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TIME’s Q3 Operating Profits up by 20% [Business]

TIME dotCom Berhad posted a 20% jump in operating profits to RM24.7 million for the third quarter of 2013 compared to the corresponding quarter a year ago, due to improved revenue performance.

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The revenue for the third quarter of 2013 rose 20% from the same period last year to RM131.9 million, driven by double-digit growth across all business segments. Revenue in TIME’s wholesale and enterprise segments grew by 28% and 12% respectively, while its SME and consumer segment climbed 22% in the same period. The data segment in particular, grew 24% in the third quarter of 2013 from a year earlier.

“We entered the year with a clear strategy to meet and satisfy local and regional demand for data,” said Afzal Abdul Rahim, TIME’s Chief Executive Officer. “More than halfway through the year, we are pleased that our strategy is working well. In store are many more initiatives to keep the momentum going.”

Operating profit margins for the nine months ended 30 September 2013 improved from 18% a year ago to 22%, due to revenue growth and operating efficiencies that demonstrate the efficacy of TIME’s business strategies.

Operating profits grew 65% to RM89.1 million in the first nine months of 2013 driven by revenue improvements in all market segments and a full nine-month consolidation of data centre and global bandwidth revenues in the current year.

“We expect to benefit from this domestic and regional growth, as we have the products and services to satisfy a growing local and regional need to connect and communicate,” added Afzal.

Until end-September 2013, TIME has spent RM125.5 million on capital expenditure, with 84.2% of this amount allocated to telco assets. To spur more growth across all business segments including data centre services that have recorded healthy sales, TIME said it will evaluate further expansion initiatives on a measured and timely basis.

About Kugan

Kugan is the founder of MalaysianWireless. He has been observing the mobile industry since 2003. Connect with him on Twitter: @scamboy