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TLK PT Telkom Indonesia

Filed: 28 Jun 21, 6:25am

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 6-K

REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13 a-16 OR 15d-16

UNDER THE SECURITIES EXCHANGE ACT OF 1934

For the month of March, 2021

Perusahaan Perseroan (Persero)

PT Telekomunikasi Indonesia Tbk

(Exact name of Registrant as specified in its charter)

Telecommunications Indonesia

(A state-owned public limited liability Company)

(Translation of registrant’s name into English)

Jl. Japati No. 1 Bandung 40133, Indonesia

(Address of principal executive office)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:

Form 20-F þ Form 40-F ¨

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):

Yes ¨ No þ

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):

Yes ¨ No þ


Perusahaan Perseroan (Persero)

PT Telekomunikasi Indonesia Tbk. and its subsidiaries

Consolidated financial statements

as of March 31, 2021 (unaudited) and for the three months period

then ended (unaudited)


Table of Content

Statement of the Board of Directors

regarding the Board of Director’s Responsibility for

Consolidated Financial Statements as of March 31, 2021

and for the three-months period ended (unaudited)

Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia Tbk and its Subsidiaries

On behalf of the Board of Directors, we undersigned:

1.

Name

:

Ririek Adriansyah

Business Address

:

Jl. Japati No.1 Bandung 40133

Address

:

Jl. Karang Tengah Raya Pertanian I/99 RT 005RW 004

Kelurahan Lebak Bulus, Kecamatan Cilandak, Jakarta Selatan

Phone

:

(022) 452 7101

Position

:

President Director

:

2.

Name

:

Heri Supriadi

Business Address

:

Jl. Japati No.1 Bandung 40133

Address

:

Jl. Rancamayar No. 18 RT001 RW 008

Kelurahan Gumuruh Kecamatan Batununggal, Bandung

Phone

:

(022) 452 7201/ 021 520 9824

Position

:

Director of Finance and Risk Management

We hereby state as follows:

1.

We are responsible for the preparation and presentation of the consolidated financial statement of PT Telekomunikasi Indonesia Tbk (the “Company”) and its subsidiaries;

2.

The Company and its subsidiaries’ consolidated financial statement have been prepared and presented in accordance with Indonesian financial accounting standards;

3.

All information has been fully and correctly disclosed in the Company and its subsidiaries’ consolidated financial statement;

4.

The Company and its subsidiaries’ consolidated financial statement do not contain false material information or facts, nor do they omit any material information or facts;

5.

We are responsible for the Company and its subsidiaries’ internal control system.

This statement is considered to be true and correct.

Jakarta, June 28, 2021

/s/ Ririek Adriansyah

Ririek Adriansyah

President Director

/s/ Heri Supriadi

Heri Supriadi

Director of Finance and Risk Management


PERUSAHAAN PERSEROAN (PERSERO)

PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES

CONSOLIDATED FINANCIAL STATEMENTS

AS OF MARCH 31, 2021 AND FOR THE THREE MONTHS PERIOD THEN ENDED

(UNAUDITED)

TABLE OF CONTENTS


Table of Content

These consolidated financial statements are originally issued in the Indonesian language.

PERUSAHAAN PERSEROAN (PERSERO)

PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

As of March 31, 2021 (unaudited) and December 31, 2020 (audited)

(Amounts in the tables expressed in billions of Indonesian Rupiah, unless otherwise stated)

Notes

March 31, 2021

    

