Jakarta, Indonesia – Indosat Ooredoo Hutchison (Indosat or IOH, IDX: ISAT) today announced its results for the first half of 2024 (1H2024), continuing to deliver robust financial and operational performance. In 1H2024, Indosat maintained its double-digit growth trajectory in total revenue, which increased by 13.4% year-on-year (YoY) to IDR 27,976.3 billion. Indosat recorded an impressive EBITDA that grew faster than revenue, increasing by 17.8% YoY to IDR 13,412.2 billion, while the EBITDA margin stood at 47.9% in 1H2024, highlighting the Company’s ability to convert revenue into earnings efficiently. This profitability underscores Indosat’s solid financial health and its capacity to generate substantial returns for stakeholders. With these notable results, Indosat delivered a Profit for the Year Attributable to Owners of the Parent of IDR 2,734.7 billion, which rose by 43.3% YoY and remained positive for ore than three consecutive years.

Vikram Sinha, President Director and Chief Executive Officer of Indosat Ooredoo Hutchison, said, “The results we recorded in the first half of 2024 prove our meticulous strategy to propel the Company forward. Our remarkable performance reflects our dedication to creating sustainable value for all Indosat’s stakeholders and empowering Indonesia’s digital economy. We continuously enhance our network to ensure seamless connectivity and an exceptional experience for customers across the Nation. Simultaneously, we have intensified our focus on operational excellence and efficiency, enabling us to deliver strong revenue growth while further improving profitability. Additionally, our accelerated journey towards becoming an AI Native TechCo showcases our commitment to leveraging cutting-edge technology to drive innovation and future growth.”

Indosat’s customer base increased by 900 thousand new customers, reaching 100.9 million subscribers at the end of 1H2024. This growth contributed to a commendable increase in data traffic, which rose 13.4% YoY to 7,965 Petabytes (PB). Indosat continued to make strategic investments in enhancing its network infrastructure. Capex in 1H2024 amounted to IDR 4,520.6 billion, of which approximately 89.8% of the Capex was allocated to Cellular to support data services growth demand, while the remaining balance was allocated to MIDI and IT. 

As part of strengthening its core business, the Company has operated approximately 188,000 4G BTS, adding around 22,000 4G BTS during the first half of 2024. This significant expansion is complemented by the deployment of 103 5G BTS, underscoring Indosat's commitment to advancing its network infrastructure. By enhancing its coverage and capacity, Indosat ensures an elevated customer experience that fosters greater customer loyalty and satisfaction. These efforts have directly contributed to a notable 10.5% year-on-year increase in Average Revenue Per User (ARPU) for cellular customers, now reaching IDR 37,900. This growth in ARPU is a testament to the Company's strategic initiatives to deliver superior services and value to its users, thereby solidifying its position in the competitive telecommunications market.

Indosat remains steadfast in its commitment to partnering with global tech giants to accelerate its transformative journey. This dedication is evident through its strategic collaborations with industry leaders that not only fortify Indosat's position in the market but also drive forward its mission of digital transformation and innovation.

Indosat and Mastercard signed a memorandum of understanding (MoU) to collaborate on safeguarding Indonesia's digital economy by establishing the Indosat-Mastercard Cybersecurity Center of Excellence (CoE). The CoE will focus on three main pillars: enhancing the quality of human resources in cybersecurity through improved access to education and training, driving innovation through research in key areas of cybersecurity and digital trust, and fostering industry collaboration to detect and mitigate fraud.

On top of that, Indosat and Google Cloud continue their long-term strategic partnership to accelerate Indosat's transformation from a telecom company to an AI Native TechCo. This collaboration will combine extensive networks, operations, and customer datasets with Google Cloud's unified AI stack to provide impressive experiences to over 100 million Indosat customers and AI solutions for enterprises and generative AI (GenAI) for businesses across Indonesia.

Pefindo has affirmed its idAAA ratings for ISAT with outlook for the corporate rating is stable. The rating reflects ISAT’s strong support from its majority shareholders, very strong market position, and strong profit margin over the near to medium term. On the other hand, Fitch Ratings puts Indosat's outlook as positive, affirms ratings at AA+(idn). ISAT also inserted into the LQ45 Index as one of the most liquid index in the Indonesian Stock Exchange (IDX), indicating the company has a solid financial condition and excellent prospect of growth with high transaction value and frequency in the Indonesian capital market.

“We are committed to driving sustainable growth and innovation. Our strategic partnerships and investments in AI and cybersecurity are key to ensuring we remain at the forefront of technology advancement, delivering unparalleled value to our customers and stakeholders,” Vikram concluded.