Telekom Malaysia 2Q net profit slips to RM365.48m despite higher revenue

KUALA LUMPUR – Telekom Malaysia Bhd reported a decline in net profit for the second quarter, ending June 30, 2026, with a net profit of RM365.48 million. This is a decrease from RM402.97 million in the same period last year. However, revenue increased to RM2.96 billion from RM2.77 billion, primarily due to sustained demand for data, information, and communication technology (ICT) services and other telecommunication services.

The company's operating profit, before other gains and finance costs (EBIT), fell to RM545.5 million, compared to RM640.0 million in the second quarter of 2025. This decline can be attributed to costs recognized under the group's Prihatin initiative, which aims to accommodate voluntary separation requests from employees seeking early retirement or career transitions. Additionally, Telekom Malaysia made strategic investments towards the FIFA World Cup 2026 sponsorship.

Datuk Amar Huzaimi Md Deris, the group's chief executive officer, highlighted that the company's overall performance demonstrates the effectiveness of its PWR 2030 strategy. This strategy, which stands for Pioneer, Win, and Revitalise, aims to strengthen TM's efficiency, competitiveness, and profitability in the long run. Huzaimi emphasized that the company is making bold but necessary strategic actions to support its long-term growth.

He also mentioned that the disciplined execution of these strategies, alongside a focus on growing higher-value recurring revenue across all customer segments, keeps the company on track to meet its financial year 2026 guidance and value-creation commitments. These include sustainable shareholder returns.