December 31, 2020

ASSETS

CURRENT ASSETS

Cash and cash equivalents

3,33,38

31,729

20,589

Other current financial assets

4,33,38

1,198

1,303

Trade receivables

Related parties

5,33,38

1,473

1,644

Third parties

5

10,907

9,695

Contract assets

6,33,38

1,098

1,036

Other receivables

38

278

214

Inventories

7

901

983

Contract cost

9

531

454

Prepaid taxes

28a

2,863

3,170

Claim for tax refund

28b

745

854

Other current assets

8,33

6,340

6,561

Total Current Assets

58,063

46,503

NON-CURRENT ASSETS

Contract assets

6,33,38

209

203

Long-term investments in financial instruments

10,38

4,307

4,045

Long-term investments in associate

11

176

192

Contract cost

9

1,429

1,254

Property and equipment

12,36

159,887

160,923

Right of use assets

13

17,388

18,566

Intangible assets

15

6,941

6,846

Deferred tax assets - net

28f

3,533

3,578

Other non-current assets

14,28,33,38

5,915

4,833

Total Non-current Assets

199,785

200,440

TOTAL ASSETS

257,848

246,943

LIABILITIES AND EQUITY

CURRENT LIABILITIES

Trade payables

16,38

Related parties

33

874

928

Third parties

15,137

16,071

Contract liabilities

18a,33

7,223

7,834

Other payables

38

711

578

Taxes payable

28c

4,568

2,713

Accrued expenses

17,33,38

14,521

14,265

Customers deposits

33

2,500

2,024

Short-term bank loans

19a,33,38

12,191

9,934

Current maturities of long-term borrowings

19b,33,38

8,381

9,350

Current maturities of lease liabilities

13,38

6,451

5,396

Total Current Liabilities

72,557

69,093

NON-CURRENT LIABILITIES

Deferred tax liabilities - net

28f

692

561

Contract liabilities

18b,33

1,103

1,004

Long service award provisions

32

1,252

1,254

Pension benefits and other post-employment

benefits obligations

31

13,133

12,976

Long-term loans and other borrowings

20,33,38

33,418

30,561

Lease liabilities

13,38

7,567

10,221

Other liabilities

228

384

Total Non-current Liabilites

57,393

56,961

TOTAL LIABILITIES

129,950

126,054

EQUITY

Capital stock

22

4,953

4,953

Additional paid-in capital

2,711

2,711

Other equity

23

467

374

Retained earnings

Appropriated

30

15,337

15,337

Unappropriated

85,165

79,152

Net equity attributable to:

Owners of the parent company

108,633

102,527

Non-controlling interest

21

19,265

18,362

TOTAL EQUITY

127,898

120,889

TOTAL LIABILITIES AND EQUITY

257,848

246,943

The accompanying notes form an integral part of these consolidated financial statements.

1


Table of Content

These consolidated financial statements are originally issued in the Indonesian language.

PERUSAHAAN PERSEROAN (PERSERO)

PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES

CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND COMPREHENSIVE INCOME

For the Three Months Period Ended March 31, 2021 and 2020 (unaudited)

(Amounts in the tables expressed in billions of Indonesian Rupiah, unless otherwise stated)

Notes

2021

2020

REVENUES

24,33

33,945

34,194

COST AND EXPENSES

Operation, maintenance, and telecommunication

service expenses

26,33

(8,452)

(8,252)

Depreciation and amortization expenses

12,13,15

(7,286)

(6,849)

Personnel expenses

25

(3,500)

(3,451)

Interconnection expenses

33

(1,136)

(1,519)

General and administrative expenses

27,33

(1,293)

(1,572)

Marketing expenses

33

(755)

(641)

Gain on foreign exchange - net

78

205

Other income (expenses) - net

98

(186)

OPERATING PROFIT

11,699

11,929

Finance income

33

153

219

Finance cost

33

(982)

(1,215)

Share of loss of associated companies - net

11

(54)

(9)

PROFIT BEFORE INCOME TAX

10,816

10,924

INCOME TAX (EXPENSE) BENEFIT

28d

Current

(2,243)

(2,831)

Deferred

(186)

208

(2,429)

(2,623)

PROFIT FOR THE PERIOD

8,387

8,301

OTHER COMPREHENSIVE INCOME (LOSS)

Other comprehensive income to be reclassified to profit

or loss in subsequent periods:

Foreign currency translation

23

93

419

Share of other comprehensive income of associated companies

11

-

4

Other comprehensive income not to be reclassified to profit

or loss in subsequent periods:

Defined benefit actuarial losses - net

31

(1)

-

Other comprehensive income - net

92

423

TOTAL COMPREHENSIVE INCOME FOR THE PERIOD

8,479

8,724

Profit for the period attributable to:

Owners of the parent company

6,014

5,862

Non-controlling interests

21

2,373

2,439

8,387

8,301

Total comprehensive income for the period attributable to:

Owners of the parent company

6,106

6,285

Non-controlling interests

2,373

2,439

8,479

8,724

BASIC EARNING PER SHARE

(in full amount)

29

Net income per share

60.71

59.17

Net income per ADS (100 Series B shares per ADS)

6,070.93

5,917.49

The accompanying notes form an integral part of these consolidated financial statements.

2


Table of Content

These consolidated financial statements are originally issued in the Indonesian language.

