Link Net Performance Achievements In Quarter II 2022, Revenue Raup Rp2.11 Trillion

Photo: Doc. Link Net

JAKARTA - PT Link Net Tbk (LINK) Link Net posted revenue of Rp2.11 trillion in the first semester of 2022. Meanwhile, EBITDA Link Net in the first six months of this year was recorded at Rp1.06 trillion. Link Net recorded a net profit in the first half of 2022 of IDR 141 billion, where an increase in the burden of depreciation and financial burden contributed to a decline of 70.1 percent year-on-year. Meanwhile, Link Net added 115 thousand homes passed into its network in the first semester of 2022, bringing the Company's total network of 2,985 million homes passed. In July 2022, Link Net has managed to reach more than 3 million homes passed. In the second quarter of 2022, Link Net's total subscribers decreased by 14 thousand, where the company's total customer now is 838 thousand. The average revenue per Customer (ARPU) in the third quarter of 2022 is IDR 333,000 per month. The Enterprise Link Net segment was strengthened in the second quarter of 2022 with revenue increasing 11.5 percent of the Quarter-on-Quarter from Rp182 billion to Rp203 billion. On a year-on-Year basis, the Enterprise segment grew 8.1 percent in the second quarter of 2022. For the first half of 2022, Enterprise segment revenue increased 9.4 percent to Rp384 billion compared to Rp351 billion in the first half of 2021. In the first half of 2022, the Enterprise segment contributed 18.2 percent to the total Link Net revenue. The Link Net management team is very pleased to welcome new majority shareholders who are experts in managing and growing telecommunications assets. On June 22, 2022, Link Net warmly welcomed indirect subsidiaries from Axiata (Axiata Investments (Indonesia) and XL Axiata into the ranks of the Company's shareholders. Their ownership of Link Net is more than 66 percent not including treasury shares. Currently, Link Net is the latest member of the Axiata group. With Axiata and XL Axiata as new business partners, it will create various benefits for customers, employees and shareholders of Link Net. There is an opportunity for synergy for Link Net and XL Axiata with a combination of their positions in sharing backbones and transmission networks. A long-term commercial agreement related to operations between XL Axiata and Link Net with optimal synergy benefits being prepared at this time. Marlo Budiman, President Director and CEO of PT Link Net Tbk said, the Enterprise Link Net segment continues its direction of growth, network expansion will begin to accelerate and we are developing synergies with new business partners, which will contribute to increasing revenue and cost efficiency. "While we are experiencing short-term challenges, through network expansion, residential customer portfolio adjustments and through productive synergies with new business partners, we are building a platform for sustainable financial and operational growth in 2023 and beyond," he said in a written statement, Wednesday, September 7. Link Net started its environmental, social and corporate governance (ESG) program last year. The aim of this program is to strengthen Link Net's business practices which aim to become a leader in the field of ESG in Indonesia. To record and measure this process, Link Net cooperates with an ESG assessment company called EcoVadis, which conducts comprehensive assessments including the environment, labor and human rights, as well as sustainable ethics and procurement. At the first assessment, Link Net scored 45/100, including the 45 percent position of all telecommunications companies that have been assessed by EcoVadis globally. Since these results, the Company has carried out various programs to strengthen its business practices. In the latest assessment published in August, Link Net got a score of 64/100 which puts the Company at the 12 percent highest position of all telecommunications companies rated by EcoVadis globally. Link Net will continue to succeed in the coming year to make the Company the leading corporate citizen in Indonesia. To strengthen Link Net's residential customer growth portfolio in the future, the Company targets customers who see the value of a service and are willing to pay for premium high-speed broadband services and cable TVs. Overall, Link Net's focus on premium subscribers and temporary reductions in network expansion, as well as adjustments to consumer behavior, have had a short-term impact on Link Net's business performance, including an increase in leftovern, a decrease in the number of subscribers, and ARPU's decline. While residential customer portfolio adjustments for improving quality are implemented, Link Net hopes to improve its customer cycle (customer lifecycle). By accelerating network growth rate and adjustment of residential customer portfolios, Link Net is building a runway for 2023 with an emphasis on reducing levels ofhutting, stable ARPU and higher customer acquisition rates.