Mitratel Performance Skyrockets, Net Profit Soars 129.4 Percent To IDR 1.38 Trillion In 2021

Photo: Doc. Mitratel

JAKARTA - PT Dayamitra Telekomunikasi Tbk (MTEL) or Mitratel recorded a brilliant performance in 2021. Mitratel's net profit in 2021 jumped 129.4 percent to IDR 1.38 trillion compared to 2020 which was IDR 602 billion.

The surge in net profit of a subsidiary of PT Telkom Indonesia (Persero) Tbk (TLKM) is in line with its revenue growth. Throughout 2021, Mitratel's revenue grew 11 percent to IDR 6.87 trillion compared to 2020 which was IDR 6.18 trillion.

Meanwhile, Mitratel's profit before interest, tax, depreciation, and amortization (EBITDA) in 2021 reached IDR 5.18 trillion, an increase of 23.9 percent compared to 2020 which was IDR 4.18 trillion. EBITDA margin rose to 75.5 percent from 67.6 percent.

Mitratel's net profit margin in 2021 will reach 20.1 percent, an increase compared to 9.7 percent in 2020.

"Mitratel, which has just been listed on the stock exchange approximately 4 months ago or on November 22, 2021, to be precise, managed to record a net profit in 2021 of IDR 1.38 trillion or a jump of 129.4 percent, this indicates that Mitratel has high profitability and can return the value of shareholders' investment," said Mitratel's Corporate Secretary, Hendra Purnama, in a press release, Thursday, March 10.

Mitratel plans to distribute dividends with a maximum ratio of 70 percent of net profit for the 2021 financial year. The dividend ratio will be proposed at the Annual General Meeting of Shareholders (AGMS) which will be held in the not too distant future.

According to Hendra Purnama, the company's net profit in 2021 will be supported by organic and inorganic growth through an aggressive sales strategy by utilizing the advantages of Mitratel's portfolio which is widely spread in attractive locations.

Over the past year, Mitratel has added 796 towers and 2.376 tenants organically. In addition, the company carried out an aggressive inorganic growth strategy through the acquisition of Telkomsel towers of 8.139 towers and 8.215 tenants, as well as consolidation of Telkom's tower assets of 798 towers and 1.432 tenants.

Mitratel is a tower provider company with the best performance growth in Indonesia. Evidently, the company's annual growth rate (Compound Annual Growth Rate / CAGR) reached 14 percent during the 2017-2021 period. EBITDA CAGR of 29 percent and net profit CAGR of 36 percent.

Mitratel ensures balance sheet liquidity and cash availability to support the company's operational strategy. This is shown by the company's balance sheet in 2021.

The value of assets until the end of 2021 reached IDR 57.72 trillion, an increase of 128.3 percent compared to 2020 which was IDR 25.28 trillion. Liabilities increased 40.7 percent to IDR 24.08 trillion from IDR 17.12 trillion. Equity jumped 312.2 percent to IDR 33.64 trillion from IDR 8.16 trillion.

Meanwhile, operationally, Mitratel continues to record tower and tenant growth, which is supported by the financial health of the company's business. The number of towers by the end of 2021 will reach 28.206 units, an increase of 52.7 percent compared to 2020 which was 18.473 units. The number of tenants in 2021 rose 39.3 percent to 42.594 from 2020 which was 30.570.