PERUSAHAAN PERSEROAN (PERSERO)

PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

For the Three Months Period Ended March 31, 2021 and 2020 (unaudited)

(Amounts in the tables expressed in billions of Indonesian Rupiah, unless otherwise stated)

Attributable to owners of the parent company

Retained earnings

Description

Notes

Capital stock

Additional paid-in capital

Other equity

Appropriated

Unappropriated

Net

Non-controlling interests

Total equity

Balance, January 1, 2021

4,953

2,711

374

15,337

79,152

102,527

18,362

120,889

Transaction under common control

-

-

-

-

-

-

-

-

Adjustment of non-controlling interest

-

-

-

-

-

-

(70)

(70)

Cash dividends

30

-

-

-

-

-

-

(1,400)

(1,400)

Profit for the period

21

-

-

-

-

6,014

6,014

2,373

8,387

Other comprehensive income

-

-

93

-

(1)

92

-

92

Balance, March 31, 2021

4,953

2,711

467

15,337

85,165

108,633

19,265

127,898

The accompanying notes form an integral part of these consolidated financial statements.

3


PERUSAHAAN PERSEROAN (PERSERO)

PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

For the Three Months Period Ended March 31, 2021 and 2020 (unaudited)

(Amounts in the tables expressed in billions of Indonesian Rupiah, unless otherwise stated)

Attributable to owners of the parent company

Retained earnings

Description

Notes

Capital stock

Additional paid-in capital

Other equity

Appropriated

Unappropriated

Net

Non-controlling interests

Total equity

Balance, December 31, 2019

4,953

2,711

408

15,337

76,152

99,561

17,689

117,250

The impact of applying new accounting standards

-

-

(48)

-

649

601

(47)

554

Balance, January 1, 2020

4,953

2,711

360

15,337

76,801

100,162

17,642

117,804

Adjustment of non-controlling interest

-

-

-

-

-

-

69

69

Cash dividends

30

-

-

-

-

-

-

(50)

(50)

Profit for the period

21

-

-

-

-

5,862

5,862

2,439

8,301

Other comprehensive income

-

-

419

-

4

423

-

423

Balance, March 31, 2020

4,953

2,711

779

15,337

82,667

106,447

20,100

126,547

The accompanying notes to the consolidated financial statements, form an integral part ofthese consolidated financial statements taken as a whole.

4


Table of Content

These consolidated financial statements are originally issued in the Indonesian language.

PERUSAHAAN PERSEROAN (PERSERO)

PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES

CONSOLIDATED STATEMENT OF CASH FLOWS

For the Three Months Period Ended March 31, 2021 and 2020 (unaudited)

(Amounts in the tables expressed in billions of Indonesian Rupiah, unless otherwise stated)

Notes

2021

2020

CASH FLOWS FROM OPERATING ACTIVITIES

Cash receipts from customers and other operators

32,141

29,273

Cash receipts for tax refund

650

1,816

Cash receipts from finance income

153

209

Cash payments for expenses

(9,070)

(8,625)

Cash payments for corporate and final income taxes

(735)

(1,364)

Cash payments to employees

(2,534)

(2,492)

Cash payments for finance costs

(1,080)

(1,229)

Cash payments for short-term and low-value lease asset

13

(1,007)

(909)

Cash receipts (payments) for Value Added Taxes - net

(477)

365

Cash receipts (payments) from others - net

(608)

559

Net cash provided by operating activities

17,433

17,603

CASH FLOWS FROM INVESTING ACTIVITIES

Proceeds from sale of property and equipment

12

147

45

Proceeds from insurance claims

12

85

3

Dividen received from associated company

11

-

5

Purchase of property and equipment

12,40

(5,974)

(4,051)

Purchase of long-term investment in financial instrument

10

(301)

(52)

Purchase of intangible assets

15,40

(606)

(736)

Proceeds from (placement in) other current financial assets - net

102

(411)

Additional contribution on long-term investments in associates

11

(42)

-

Decrease (increase) in advances and other assets

(174)

108

Net cash used in investing activities

(6,763)

(5,089)

CASH FLOWS FROM FINANCING ACTIVITIES

Proceeds from loans and other borrowings

19,20

10,112

1,533

Repayments of loan and other borrowings

19,20

(5,979)

(6,064)

Cash dividends paid to non-controlling interests of subsidiaries

21

(1,400)

(50)

Repayment of principal portion of lease liabilities

13

(2,366)

(2,269)

Net cash used in financing activities

367

(6,850)

NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS

11,037

5,664

EFFECT OF EXCHANGE RATE CHANGES ON CASH AND

CASH EQUIVALENTS

103

459

EXPECTED CREDIT LOSSES

(0)

(0)

CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR

3

20,589

18,242

CASH AND CASH EQUIVALENTS AT END OF YEAR

3

31,729

24,365

The accompanying notes form an integral part of these consolidated financial statements.

