Telekom Malaysia (TM) Q3 2025 earnings summary

Executive summary

• Revenue for Q3 2025 rose 2.6% year-over-year to RM2,991.9 million, with nine-month revenue at RM8,615.3 million, reflecting resilient performance amid competition and improved delivery momentum.

• PATAMI for Q3 2025 surged 47.6% year-over-year to RM686.3 million, with nine-month PATAMI up 15.9% to RM1,490.5 million, driven by improved core operations, fair value gains, and lower tax charges.

• EBIT for Q3 2025 increased 12.9% year-over-year to RM619.8 million, with nine-month EBIT at RM1,810.1 million, reflecting strong earnings momentum and improved margins.

• Strategic focus on digital transformation, scaling data centre and cloud infrastructure, and embedding AI across operations to drive long-term advantage.

• Fixed broadband subscribers increased 1.3% year-over-year to 3.21 million, sustaining growth in the B2C segment.

Financial highlights

• Q3 2025 operating revenue: RM2,991.9 million (+2.6% YoY); nine-month revenue: RM8,615.3 million (slightly lower YoY due to one-off settlement in 2024).

• Q3 2025 EBIT: RM619.8 million (+12.9% YoY); nine-month EBIT: RM1,810.1 million (flat YoY).

• Q3 2025 PATAMI: RM686.3 million (+47.6% YoY); nine-month PATAMI: RM1,490.5 million (+15.9% YoY).

• Free cash flow for YTD 2025 was RM1,474.5 million; net cash from operating activities for nine months: RM2,232.6 million.

• Return on equity improved to 21.32% from 18.23% year-over-year; ROIC reached 13.5%.

Outlook and guidance

• Revenue momentum expected to continue, supported by subscriber growth, regional connectivity, and investments in digital infrastructure.

• EBIT guidance reaffirmed, with capex/revenue ratio targeted at 14%-16%.

• Voluntary separation applications from employees are expected to positively impact long-term productivity.

• Focus on profitability, convergence, and content in B2C; digital solutions and managed services in B2B; and regional network and data centre expansion in C2C.

• Commitment to catalysing Malaysia's digital economy and positioning the country as a regional digital hub.