Indonesian telecommunications company Indosat Ooredoo Hutchison (Indosat or IOH) reported a 10 percent increase in total revenue, reaching USD 3.32 billion compared to the previous year. The company, announcing its results for the fiscal year ending December 31, 2023 today, attributed this growth to its performance across all business lines, with cellular revenue rising by 8.7 percent year-on-year, multimedia, data communication, and internet revenue climbing by 13.0 percent, and fixed telecommunications revenue surging by 28.4 percent.
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Indosat said it achieved a 23.0 percent year-on-year increase in EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization), totalling USD 1.55 billion, with an EBITDA margin of 46.8 percent. The normalised net profit reached USD 231 million and remained positive for three consecutive years.
Customer Metrics
Indosat's President Director and CEO, Vikram Sinha said, "The achievements of Indosat Ooredoo Hutchison in 2023 are attributed to the contributions of all parties, including business partners, customers, shareholders, and all of our employees."
"Sensitivity to market dynamics, technology-centric based service innovation, and integrity in operational excellence are keys to navigating business growth and contributing to value creation for our stakeholders," Vikram added.
The Mobile ARPU (Average Revenue Per User) across both consumer brands, IM3 and Tri, rose by 5.3 percent year-on-year to USD 2.3 million, while data traffic increased by 14.8 percent year-on-year to 14,417 Petabytes (PB).
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Telco to TechCo Transformation
Regarding its Telco to TechCo transformation journey, Indosat said it has increased the number of 4G BTS (Base Transceiver Stations) by 30.7 percent year-on-year, reaching 179 thousand sites nationwide.
Additionally, the company also completed the network integration at more than 46,000 sites in one year using Multi-Operator Core Network (MOCN) technology. Reportedly, this has improved service coverage and quality for all Indosat customers, IM3 and Tri, contributing to a 14.8 percent year-on-year growth in data traffic.
Capital expenditure for the year amounted to USD 829 million, primarily allocated to cellular business development and network expansion in rural areas. Furthermore, Indosat's CEO also emphasised the company's role in initiating the growth of Artificial Intelligence (AI)-based data infrastructure in Indonesia.