5


Table of Content

These consolidated financial statements are originally issued in the Indonesian language.

PERUSAHAAN PERSEROAN (PERSERO)

PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the Three Months Period Ended March 31, 2021 and 2020 (unaudited)

(Amounts in the tables expressed in billions of Indonesian Rupiah, unless otherwise stated)

1.

GENERAL

a.Establishment and general information

Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia Tbk. (the “Company”) was originally part of “Post en Telegraafdienst”, which was established and operated commercially in 1884 under the framework of Decree No. 7 dated March 27, 1884 of the Governor General of the Dutch Indies. Decree No. 7 was published in State Gazette No. 52 dated April 3, 1884.

In 1991, the status of the Company was changed into a state-owned limited liability corporation (“Persero”) based on Government Regulation No. 25/1991. The ultimate parent of the Company is the Government of the Republic of Indonesia (the “Government”) (Notes 1c and 22).

The Company was established based on notarial deed No. 128 dated September 24, 1991 of Imas Fatimah, S.H. The deed of establishment was approved by the Ministry of Justice of the Republic of Indonesia in its Decision Letter No. C2-6870.HT.01.01.Th.1991 dated November 19, 1991 and was published in State Gazette No. 5 dated January 17, 1992, Supplement No. 210. The Company's Articles of Association have been amended several times, in 2019 changes were made to adjust the Company’s business activities based on the Indonesian Standard Business Classification (“KBLI”) and to increase the flexibility and independence of the Board of Commissioners in approving the Directors’ actions at a certain threshold as stated in notarial deeds No. 32 dated June 21, 2019 of Ashoya Ratam, S.H., M.Kn. Such amendments were accepted and approved by the Ministry of Law and Human Rights of the Republic of Indonesia (“MoLHR”) in its letter No. AHU-0032595.AH.01.02 dated June 24, 2019.

In 2020, the Company, in accordance with its Articles of Association, amended its Company name to Limited Liability Company (Persero) PT Telekomunikasi Indonesia Tbk. or abbreviated as PT Telkom Indonesia (Persero) Tbk. in the Indonesia Stock Exchange.

At the 2019 Anuual General Meeting (“AGM”) of Stockholders of the Company, the Company made changes to the composition of the Company's management, as stated in the notarial Deed No. 12 dated July 10, 2020 of Ashoya Ratam, S.H., Mkn.. The change in the composition of the management has been received by the MoLHR in its letter No. AHU-AH. 01.03-0291419 dated July 16, 2020.

In accordance with Article 3 of the Company’s Articles of Association, the scope of its activities is to provide telecommunication network and telecommunication and information services, and to optimize the Company’s resources to provide high quality and competitive goods and/or services to gain/pursue profit in order to increase the value of the Company with applied the Limited Company principle. In regard to achieving its objectives, the Company is involved in the following activities:

i. Main business:

(a)  Planning, building, providing, developing, operating, marketing or selling or leasing, and maintaining telecommunications and information networks in a broad sense in accordance with prevailing regulations.

(b)

Planning, developing, providing, marketing or selling, and improving telecommunications and information services in a broad sense in accordance with prevailing regulations.

(c)

Investing including equity capital in other companies in line with achieving the purposes and objectives of the Company.

ii. Supporting business:

(a)

Providing payment transactions and money transferring services through telecommunications and information networks.

(b)  Performing activities and other undertakings in connection with the optimization of the Company's resources, which among others, include the utilization of the Company's property and equipment and moving assets, information systems, education and training, repairs and maintenance facilities.

(c)  Collaborating with other parties in order to optimize the information, communication or technology resources owned by other parties as service provider in information, communication and technology industry as to achieve the purposes and objectives of the Company.

6


Table of Content

These consolidated financial statements are originally issued in the Indonesian language.

PERUSAHAAN PERSEROAN (PERSERO)

PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the Three Months Period Ended March 31, 2021 and 2020 (unaudited)

(Amounts in the tables expressed in billions of Indonesian Rupiah, unless otherwise stated)

1.

