Forex Loss Caused TM's 3rd Quarter Net Profit Down 2.2%!


 'Actually, TM's income is okay, but...'

Telekom Malaysia Bhd (TM) highlighted foreign exchange losses on borrowing and high tax rates under the Prosperity Tax as the main drag on the company's profits in its 3rd quarter (Q3) corporate earnings report.

According to the filing, TM's net profit fell 2.2% to RM265.20 million compared to RM271.21 million for the same period last year while revenue jumped 13% to RM3.16 billion from RM2.80 billion.

For the first 9 months of 2022, the company's net profit was reported to be up 21% at RM983.11 million from RM815.27 million during the same period last year when revenue reached 9.1% at RM9.14 billion compared to RM8.37 billion.

Commenting on the company's performance is Chief Executive Officer (CEO), Imri Mokthar that core business segments such as broadband including enterprise solutions and wholesale business helped the surge.

He explained that each of these segments is a driving force for the company's revenue surge and is expected to continue to lead TM's business for the rest of 2022.

In the meantime, Imri also touched on the company's future plans to continue investing in fixed mobile focused technology (FMC) and digital solutions.

In addition, TM plans to build capacity and digital talent to grow with customers despite the challenging prospects that await in 2023.

As of this writing, TM shares are trading up 0.73% at RM5.49 with a market capitalization of RM20.98 billion.