PERUSAHAAN PERSEROAN PERSERO PT TELEKOMUNIKASI INDONESIA Tbk AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of December 31, 2016 and for the Year Then Ended
Figures in tables are expressed in billions of Rupiah, unless otherwise stated Table of Content
5. TRADE RECEIVABLES continued
b. By age continued iii Aging of total trade receivables
2016 2015
Gross Provision for
impairment of receivables
Gross Provision for
impairment of receivables
Not past due 4,535
177 4,353
266 Past due up to 3 months
1,721 401
2,235 202
Past due more than 3 to 6 months
697 495
583 216
Past due more than 6 months 3,400
1,917 3,394
2,364
Total 10,353
2,990 10,565
3,048
The Group has made provision for impairment of trade receivables based on the collective assessment of historical impairment rates and individual assessment of its customers’ credit
history. The Group does not apply a distinction between related party and third party receivables in assessing amounts past due. As of December 31, 2016 and 2015, the carrying
amounts of trade receivables of the Group considered past due but not impaired amounted to Rp3,005billion and Rp3,430 billion, respectively. Management believes that receivables past
due but not impaired, along with trade receivables that are neither past due nor impaired, are due from customers with good credit history and are expected to be recoverable.
c. By currency i Related parties
2016 2015
Rupiah 1,300
1,328 U.S. dollar
23 Others
Total 1,300
1,351 Provision for impairment of receivables
406 247
Net 894
1,104
iiThird parties
2016 2015
Rupiah 7,565
7,761 U.S. dollar
1,437 1,436
Australian dollar 40
14 Others
11 3
Total 9,053
9,214 Provision for impairment of receivables
2,584 2,801
Net 6,469
6,413
PERUSAHAAN PERSEROAN PERSERO PT TELEKOMUNIKASI INDONESIA Tbk AND ITS SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS As of December 31, 2016 and for the Year Then Ended
Figures in tables are expressed in billions of Rupiah, unless otherwise stated Table of Content
5. TRADE RECEIVABLES continued
d. Movements in the provision for impairment of receivables
2016 2015
Beginning balance 3,048
3,096 Provision recognized during the yearNote 25
743 1,010
Receivables written off 801
1,058
Ending balance 2,990
3,048
The receivables written off relate to both relatedparty and thirdparty trade receivables. Management believes that the provision for impairment of trade receivables is adequate to cover
losses on uncollectible trade receivables. As of December 31, 2016, certain trade receivables of the subsidiaries amounting to
Rp4,550billion have been pledged as collateral under lending agreements Notes 15, 16b and 16c. Refer to Note 31 for details of related party transactions.
6. INVENTORIES 2016