Data Adoption continues to drive revenue after XL, Axis Integration

Jakarta, Indonesia - PT XL Axiata Tbk announces its overall growth driven by Data, which is now considered as the fastest growing segment in the overall revenue of the company.

A stunning 11% increase in revenue was reviewed to be constant year-on-year. On the last quarter of 2014, Rp 17.6trillion revenue was reported to come from Data followed by Voice and SMS with 4% growth in each service respectively. Data remains to deliver strong growth as we see continued strong demand for data in Indonesia. This has led data contribution to our total usage revenue increased from 23% in the previous year to 28% this year. Data traffic grew 136% YoY with Data subscribers reached 31.2 million users or 53% of the total base. We have seen strong growth in our data smartphone users with a penetration of 25% of our total base and reached 14.6 million users as of the last quarter of 2014.

Extending XL’s successful Internet Unlimited package, XL launched Internet Super Unlimited which aims at new Data entry users and to stimulate further Data adoption. The package offers fair usage limits and allows early data users to experience Data before they move upwards to other data offerings to suit their data behavior and needs. Bundling packages with various handsets continued to see encouraging results with higher Data usage. XL continued to offer various bundling packages to attract customers using Data services with various handsets such as Nokia Lumia, HTC One Mini, Blackberry Z3, Samsung Galaxy Trend Lite and others. XL collaborated with Facebook and Ericsson to improve data customers experience for Facebook application in several areas. This is in line with XL’s commitment to deliver a consistently better Data experience for customers.

Another good news in the company’s internal affairs is its integration with Axis Capital Group. The integration of Axis has reached a significant milestone with the completion of the integration between XL and Axis well ahead of schedule. This is done through the successfully completion of the migration of billing system, integration of people, distribution as well as network and traffic migration.

The monetization of towers saw the sale of 3,500 towers to PT Solusi Tunas Pratama Tbk. with a consideration of Rp 5.6 trillion at an attractive valuation multiple and creating value to our shareholders. It will benefit XL to increase its focus on its core mobile services whilst optimizing its operations and costs. The proceeds will be used to repay XL’s outstanding debt and achieve an improved capital structure.

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