TLKM - Growth Outlook Supported by FMC and B2B

KBVS Update
Monday, 3 August 2026

TLKM – Growth Outlook Supported by FMC and B2B
(Maintain BUY - TP: IDR3,300)

1H26 results: Data recovery remains intact; earnings broadly inline. TLKM's 1H26 results were broadly inline, with revenue/EBITDA reaching 51.0%/51.6% of our FY26F forecasts. Net profit rose +1.4% YoY on lower financing-costs.

2Q26: Sequential recovery extends across key operating segments. TLKM’s recovery continued in 2Q26, driven by sustained growth in data, internet & IT services (+3.8% QoQ). Consolidated revenue rose +4.0% QoQ, while EBITDA grew +8.5% QoQ.

Growth momentum intact; Operational KPIs and guidance awaited. We forecast FY26F network & other telco services revenue to grow +4.0% YoY to IDR14.0 tn, while data, internet & IT services revenue rises +10.0% YoY to IDR99.0 tn. With 1H26 tracking inline, we maintain our estimates but remain open to revisions following management’s full-year guidance and operational updates.

BUY, TP of IDR3,300, based on 4.4x FY26F EV/EBITDA (-0.5SD 5-year historical mean).

Regards,
Steven Gunawan - KBVS Research