GENERAL (continued)

a.Establishment and general information (continued)

The Company’s head office is located at Jalan Japati No. 1, Bandung, West Java.

The Company was granted several networks and/or services licenses by the Government which are valid for an unlimited period of time as long as the Company complies with prevailing laws and fulfills the obligation stated in those licenses. For every license issued by the Ministry of Communication and Information (“MoCI”), an evaluation is performed annually and an overall evaluation is performed every five years. The Company is obliged to submit reports of networks and/or services annually to the Indonesian Directorate General of Post and Informatics (“DGPI”), which replaced the previous Indonesian Directorate General of Post and Telecommunications (“DGPT”).

The reports comprise information such as network development progress, service quality standard achievement, numbers of customers, license payment, and universal service contribution, while for internet telephone services for public purpose, internet interconnection service, and internet access service, there is additional information required such as operational performance, customer segmentation, traffic, and gross revenue.

Details of these licenses are as follows:

License

License No.

Type of services

Grant date/latest renewal date

License of electronic money issuer

Bank Indonesia License No. 11/432/DASP

Electronic money

July 3, 2009

License of money remittance

Bank Indonesia License No. 11/23/bd/8

Money remittance service

August 5, 2009

License to operate internet telephone services for public purpose

127/KEP/DJPPI/ KOMINFO/3/2016

Internet telephone services for public purpose

March 30, 2016

License to operate fixed domestic long distance network

839/KEP/M.KOMINFO/ 05/2016

Fixed domestic long distance and basic telephone services network

May 16, 2016

License to operate fixed closed network

844/KEP/M.KOMINFO/ 05/2016

Fixed closed network

May 16, 2016

License to operate fixed international network

846/KEP/M.KOMINFO/ 05/2016

Fixed international and basic telephone services network

May 16, 2016

License to operate circuit switched based local fixed line network

948/KEP/M.KOMINFO/ 05/2016

Circuit switched based local fixed line network

May 31, 2016

License to operate data communication system services

191/KEP/DJPPI/ KOMINFO/10/2016

Data communication system services

October 31, 2016

License to operate internet service provider

2176/KEP/M.KOMINFO/ 12/2016

Internet service provider

December 30, 2016

License to operate content service provider

1040/KEP/M.KOMINFO/ 16/2017

Content service provider

May 16, 2017

License for the implementation of internet interconnection services

1004/KEP/M.KOMINFO/ 2018

Interconnection services

December 26, 2018

7


Table of Content

These consolidated financial statements are originally issued in the Indonesian language.

PERUSAHAAN PERSEROAN (PERSERO)

PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the Three Months Period Ended March 31, 2021 and 2020 (unaudited)

(Amounts in the tables expressed in billions of Indonesian Rupiah, unless otherwise stated)

1.

GENERAL (continued)

b.

Company’s Board of Commissioners, Directors, Audit Committee, Corporate Secretary, Internal Audit, and Employees

i.Board of Commissioners and Directors

Based on resolutions made at AGM of Stockholders of the Company as covered by notarial deed No. 12 of Ashoya Ratam., S.H., M.Kn., dated July 10, 2020, the composition of the Company’s Boards of Commissioners and Directors as of March 31 2021, and December 31, 2020, respectively, were as follows:

March 31, 2021

December 31, 2020

President Commissioner/

Independent Commissioner

Rhenald Kasali

Rhenald Kasali

Commissioner

Alex Denni

Alex Denni

Commissioner

Rizal Mallarangeng

Rizal Mallarangeng

Commissioner

Ahmad Fikri Assegaf

Ahmad Fikri Assegaf

Commissioner

Ismail

Ismail

Commissioner

Marcelino Rumambo Pandin

Marcelino Rumambo Pandin

Independent Commissioner

Marsudi Wahyu Kisworo

Marsudi Wahyu Kisworo

Independent Commissioner

Wawan Iriawan

Wawan Iriawan

Independent Commissioner

Chandra Arie Setiawan

Chandra Arie Setiawan

President Director

Ririek Adriansyah

Ririek Adriansyah

Director of Finance

Heri Supriadi

Heri Supriadi

Director of Digital Business

Muhamad Fajrin Rasyid

Muhamad Fajrin Rasyid

Director of Strategic Portfolio

Budi Setyawan Wijaya

Budi Setyawan Wijaya

Director of Enterprise and Business

Service

Edi Witjara

Edi Witjara

Director of Wholesale and

International Services

Dian Rachmawan

Dian Rachmawan

Director of Human Capital

Management

Afriwandi

Afriwandi

Director of Network, Information

Technology and Solution

Herlan Wijanarko

Herlan Wijanarko

Director of Consumer Service

FM Venusiana R

FM Venusiana R

ii.Audit Committee, Corporate Secretary, and Internal Audit

The composition of the Company’s Audit Committee, Corporate Secretary, and Internal Audit as of March 31 2021, and December 31, 2020, were as follows:

