Telkom

Telekomunikasi Indonesia (better known as Telkom) is Indonesia’s largest telecommunication and network provider as well as one of the largest companies in Indonesia in terms of market capitalization.

The company, majority owned by the Indonesian government, has a dominating market share of between 45 & 50 percent in terms of mobile phone subscribers in Indonesia. It is the parent company of the Telkom Group, which is engaged in a range of businesses that include telecommunication, multimedia, property and financial services.

Telkom Indonesia offers a wide range of network and telecommunication services. These include fixed wire line and fixed wireless telephone connections (CDMA), cellular services (GSM), network and interconnection services, as well as Internet and data communication services.

Telkom also provides services in information, media and edutainment, including cloud-based and server-based managed services, e-Payment and IT enabler services, Pay-Tv, as well as e-Commerce and other portal services. With both smartphone and Internet penetration at relatively lower levels in Indonesia (about 29 percent of the total population has access to Internet), market leader Telkom is well positioned to target further growth.

Telkom’s shares are traded on the Indonesia Stock Exchange (IDX), the New York Stock Exchange (NYSE), and the London Stock Exchange (LSE) and publicly offered without listing in Japan (POWL). However, per 5 June 2014, Telkom withdraws from the London Stock Exchange due to the small proceeds obtained in combination with the high listing fee.

Telkom posted an 5 percent growth in net profit (year-on-year) to IDR 3.7 trillion (USD $322 million) in the first quarter of 2016 on the back of strong revenue streams from data services. Its revenue increased 8.7 percent to IDR 21.3 trillion (USD $1.9 billion) over the same period.

The company has become too large for the domestic market only and thus expanded its focus to international expansion in order to sustain growth. Telkom provides services in various countries, including Myanmar, Macau, Hong Kong, Malaysia, Taiwan, Singapore and USA.