and that puts a strain on cellular networks. We have a strong backhaul.
What is your capex requirements for 2012?
Our yearly capex is normally less than RM3bil and since we have built a sizeable broadband infrastructure and reached up to 1.17 million premises, the cost will taper down and a lot of cost will now go to access to homes.
We have to continue to build but we have to move from a supply driven model to a demand driven one.
We are looking at a RM2.7bil and RM3bil will be the maximum but it should be about RM2.7bil.
What was the capex for 2011?
What we can say is that up to September 2011, it was RM1.4bil, and the full-year capex will be announced during our 4th quarter results.
TM managed to bring down the cost of rolling out HSBB by RM1bil, how difficult was it to do that?
It was really about choice of network architecture and our strict procurement process, besides, we also speed up the installations.
The voice business is on a declining trend, any way of re-igniting the interest?
The decline has slowed down and we are going to re-package our voice business again. Today voice is one element of our fixed line business, the other is data. As at the end of September 2011, our voice business contribution towards revenue was 42%, Internet 22%, data 20%, and Enterprise 16%. A year earlier it was 45%, 19%, 19% and 17% respectively. All the growth is led by Internet and data.
When are you going to implement the cap on usage and force through the fair usage policy?
We have been educating the market, we have not put the cap even though we have the right to do so. We will implement it at some point because 20% of the users are hogging 80% of the capacity.
Are there plans to get back into the cellular business?
We are always looking to enhance our fixed line broadband offering. MNVO is one arrangement that can complete our suite of services. We are open to having arrangements with mobile players to offer services.
How soon will you do that?
Soon, but it has to be market driven commercial arrangements, and one that makes sense. Today we are still pushing UniFi and that will carry on.
What are the challenges for TM going forward?
Increased competition and it is getting harder by the day. We are strong in our wholesale business and weak in retail. Technology-wise, a lot more can be done but it is about timing, investments and returns. And again, there is execution how well we can do it all this will be key for our business.
Friday, 23 December 2011
S&P: takes action on three Malaysian GREs
(The following was released by the rating agency)
-- On July, 27, 2011, Standard & Poor's Ratings Services lowered the local currency sovereign rating on Malaysia to 'A' from 'A+'.
-- We are, therefore, taking rating actions on three GREs: PETRONAS, Axiata, and Telekom Malaysia.
-- The sovereign rating action has no rating impact on any other corporate entity that we rate in Malaysia.
SINGAPORE (Standard & Poor's) July 28, 2011--Standard & Poor's Ratings Services said today that it took various rating actions on three Malaysian government-related entities (GREs) after the sovereign rating action on Malaysia (foreign currency A-/Stable/A-2; local currency A/Stable/A-1; axAA+/axA-1) (see "Malaysia 'A-' FC Rating Affirmed; Local Currency Rating Lowered To 'A' From 'A+' On Revised Methodology; Outlook Stable," published on July 27, 2011, on RatingsDirect on the Global Credit Portal) as follows:
To From
Downgraded
Petroliam Nasional Bhd. (PETRONAS)
Local currency rating A/Stable/-- A+/Stable/--
ASEAN scale rating axAA+/-- axAAA/--
Axiata Group Bhd.
Foreign currency rating BBB/Stable/-- BBB+/Stable/--
Local currency rating BBB/Stable/-- BBB+/Stable/--
ASEAN scale rating axA/-- axA+/--
Senior unsecured notes BBB- BBB
CreditWatch Action
To From
Telekom Malaysia Bhd. (TM)
Foreign currency rating A-/Watch Neg/-- A-/Stable/--
Local currency rating A-/Watch Neg/-- A-/Stable/--
ASEAN scale rating axAA/Watch Neg axAA/--
Senior unsecured notes A-/Watch Neg A-
Affirmed
Petroliam Nasional Bhd.
