92
Growth Years ended December 31,
2015 - 2014 2015
2014 Restated 2013
Rp billion US
million Rp billion
Rp billion Expenses
16.2 71,552
5,191 100.0
61,564 100.0
57,700 100.0
Depreciation and amortization expenses
8.2 18,534
1,345 25.9
17,131 27.8
15,780 27.3
Operations, maintenance and telecommunication service
expenses
26.1 28,116
2,040 39.2
22,288 36.1
19,332 33.5
Operations and maintenance 32.4
15,658 1,136
21.9 11,827
19.2 9,658
16.7 Radio frequency usage charges
13.1 3,626
263 5.1
3,207 5.2
3,098 5.4
Concession fees and USO charges
22.7 2,230
162 3.1
1,818 3.0
1,595 2.8
Electricity, gas and water 14.1
1,014 74
1.4 1,180
1.9 1,063
1.8 Cost of handset sold
254.6 1,493
108 2.1
421 0.7
153 0.3
Cost of SIM cards and vouchers 27.2
444 32
0.6 610
1.0 599
1.0 Cost of IT services
147.1 882
64 1.2
357 0.6
677 1.2
Leased lines and CPE 82.6
1,384 100
1.9 758
1.2 440
0.8 Vehicles rental and supporting
facilities 8.8
296 21
0.4 272
0.4 282
0.5 Insurance
6.9 312
23 0.4
335 0.5
374 0.6
Management project 35.0
117 9
0.2 180
0.3 138
0.2 Tower rent
39.3 646
47 0.9
1,065 1.7
1,166 2.0
Others 94.6
14 1
- 258
0.4 89
0.2
Personnel Expenses 21.3
11,874 861
16.7 9,787
16.0 9,733
16.9 Salaries and related benefits
7.8 4,052
294 5.7
3,759 6.1
3,553 6.2
Vacation pay, incentives and other benefits
32.8 4,225
307 5.9
3,182 5.2
3,252 5.6
Employees income tax 23.9
1,632 118
2.3 1,317
2.1 1,160
2.0 Early retirement program
100.0 683
50 1.0
- -
- -
Pension benefit cost 33.9
432 31
0.6 654
1.1 873
1.5 Housing
5.4 212
15 0.3
224 0.4
220 0.4
LSA expenses 32.2
152 11
0.2 115
0.2 19
- Insurance
40.8 138
10 0.2
98 0.2
92 0.2
Post employment healthcare benefit cost
12.9 216
16 0.3
248 0.4
374 0.7
Other employee benefits cost 5.4
53 4
0.1 56
0.1 71
0.1 Other post-employement benefit
cost 2.1
47 3
0.1 48
0.1 66
0.1 Others
62.8 32
2 -
86 0.1
53 0.1
Interconnection Expenses 26.7
3,586 260
5.0 4,893
7.9 4,927
8.5
Domestic interconnection and access
35.4 2,351
170 3.3
3,639 5.9
3,720 6.4
International interconnection 1.5
1,235 90
1.7 1,254
2.0 1,207
2.1
Marketing Expenses 5.9
3,275 238
4.6 3,092
5.0 3,044
5.3 General and Administrative
Expenses 6.1
4,204 305
5.8 3,963
6.6 4,155
7.3
General and Administrative
Expenses 6.7
1,032 75
1.4 967
1.6 675
1.2 Provision for impairment of
receivables 28.8
1,010 73
1.4 784
1.3 1,589
2.8 Training, education and
recruitment 25.6
393 28
0.5 528
0.9 412
0.7 Collection expenses
0.3 368
27 0.5
369 0.6
340 0.6
Travelling 2.3
347 25
0.5 355
0.6 341
0.6 Professional fees
59.4 424
31 0.6
266 0.4
272 0.5
Meeting 0.6
163 12
0.2 162
0.3 138
0.2 Security and screening
22.1 81
6 0.1
104 0.2
93 0.2
Social contribution 20.8
116 8
0.2 96
0.2 85
0.1 Others
18.7 270
20 0.4
332 0.5
210 0.4
93
Growth Years ended December 31,
2015 - 2014 2015
2014 Restated 2013
Rp billion US
million Rp billion
Rp billion
Lost on foreign exchange - net 228.6
46 3
0.1 14
249 0.4
Other expenses 384.1
1,917 139
2.7 396
0.6 480
0.8 Other income
39.7 1,500
109 -
1,074 -
2,579 -
Operating Profit 11.0
32,418 2,351
- 29,206
- 27,846
-
Finance income 13.7
1,407 102
- 1,238
- 836
- Finance costs
36.8 2,481
180 -
1,814 -
1,504 -
Share of loss of associated companies
88.2 2
- 17
- 29
-
Profit before Income Tax 9.5
31,342 2,273
- 28,613
- 27,149
-
Income Tax Expenses - Net 9.3
8,025 582
- 7,339
- 6,859
-
Profit for the Year 9.6
23,317 1,691
- 21,274
- 20,290
-
Other Comprehensive Income
Expenses - Net 17.7
631 46
- 767
- 112
-
Net Comprehensive Income for the Year
8.7 23,948
1,737 -
22,041 -
20,402 -
Profit for the year attributable to owners of
the parent company
7.0 15,489
1,123 -
14,471 -
14,205 -
Profit for the year atributable to non-controlling interest
15.1 7,828
568 -
6,803 -
6,085 -
Net comprehensive income for the year attributable to
owners of the parent company
5.5 16,130
1,170 -
15,296 -
14,317 -
Net comprehensive income for the year attributable to
non-controlling interest
15.9 7,818
567 -
6,745 -
6,085 -
Profit per share 6.51
157.77 11.45
- 148.13
- 147.42
-
94
Year ended December 31, 2015 compared to year ended December 31, 2014 1. Revenues
Total revenues increased by Rp12,774 billion, or 14.2, from Rp89,696 billion in 2014 to Rp102,470 billion US7,433 million in 2015. The increase in revenues in 2015 was due to the increase in data internet and information technology service revenues
and cellular telephone revenues, and to a lesser extent others telecomunication services revenues.