March 31, 2021

December 31, 2020

Chairman

Chandra Arie Setiawan

Chandra Arie Setiawan

Member

Marsudi Wahyu Kisworo

Marsudi Wahyu Kisworo

Member

Wawan Iriawan

Wawan Iriawan

Member

Marcelino Rumambo Pandin

Marcelino Rumambo Pandin

Member

Sarimin Mietra Sardi

Sarimin Mietra Sardi

Member

Ahmad Fikri Assegaf

Ahmad Fikri Assegaf

Member

Emmanuel Bambang Suyitno

Emmanuel Bambang Suyitno

Corporate Secretary

Andi Setiawan

Andi Setiawan

Internal Audit

Harry Suseno Hadisoebroto

Harry Suseno Hadisoebroto

iii.Employees

As of March 31 2021, and December 31, 2020, the Company and subsidiaries (“Group”) had 24,276 employees and 25,348 employees, respectively.

8


Table of Content

These consolidated financial statements are originally issued in the Indonesian language.

PERUSAHAAN PERSEROAN (PERSERO)

PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the Three Months Period Ended March 31, 2021 and 2020 (unaudited)

(Amounts in the tables expressed in billions of Indonesian Rupiah, unless otherwise stated)

1.

GENERAL (continued)

c.Public offering of securities of the Company

The Company’s shares prior to its Initial Public Offering (“IPO”) totalled 8,400,000,000, consisting of 8,399,999,999 Series B shares and 1 Series A Dwiwarna share, and were wholly-owned by the Government. On November 14, 1995, 933,333,000 new Series B shares and 233,334,000 Series B shares owned by the Government were offered to the public through an IPO and listed on the Indonesia Stock Exchange (“IDX”) and 700,000,000 Series B shares owned by the Government were offered to the public and listed on the New York Stock Exchange (“NYSE”) and the London Stock Exchange (“LSE”), in the form of American Depositary Shares (“ADS”). There were 35,000,000 ADS and each ADS represented 20 Series B shares at that time.

In December 1996, the Government had a block sale of its 388,000,000 Series B shares, and in 1997, distributed 2,670,300 Series B shares as incentive to the Company’s stockholders who did not sell their shares within one year from the date of the IPO. In May 1999, the Government further sold 898,000,000 Series B shares.

To comply with Law No. 1/1995 on Limited Liability Companies, at the AGM of Stockholders of the Company on April 16, 1999, the Company’s stockholders resolved to increase the Company’s issued share capital by the distribution of 746,666,640 bonus shares through the capitalization of certain additional paid-in capital, which was made to the Company’s stockholders in August 1999. On August 16, 2007, Law No. 1/1995 on Limited Liability Companies was amended by the issuance of Law No. 40/2007 on Limited Liability Companies which became effective on the same date. Law No. 40/2007 has no effect on the public offering of shares of the Company. The Company has complied with Law No. 40/2007.

In December 2001, the Government had another block sale of 1,200,000,000 shares or 11.9% of the total outstanding Series B shares. In July 2002, the Government further sold a block of 312,000,000 shares or 3.1% of the total outstanding Series B shares.

At the AGM of Stockholders of the Company held on July 30, 2004, the minutes of which are covered by notarial deed No. 26 of A. Partomuan Pohan, S.H., LLM., the Company’s stockholders approved the Company’s 2-for-1 stock split for Series A Dwiwarna and Series B share. The Series A Dwiwarna share with par value of Rp500 per share was split into 1 Series A Dwiwarna share with par value of Rp250 per share and 1 Series B share with par value of Rp250 per share. The stock split resulted in an increase of the Company’s authorized capital stock from 1 Series A Dwiwarna share and 39,999,999,999 Series B shares to 1 Series A Dwiwarna share and 79,999,999,999 Series B shares, and the issued capital stock from 1 Series A Dwiwarna share and 10,079,999,639 Series B shares to 1 Series A Dwiwarna share and 20,159,999,279 Series B shares. After the stock split, each ADS represented 40 Series B shares.

