TM reports higher Q2 net profit, declares 12.5 sen dividend

PETALING JAYA: Telekom Malaysia Bhd’s (TM) financial results for the second quarter ended June 30, 2025 (Q2’25) reflected the group’s resilience in a competitive market and continued progress on its strategic priorities.

During the quarter, profit after tax and non-controlling interests (Patami) rose 1.7% compared to the corresponding quarter last year to RM403 million, while earnings before interest and tax (Ebit) grew 4.5% to RM640 million.

For the first half of 2025 (H1’25), revenue stood at RM5.62 billion versus RM5.74 billion a year earlier due to an intensely competitive market. Meanwhile, the group registered Ebit of RM1.19 billion, down 5.8% compared to the corresponding period last year, mainly due to foreign exchange losses. Adjusting for these, underlying Ebit recorded growth, underscoring TM’s strong fundamentals, core operations and cost discipline in delivering profit despite revenue pressures.

The group continues to demonstrate its focus towards value creation and disciplined capital management, as reflected in the improvement of return on invested capital (ROIC) to 12.81% from 12.34% a year ago. TM maintains a positive outlook for the year and is confident in meeting its 2025 guidance.

The board has declared an interim dividend of 12.5 sen per share, amounting to RM479.7 million for the financial year 2025, reaffirming its commitment to delivering sustainable returns to shareholders.

“Digital infrastructure and AI are no longer just a vision for TM. It’s becoming a reality, from the establishment of data centres, sovereign cloud and GPU-as-a-Service to various enterprise applications that continuously help businesses to unlock digital capabilities and growth,” said TM Group CEO Amar Huzaimi Md Deris.

“While the market environment remains challenging, our results demonstrated resilience and ability to execute our strategic priorities. We are building positive momentum through stronger convergence growth, improved cost structures and disciplined capital management. With our investments in future-ready infrastructure, we are advancing towards our aspiration to become a digital powerhouse by 2030, while delivering sustainable value for our stakeholders,” he added.

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