a. Cellular Telephone Revenues Cellular telephone revenues increased by Rp2,995 billion, or 8.7, from Rp34,290 billion in 2014 to Rp37,285 billion
US2,704 million in 2015. Usage charges increased by Rp2,831 billion, or 8.6, from Rp32,972 billion in 2014 to Rp35,803 billion in 2015 due to an
increase of 8.6 in both our prepaid and postpaid subscriber. Revenues from features increased by Rp299 billion, or 39.8, from Rp751 billion in 2014 to Rp1,050 billion in 2015 due to increase in usage features by our subscribers. This increase
offset by decreased of monthly subscription charges by Rp135 billion, or 23.8, from Rp567 billion in 2014 to Rp432 billion in 2015.
Our total cellular telephone revenues accounted for 36.3 of our consolidated revenues for the year ended December 31, 2015.
b. Fixed Lines Revenues Fixed lines revenues decreased by Rp602 billion, or 7.1, from Rp8,435 billion in 2014 to Rp7,833 billion US568 million
in 2015. The decrease in fixed lines revenues due to decrease in usage charges of Rp712 billion, or 13.3, caused by a decrease in local and domestic long distance usage. The decrease mainly contributed by termination Flexi.
This decreased was partially offset by an increase of monthly subscription amounted to Rp124 billion, or 4.6. c. Data, Internet and Information Technology Services Revenues
Our data, internet and information technology service revenues accounted for 46.6 of our consolidated revenues for the year ended December 31, 2015, compared to 42.2 for the year ended December 31, 2014
Data, internet and information technology service revenues increased by Rp10,012 billion, or 26.5, from Rp37,808 billion in 2014 to Rp47,820 billion US3,470 million in 2015. This increase was primarily due to an increase in revenues from
internet, data communication and information technology services by Rp2,445 billion, or 24.5, which was driven primarily by IndiHome subscribers, and data cellular and internet revenues from Rp6,102 billion, or 45.0 due to a growth in mobile
broadband usage from 31.2 million subscribers in 2014 to 43.8 million subscribers in 2015 related to high adoption of smartphone 3G4G.
SMS Revenues increased by Rp1,098 billion, or 7.8, from Rp14,034 billion in 2014 to Rp15,132 billion in 2015 driven from successful implementation of cluster-based pricing.
d. Interconnection Revenues
Interconnection revenues comprised interconnection revenues from our fixed line network and interconnection revenues from Telkomsel
95
f. Other Telecommunications Services Revenues In 2015, revenues from other telecommunications service increased by Rp836 billion, or 26.3, from Rp3,175 billion in
2014 to Rp4,011 billion US291 million in 2015. The increase was primarily due to an increase in sales of handset by Rp934 billion, or 160.5 and an increase in call centre revenues by Rp222 billion, or 49.8, it was partly offset by decrease
in CPE revenues by Rp230 billion, or 51.0.
g. Other Income Other income increased by Rp426 billion, from Rp1,074 billion in 2014 to Rp1,500 billion US109 million in 2015.
2. Expenses
Total expenses increased by Rp9,988 billion, or 16.2, from Rp61,564 billion in 2014 to Rp71,552 billion US5,191 million in 2015. For futher explaination as shown below:
Composition of Expenses
a. Operations, Maintenance and Telecommunication Service Expenses Operations, maintenance and telecommunication service expenses increased by Rp5,828 billion, or 26.1, from Rp22,288
billion in 2014 to Rp28,116 billion US2,040 million in 2015. The increase in operations, maintenance and telecommunication service expenses was primarily attributable to the following:
- Operations and maintenance increase by Rp3,831 billion, or 32.4, due to an increase in expenses associated with network maintenance to improve our mobile cellular and IndiHome business performance;
- Cost of handset sold increase by Rp1,072 billion, or 254.6, from Rp421 billion in 2014 to Rp1,493 billion in 2015. The increase was due to increase of modem and terminal bundling program;
- Leased lines and CPE increased by Rp626 billion, or 82.6, which was used for operation and maintenance of leased lines.
This increased were offset by decreased in tower leased by Rp419 billion, or 39.3 and other expenses by Rp244 billion, or 94.6.
b. Depreciation and Amortization Expenses Depreciation and amortization expenses increased by Rp1,403 billion, or 8.2, from Rp17,131 billion in 2014 to Rp18,534
billion US1,345 million in 2015, primarily due to an increase in property, plan and equiptment to improving our service to customers and accelerate fixed wireless business assets, fixed wireless assets has been fully depreciated amounted to Rp545
billion.
c. Personnel Expenses Personnel expenses increased by Rp2,087 billion, or 21.3, from Rp9,787 billion in 2014 to Rp11,874 billion US861
million in 2015 due to a increased by Rp1,043 billion, or 32.8 in incentive and other benefit expenses, in line with company