Foreign currency rating A-/Stable/--
Senior unsecured notes A-
We lowered the local currency rating on PETRONAS to reflect the company's critical role and integral link with the Malaysian government and its sensitivity to government intervention. We equalized the long-term corporate credit rating on PETRONAS with the sovereign credit rating on Malaysia. We assessed PETRONAS' stand-alone credit profile to be 'aa-'.
We downgraded Axiata to reflect the sovereign local currency rating action because our ratings on the company factor in our view of extraordinary government support. According to our GRE methodology, we have now equalized the ratings on Axiata with our assessment of its stand-alone credit profile of 'bbb'. We continue to believe there is a "moderate" likelihood that the Malaysian government, through its investment holding arm Khazanah Nasional Bhd., would provide timely and sufficient extraordinary support to Axiata in the event of financial distress. This is based on our view that Axiata has a "strong" link with the government, although it has a "limited" role in Malaysia's economy compared with that of other Malaysian GREs.
We consider TM to have a "strong" link with, and an "important" role to, the government. We, therefore, believe there is a "moderately high" likelihood of extraordinary government support to TM, whose stand-alone credit profile we assess to be 'bbb+'. We will resolve the CreditWatch placement on TM, in which Khazanah owns 28.7%, based on our assessment of the company's stand-alone profile and the sustainability of the recent improvement in its financial metrics. A CreditWatch with negative implications indicates that we could lower or affirm the ratings in the next 90 days. Given TM's strong business risk profile, we will consider the company's financial policies in light of its investment and funding plans for the next couple of years.
The sovereign rating action does not affect the ratings on any other corporate entities that Standard & Poor's rates in Malaysia, either privately owned or GREs. These entities include Tenaga Nasional Bhd. (BBB+/Stable/--; axA+/axA-1) and AmanahRaya Real Estate Investment Trust (BBB-/Negative/--; axBBB+/--).
RELATED CRITERIA AND RESEARCH
-- Rating Government-Related Entities: Methodology And Assumptions, Dec. 9, 2010
Monday, 28 November 2011
Telekom Malaysia Berhad
| Company Name | : | TELEKOM MALAYSIA BERHAD |
| Stock Name | : | TM |
| Date Announced | : | 24/11/2011 |
| Financial Year End | : | 31/12/2011 |
| Quarter | : | 3 |
| Quarterly report for the financial period ended | : | 30/09/2011 |
| The figures | : | have not been audited |
| Converted attachment : |
| Please attach the full Quarterly Report here: |
 | | |
| Currency | : | Malaysian Ringgit (MYR) |
SUMMARY OF KEY FINANCIAL INFORMATION |
30/09/2011 |
INDIVIDUAL PERIOD | CUMULATIVE PERIOD | ||||
CURRENT YEAR QUARTER | PRECEDING YEAR CORRESPONDING QUARTER | CURRENT YEAR TO DATE | PRECEDING YEAR CORRESPONDING PERIOD | ||
$$'000 | $$'000 | $$'000 | $$'000 | ||
| 1 | Revenue | 2,321,706 | 2,194,558 | 6,703,459 | 6,470,379 |
| 2 | Profit/(loss) before tax | 337,096 | 505,888 | 771,545 | 1,025,422 |
| 3 | Profit/(loss) for the period | 315,838 | 446,607 | 627,551 | 829,042 |
| 4 | Profit/(loss) attributable to ordinary equity holders of the parent | 302,125 | 438,489 | 592,669 | 805,816 |
| 5 | Basic earnings/(loss) per share (Subunit) | 8.40 | 12.30 | 16.60 | 22.70 |
| 6 | Proposed/Declared dividend per share (Subunit) | 0.00 | 0.00 | 9.80 | 13.00 |
AS AT END OF CURRENT QUARTER | AS AT PRECEDING FINANCIAL YEAR END | ||||
| 7 | Net assets per share attributable to ordinary equity holders of the parent ($$) | 1.7755 | 2.1606 | ||
9 Months ending 30.9.2011
Income Statement
Operating Revenue 6,703.5m
Operating Profit before finance cost 979.2m
Profit before taxation and zakat 771.6m
Profit after taxation and zakat 627.6m
Profit attributable to equity holders of company 592.7m
EPS
Basic/diluted 16.6 sen
Depreciation, impairment and amortization (1,592.1m)
Finance income 97.4m
Finance cost (232.0m)
Foreign exchange (Loss)/Gain on Borrowings (73.0m)
NET FINANCE (COST)/INCOME (207.6m)
Taxation and Zakat (144.0m)
Balance Sheet
NCA 13,668.7m
CA 6,445.3m
TOTAL ASSET 20,114m
Total Equity 6,503.4m
NCL 9,948.6m
CL 3,662.0m
TOTAL LIABILITIES 13,610.6m
TOTAL EQUITY AND LIABILITIES 20,114m
Net assets per share attributable to ordinary
equity holders of the company 177.6 sen.