During the Extraordinary General Meeting (“EGM”) held on December 21, 2005 and the AGMs held on June 29, 2007, June 20, 2008, and May 19, 2011, the Company’s stockholders approved phase I, II, III, and IV plan, respectively, of the Company’s program to repurchase its issued Series B shares.

During the period December 21, 2005 to June 20, 2007, the Company had bought back 211,290,500 shares from the public (stock repurchase program phase I). On July 30, 2013, the Company has sold all such shares.

At the AGM held on April 19, 2013 as covered by notarial deed No. 38 dated April 19, 2013 of Ashoya Ratam, S.H., M.Kn., the stockholders approved the changes to the Company’s plan on the treasury stock acquired under phase III.

9


Table of Content

These consolidated financial statements are originally issued in the Indonesian language.

PERUSAHAAN PERSEROAN (PERSERO)

PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the Three Months Period Ended March 31, 2021 and 2020 (unaudited)

(Amounts in the tables expressed in billions of Indonesian Rupiah, unless otherwise stated)

1.

GENERAL (continued)

c.Public offering of securities of the Company (continued)

At the AGM held on April 19, 2013, the minutes of which were covered by notarial deed No. 38 of Ashoya Ratam, S.H., M.Kn., the stockholders approved the Company’s 5-for-1 stock split for Series A Dwiwarna and Series B shares. Series A Dwiwarna share with par value of Rp250 per share was split into 1 Series A Dwiwarna share with par value of Rp50 per share and 4 Series B shares with par value of Rp50 per share. The stock split resulted in an increase of the Company’s authorized capital stock from 1 Series A Dwiwarna and 79,999,999,999 Series B shares to 1 Series A Dwiwarna and 399,999,999,999 Series B shares. The issued capital stock increase from 1 Series A Dwiwarna and 20,159,999,279 Series B shares to 1 Series A Dwiwarna and 100,799,996,399 Series B shares. After the stock split, each ADS represented 200 Series B shares. Effective from October 26, 2016, the Company change the ratio of Depositary Receipt from 1 ADS representing 200 series B shares to become 1 ADS representing 100 series B shares (Note 22). Profit per ADS information have been retrospectively adjusted to reflect the changes in the ratio of ADS.

On May 16 and June 5, 2014, the Company deregistered from Tokyo Stock Exchange (“TSE”) and delisted from the LSE, respectively.

As of March 31, 2021, all of the Company’s Series B shares are listed on the IDX and 38,161,127 ADS shares are listed on the NYSE (Note 22).

On June 16, 2015, the Company issued Continuous Bonds I Telkom Phase I 2015, with a nominal amount Rp2,200 billion for Series A, a seven-year period, Rp2,100 billion for Series B, a ten-year period, Rp1,200 billion for Series C, a fifteen-year period and Rp1,500 billion for Series D, a thirty-year period, respectively which are listed on the IDX (Note 20b.i).

On December 21, 2015, the Company sold the remaining shares of treasury shares phase III.

On June 29, 2016, the Company sold the treasury shares phase IV.

At the AGM held on April 27, 2018, which were covered by notarial deed No. 54 of Ashoya Ratam, S.H., M.Kn., the stockholders approved for cancellation 1,737,779,800 shares of treasury stock by reduced the Company’s capital stock.

10


Table of Content

These consolidated financial statements are originally issued in the Indonesian language.

PERUSAHAAN PERSEROAN (PERSERO)

PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the Three Months Period Ended March 31, 2021 and 2020 (unaudited)

(Amounts in the tables expressed in billions of Indonesian Rupiah, unless otherwise stated)

1.

