PT XLSMART Telecom Sejahtera Tbk

Sure. Thank you, Christopher. And good afternoon, everyone. And thank you all of you for joining in today. Today is an important day. It's the first full quarter of Excel smart journey. Just to remind you, our merger happened 15th of April, 16th of April. So the last quarter was two and a half months of command operations. This time is the first full quarter. And the numbers which we are reporting are a result of that. And I'm pleased to share that the momentum continues to build across our businesses. We've delivered a strong performance. Revenue, reported revenue is up 38% year on year, 9% quarter on quarter. Underpinned by very strong subscriber quality, improving ARPU and good progress which you're making on the integration. Network integration specifically is progressing well. As you would know, national roaming for smartphone customers was completed in record time. The Moken rollout continues to expand, improving both coverage and quality for all our customers. Financially, we are seeing a very healthy growth, underlying growth. Normalized EBITDA and PAT reflect the strength of our core businesses. Though the reported results still include temporary one-offs, which are normal for a merger, and they are related to integration and asset optimization. Synergies are taking shape. We'll speak a bit more about that in the next few slides. And we are accelerating value creation across operations, procurement and infrastructure. These initiatives are moving steadily towards our ambition to become the industry's most efficient and agile service provider. Overall, I believe this quarter demonstrates resilience and strong execution as ExelSmart continues to unlock long-term value from the merger. If I move to the next slide, post-merger, our integration engine is running at full speed. One example of that is our customer experience and service operation center, Seesaw, which was launched in July. a major milestone that allows us to centralize network monitoring, service quality and field operations across all the three brands we have. On the network side, we've started and progressed significantly towards consolidating overlapping sites, streamlining our vendor ecosystem and optimizing the tower utilization. All these efforts are resulting in tangible cost savings. and happy to report that we are on track to deliver between 150 to $200 million synergies for this financial year 2025 largely coming from operational efficiencies and vendor rationalization. Full benefits, what we spoke about earlier, 300 to 400 million run rate, pre-tax, that will come from after the integration is complete. But good solid start towards that direction. Obviously, the next in pipeline would be the IT system unification, which again would be a significant value generator. Office integration and expanding our partnerships on the RoMEX side. And we'll also further align the organization to operate as one unified Excel smart. If I move to the next slide, please, which is talking about the customer experience. As we said earlier, customers and employees will remain at the forefront of whatever we do. Both quality and coverage of our network would be super important in this regard. And through Moken integration, all three brand users, Excel, Access and SmartFriend are experiencing much better download speed. They have gone up by as much as 70%. And the population coverage specifically for SmartFriend has gone up by 38%. These network improvements translate directly to a better quality of service, which is a very key differentiator in today's competitive network telecom operations. We also celebrated our National Customer Day in September with nationwide campaigns through ExcelPoint and SmartPoint, reinforcing our commitment to customer loyalty and engagement. We received significant positive feedback and which is a clear sign that our investments are making a real impact on the ground. If I move to the next, which is on the network update. We have now integrated over 15,000 sites, which is just one third of the number of sites which we have to integrate. An extended network access for smartphone users to 192 cities through national roaming. A total BTS count reached more than 209,000 sites, up 27% year on year with majority being on 4G. MoCon integration is on track to complete by the first of 2026, which is within the four quarters of the start of this project. And the results are already visible, as I spoke about earlier, better coverage, higher speeds, and more consistent services across geographies. If I have to cite an example, this was the 2025 MotoGP event in Mandalika, where our network handled massive traffic volumes very easily, proving our readiness to deliver world-class connectivity across the country. If I move to the next slide, which talks about the three growth pillars, and this is something we've been talking about and we are very excited about. The three growth pillars, mobile, enterprise and home. And each pillar by itself represents a focused growth engine. And it has a distinct strategic focus. But collectively, all of these will contribute to company's mission of connecting every Indonesian to a better life. If I talk about the first pillar which is mobile, it is represented by three brands, Excel, Axis and Smartfin. I strongly believe that the multi-brand approach enables us to effectively target different customer segments and it's a unique strength we have as compared to other operators in the market. And post-integration we've seen encouraging momentum driven by a simplified starter pack strategy and optimized product offerings. which is supporting a stronger market recovery. And I'm sure will help sustain future output growth also. We're also driving digital engagement through all the apps we have on Excel smart, my Excel, access net, my smartphone, which is now reaching more than 39 million active users on a monthly basis, which is up 21% year on year. This of course helps in improving customer stickiness and monetization. The second pillar is enterprise which we work under the brand Excel smart for business. Here our focus is to become a trusted partner for Indonesia's digital transformation for both private sector and also the government clients. A key milestone in this journey was the launch of ESTA, Enterprise Smart Technology and Automation, which was launched in July 25. ESTA provides a full suite of industry solutions across connectivity, IoT, cloud, cybersecurity and automation. This will help position XSmart not just as a telco, but as a strategic ecosystem partner, enabling digital transformation beyond connectivity. The third pillar is home anchored by our brand ExcelSatu, which continues to gain strong traction in Indonesia's fixed broadband market. We are reinforcing our position as one of the leading fixed broadband providers by focusing on user experience, flexibility and family oriented solutions with the help with the effort to stabilize the ARPU. ExcelSatu continues to drive deeper household penetration and strengthen customer loyalty. which is a key differentiator in this competitive market. So if I have to summarize, Excel smart growth is fueled by these three complementary pillars, mobile, enterprise and home. Each targeting a unique opportunity while collectively driving sustainable long-term growth for the company. If I move to the next slide, slide number nine, it's talking a bit more about the enterprise business. And as I said, this is expanding rapidly, powered by the launch of HESTA. And it's a comprehensive digital suite as I spoke about earlier. We also hosted Bravo 500 Summit in collaboration with Ministry of Digital and Information, bringing together 500 of Indonesia's leading corporations. Our enterprise solutions now reach key verticals such as financial services, manufacturing, logistics, healthcare and natural resources. Combining ICT services and big data analytics to deliver smarter and more integrated outcomes. We believe momentum is strong and we see continued opportunities and more industries accelerate digital adoption. I'll take a pause now and And over to my colleague, Pa Anthony, to walk us through the financial designs.