Inventories 245.5m
Trade and other receivables 2,342.8m
Trade and other payables 3,074.7m
Customer deposits 574.4m
Cash and bank balances 3,331.6m
LT Borrowings 6,212.40m
ST Borrowings 6.2m
Cash flow statement
Receipt from customers 6,516.1m
Payments to suppliers and employees (4,642.8m)
Payment of finance cost (225.5m)
Refund of income taxes (net) 16.4m
Payment of zakat (2.3m)
Cash flows from operating activities 1,661.8m
Cash flows used in investing activities (653.6m)
Cash flows used in financing activities (1,160.4m)
Capex
Purchase of property, plant and equipment (1,831.1m)
Dividends paid to shareholders
30.9.2011 (702.1m)
30.9.2010 (694.2m)
Weighted average number of ordinary shares 3,576.2m.
There is no dilutive potential ordinary share as at 30 September 2011.
Telekom Malaysia Berhad Company Snapshot
Business Description:
Telekom Malaysia Berhad operates in the Telephone communications, exc. radio sector. Telekom Malaysia Berhad is engaged in the establishment, maintenance and provision of telecommunications and related services. It operates in four segments: Retail Business, Wholesale Business, Global Business and Shared Services/Other. Retail Business provides a range of telecommunications services and communications solutions to small and medium businesses, as well as corporate and government customers except for consumer business, which provides only voice and Internet and multimedia services. Wholesale Business provides a range of telecommunications services delivered over its networks to other licensed network operators, such as network facilities providers (NFP), network service providers (NSP) and application service providers (ASP). Global Business provides inbound and outbound services for a range of telecommunications services, including the fixed network operations of its overseas subsidiaries. On September 7, 2010, it disposed of 15.39% interest in MEASAT Global Berhad.
Market Watch
| Announcement Date | Financial Yr. End | Qtr | Period End | Revenue RM '000 | Profit/Lost RM'000 | EPS | Amended | ||||||
| 24-Nov-11 | 31-Dec-11 | 3 | 30-Sep-11 | 2,321,706 | 315,838 | 8.40 | - | ||||||
| 24-Aug-11 | 31-Dec-11 | 2 | 30-Jun-11 | 2,233,554 | 137,036 | 3.60 | - | ||||||
| 25-May-11 | 31-Dec-11 | 1 | 31-Mar-11 | 2,148,199 | 174,677 | 4.60 | - | ||||||
| 25-Feb-11 | 31-Dec-10 | 4 | 31-Dec-10 | 2,320,623 | 415,968 | 11.20 | - | ||||||
ttm-EPS 27.8 sen
Price RM 4.36
Trailing PE 15.7x
Share Price Performance | ||||||||||||||||||||||||||||||||
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| | ||||||||||||||||||||||||||||||
23.11.2011
Price RM 4.220
PE 13.31x
DY 5.43%
Market cap 15,096.6m
ROE 15.6%
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