TM earlier today has released its financial report for the third quarter of 2018 which took place from 1 July till 30 September this year. In general, the outlook doesn’t look too good for the company in terms of quarterly basis as it reported a loss of RM 175.6 million for this quarter.
Apparently, this is the first time in 10 years that TM has faced a quarterly loss. The main reason behind the loss is rather intriguing though as it comes in the form of RM 934.8 million impairment of network assets.
These assets apparently inclusive of both fixed and wireless network although TM didn’t provide the specific breakdown of these assets in its quarterly financial report. That being said, the report did point out that RM 808.3 million worth of the said network assets belonged to the company’s unifi division.
According to the media release that accompanied the financial report, the newly appointed Acting Group CEO of TM, Imri Mokhtar stated that the company has decided to undertake the impairment of its network assets due to continuous pressure from challenging business, industry, and economic conditions.
This came as no surprise though since TM is expecting that the Mandatory Standard on Access Pricing that was implemented earlier this year will continue to have a major impact on the company at least as far as the current financial year is concerned.
Nevertheless, we are still rather curious to know more about the impairment of the network assets though. Hence, we are now reaching out to TM to see whether the company is able to disclose the exact breakdown of the affected assets. So, stay tuned.