Okay. Thank you, Parajeev. I think the next topic will be the financial and operational highlights. Let me start with the operational performance first. So at the end of the quarter three, our consolidated subscriber base already around 79.6 million customer base. reflecting normalization following to our starter pack price adjustment, which is I think the latest one that we did for a smart trend brand in the month of July or August. So all the three product brands, starter pack, already now, already adjusted. That's the situation on the starter pack price. Then on the On the data traffic, I think despite of the decline in the subscriber count, the data traffic continue to grow, reaching to 3.9 exabyte or 3,900 petabytes, up to 53% year on year and 2% quarter on quarter. The ARPU improved to become 38.9 blended ARPU, this one. from 35,500 last quarter. This is a double digit growth, which is around 10% Q on Q, highlighting our focus on the, focusing on the quality growth as well as the customer value. Okay, moving to the next slide, to the financial. The revenue grew by 38% year on year and 9% quarter on quarter to IDR 11.5 trillion rupiah. Driven by the full quarter consolidation of smart trend and higher mobile ARPU. The normalized EBITDA reached to 5.4 trillion rupiah, up to increased 9% Q on Q and 24% year on year. This is reflecting the underlying strength despite of the ongoing integration costs. The reported PAP improved to a loss of 1.38 trillion rupiah. While if you look at the normalized PAP, the normalized PAP already turned positive at 1.15 trillion rupiah. This is of course after the adjustment of the one-off expenses, which is the accelerated depreciation, non-cash item, and also the one-off integration costs The margins are stable with the normalized EBITDA margin at around 47%. This trend actually confirms that the integration is progressing smoothly and the synergy is already starting to flow through our financials numbers. Okay, move on. Now, this is maybe to give another explanation how do we calculate the normalized PAT, normalized profit after tax. In here, we are presenting both reported as well as the normalized EBITDA and PAT to provide a clear picture of the underlying performance during the integration period. The normalized figure already exclude one of items such as integration costs. number two is the accelerated depreciation which is related of course to network consolidation and then in Q3 2025 you can see that the reported EBITDA was 4.9 trillion rupiah with the normalization adding from rupiah 554 billion in integration expenses so it brings to the normalized EBITDA to around 5.4 trillion rupiah the reported PAT stood at the loss of rupiah 1.38 trillion, but after adjusting all these integration costs, accelerated depreciation and asset impairment, the normalized PAT become positive at 1.15 trillion rupiah. This approach basically to ensure if we want to compare with the previous year, So this is to show a better comparability and better to reflect the company operational performance. Okay, move on to the next slide. So let me now walk through on the cost structure, our operating expenses. So OPEX increased by 10% quarter on quarter and 66% year on year, reaching to 6.6 trillion rupiah in the third quarter 2025. This increase reflects the enlarged scale of our business because it's a consolidation of smart trend and Excel. So this is already including a higher infrastructures as well as the regulatory costs, as well as all the integration related activities. Of course, we remain disciplined on the cost management, ensuring that all the expenditures are tightly linked to the synergy realization and also creating long-term values. So that's the end of my presentation. I shall now hand over back to Parajit to provide the full year 2025 guidance as well as the closing remarks.

Sure, and thank you, Panthony. As Panthony mentioned, I'll talk about what's our guidance for 2025 whole year. Revenue is expected to grow broadly in line with the market. On a reported basis, growth is expected to be between 20 to 25% year on year. EBITDA margin will remain between low to mid 40s range, mid to 40% range. On CAPEX, the capitalized CAPEX is projected to be around 10 trillion rupees and I think it requires a bit of a clarification. This is not a reduction in the investment. If you remember, when we spoke last time, we spoke about a number close to 20 trillion. The orders which will be releasing to our vendors would be still close to that number. But what we'll be able to capitalize, which is put on air and start using and therefore capitalize would be a number which is close to 10 trillion rupee and that's the number which we are stating here the capitalized capex would be around 10 trillion rupee for this year synergy guidance last time when we spoke we gave a guidance of between 100 to 200 million dollars for this year this year we are revising it to the upward part of that guidance between 150 to 200 million us dollars it's driven by stronger than expected network and vendor efficiencies We also remain on track to achieve our full synergy potential of $300 to $400 million annually pre-tax once the integration is fully completed. And with this, our summary for the third quarter, 25 ends, and I hand it back to Chris to take it further.