Indosat reports Q1 2024 growth, partners with NVIDIA
Indosat Ooredoo Hutchison (Indosat) has reported strong operational and financial performance for Q1 2024, registering a surge in revenue by 15.8% Year-on-Year (YoY) to IDR13,835 billion ($873 million). The telecom company's Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) growth exceeded its revenue increase, with a YoY rise of 22.1% to IDR6,509 billion ($411 million). Furthermore, the company's net profit reflected a commendable YoY rise of 39.4% to IDR1,295 billion ($82 million).
Vikram Sinha, President Director and CEO of Indosat Ooredoo Hutchison, stated the company's striking performance in Q1 2024 upheld its commitment to stakeholders and the digital economy of Indonesia. "We keep improving to enhance our network to ensure seamless connectivity and a marvellous experience for customers across Indonesia," Sinha said. He also emphasised the company's focus on operational excellence and efficiency, which has propelled strong revenue growth and increased profitability.
The customer base of Indosat grew by 2.3% YoY to reach 100.8 million subscribers by the end of Q1 2024, triggering a significant increase in data traffic, up by 14.3% YoY to 3,858 Petabytes (PB). Crucial investments in upgrading the network infrastructure led to a 20.8% YoY increase in 4G BTS to 184 thousand. These strategic investments and commitment to seamless connectivity and enhanced customer experience resulted in a 13.9% YoY rise in Average Revenue Per User (ARPU) for cellular customers, reaching IDR37,500.
International ratings agency Fitch revised Indosat's outlook to Positive from Stable, reaffirmed its AA+(idn) credit rating, and the company received idAAA (Stable) ratings from Pefindo, indicating a strong financial position. Additionally, Indosat was listed in the LQ45 Index as one of the most liquid stocks on the Indonesian Stock Exchange, reflecting its excellent growth prospects and solid business performance.
As part of a landmark collaboration with NVIDIA, Indosat has emerged as the country's first NVIDIA Cloud Provider Partner. Utilising this historic partnership, Indonesia aims to democratise access to NVIDIA's advanced AI platform, bolster enterprises with unparalleled Graphic Processing Unit (GPU) technologies and catalyse the nation's digital economic growth. Highlighting this strategic move, Sinha stated, "Our collaboration with NVIDIA marks a pivotal moment in Indonesia's journey towards becoming an AI-powered nation."
In addition to its AI initiatives, Indosat has strengthened its focus on cybersecurity through significant collaborations with industry leaders Cisco and Mastercard. The partnership with Cisco empowers small and medium-sized businesses with state-of-the-art cybersecurity solutions, enhancing their digital resilience. Furthermore, the foundation of the Indosat-Mastercard Cybersecurity Center of Excellence underpinned the company's commitment to promoting cybersecurity talent development and spearheading innovation in scam detection and mitigation efforts.
Indosat stands firm in its resolve to drive sustainable growth, foster innovation, and establish lasting value for all stakeholders. In a significant move, Sinha confirmed, "With unwavering determination and a shared vision for success, we stand poised to shape the technology landscape in Indonesia and beyond. Let us continue to innovate, collaborate, and inspire to connect and empower every Indonesian and help turn Indonesia into a digital nation."
