JAKARTA – PT Dayamitra Telekomunikasi Tbk “MTEL” managed to record revenue of IDR 3.72 trillion in semester 1-2022, an increase of 15.5% compared to the same period last year. This increase in revenue also made a positive contribution to the increase in the company’s net profit in the same period by 27.2% to IDR 892 billion.
“In the first semester of 2022, we have laid strong and solid fundamentals post-IPO to achieve sustainable growth. “This is driven by an organic growth strategy, strengthening revenues from tower-related businesses, product innovation and cost efficiency,” explained Mitratel President Director Theodorus Ardi Hartoko, who is usually called Teddy Hartoko, in a press release, in Jakarta, Thursday (28/7).
Teddy further explained that the EBITDA margin and net profit margin in the first semester of this year were recorded to have increased to 77,596 and 23.9%, respectively. The main contributor to this increase in profit was the EBITDA margin from the Tower rental portfolio which grew to 85.2%, which is already on par with the industry. This achievement was achieved thanks to cost efficiency and being more selective in gaining revenue from tower-related businesses with higher margins for higher profitability from the industry.
During the [-2022] semester, most of the revenue contribution came from tower rental income which experienced growth of 13.5%, from IDR 2.93 trillion to IDR 3.33 trillion. Another contribution came from tower-related business which increased 35.4% to IDR 399 billion.
The number of towers owned by Mitratel was recorded at 28,787 or an increase of 5,555 towers or 23.9% from the [-2021] semester. The number of tenants increased 20.3%, from 36,507 to 43,900 tenants.
The company’s total assets were recorded at IDR 55.06 trillion with equity of IDR 33.49 trillion. Total liabilities in semester 1-2022 decreased by 10.4% to IDR 21.56 trillion in line with payment of long-term loan debt worth IDR 51 trillion, including early payment of long-term debt of IDR 4.3 trillion using excess cash from activities operations and refinancing loans at lower interest rates.
Mitratel is a telecommunications tower company with the largest growth in towers and subscribers during the 2017-2021 period compared to its competitors. Apart from that, Mitratel has the largest anchor customer, namely Telkomsel, which is the largest mobile operator with the best credit rating. This is also a very good opportunity for telecommunications operators. and non-operator tenants in expanding the range of services including other supporting businesses. Then Mitratel does not have exposure to the risk of foreign currency fluctuations considering that all loans are denominated in rupiah. The debt-to-equity ratio and net debt to EBITDA ratio are also relatively controlled at 44.3% and -0.4x respectively. “We will continue to ensure that we become a superior telecommunications tower company with the largest growth in terms of both operational and financial performance through aggressive organic, inorganic and other business development activities towards a Digital Infrastructure Company.”
Going forward, Mitratel will continue to take several strategic steps, including maintaining its market leadership position, strengthening its new business portfolio, accelerating inorganic growth with a target of 6,000 towers this year, increasing profitability and cash flow through cost efficiency.
“We are targeting an EBITDA margin of more than 80% in the medium term through a series of programs that make it easy for telecommunications operators in Indonesia to improve and expand their reach through colocation on Mitratel towers. We have prepared the most complete solution for all telecommunications operators with an attractive business scheme, namely providing bundling solutions in the form of towers, connectivity, and power. The connectivity provided is in the form of fiber access (dark fiber, capacity leased and hybrid) and non-fiber access (satellite). “This is Mitratel’s advantage, which makes it easy for all operators to develop telecommunications networks throughout Indonesia, especially outside Java,” explained Teddy.