GENERAL (continued)

d.Subsidiaries

As of March 31, 2021 and December 31, 2020, the Company has consolidated the following directly or indirectly owned subsidiaries (Notes 2b and 2d):

i.  Direct subsidiaries:

Total assets before

Nature of business/date of

Year of start

Percentage of ownership*

elimination

Subsidiary/place of

   

Incorporation or acquisition

   

of commercial

 

March 31,

December 31,

March 31,

December 31,

incorporation

by the Company

operations

2021

2020

2021

2020

PT Telekomunikasi

Telecommunication - provides

1995

65

65

107,596

103,652

Selular

telecommunication facilities

("Telkomsel"),

and mobile celuller

Jakarta, Indonesia

services using Global

Systems for Mobile

Communication ("GSM")

technology/

May 26, 1995

PT Dayamitra

Telecommunication/

1995

100

100

37,868

25,368

Telekomunikasi

May 17, 2001

("Dayamitra"),

Jakarta, Indonesia

PT Multimedia

Network telecommunication

1998

100

100

17,545

17,708

Nusantara

services and multimedia/

("Metra"),

May 9, 2003

Jakarta, Indonesia

PT Telekomunikasi

Telecommunication/

1995

100

100

12,504

12,187

Indonesia International

July 31, 2003

(“TII”),

Jakarta, Indonesia

PT Graha Sarana Duta

Leasing of offices and

1982

100

100

6,115

6,163

("GSD"),

providing building

Jakarta, Indonesia

management and

maintenance services, civil

consultant and developer/

April 25, 2001

PT Telkom Satelit

Telecomunication - provides

1996

100

100

4,945

4,484

Indonesia

satellite communication

("Telkomsat"),

system, services and

Jakarta, Indonesia

facilities/

September 28, 1995

PT Telkom Akses

Construction, service and

2013

100

100

3,962

4,154

(“Telkom Akses”),

trade in the field of

Jakarta, Indonesia

telecommunication/

November 26, 2012

PT PINS Indonesia

Telecommunication

1995

100

100

1,653

1,868

(“PINS”),

construction and services/

Jakarta, Indonesia

August 15, 2002

PT Metra-Net

Multimedia portal service/

2009

100

100

1,549

1,320

(“Metra-Net”),

April 17, 2009

Jakarta, Indonesia

*Percentage of ownership amounting to 99.99% is presented with rounding 100%.

11


Table of Content

These consolidated financial statements are originally issued in the Indonesian language.

PERUSAHAAN PERSEROAN (PERSERO)

PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the Three Months Period Ended March 31, 2021 and 2020 (unaudited)

(Amounts in the tables expressed in billions of Indonesian Rupiah, unless otherwise stated)

1.GENERAL (continued)

d.Subsidiaries (continued)

i.  Direct subsidiaries (continued):

Total assets before

Nature of business/date of

Year of start

Percentage of ownership*

elimination

Subsidiary/place of

   

Incorporation or acquisition

   

of commercial

 

March 31,

December 31,

March 31,

December 31,

incorporation

by the Company

operations

2021

2020

2021

2020

PT Infrastruktur

Construction, service and

2014

100

100

1,119

1,074

Telekomunikasi

trade in the field of

Indonesia

telecommunication/

(“Telkom Infratel”),

January 16, 2014

Jakarta, Indonesia

PT Napsindo Primatel

Telecommunication -

1999; ceased

60

60

5

5

Internasional

provides Network Access

operations on

(“Napsindo”),

Point (NAP), Voice Over

January 13,

Jakarta, Indonesia

Data (VOD) and other

2006

related services/

December 29, 1998

*Percentage of ownership amounting to 99.99% is presented with rounding 100%.

ii.  Indirect subsidiaries:

Total assets before

Nature of business/date of

Year of start

Percentage of ownership*

elimination

Subsidiary/place of

   

Incorporation or acquisition

   

of commercial

 

March 31,

December 31,

March 31,

December 31,

incorporation

by the Company

operations

2021

2020

2021

2020

PT Sigma Cipta Caraka

Information technology

1988

100

100

5,765

6,031

(“Sigma”),

service - system

Tangerang, Indonesia

implementation and

integration service,

outsourcing and software

license maintenance/

May 1,1987

PT Metra Digital

Trading and/or providing

2013

100

100

3,450

3,461

Investama

service related to

(“MDI”),

information and

Jakarta, Indonesia

tehnology, multimedia,

entertainment and

investment/

January 8, 2013

Telekomunikasi

Telecommunication/

2008

100

100

3,434

3,320

Indonesia

December 6, 2007

International Pte. Ltd.,

("Telin Singapore"),

Singapore

Telekomunikasi

Telecommunication/

2010

100

100

3,106

2,652

Indonesia

December 8, 2010

International Ltd,

("Telin Hong Kong"),

Hong Kong

PT Infomedia Nusantara

Data and information

1984

100

100

2,522

2,390

(“Infomedia”),

service - provides

Jakarta, Indonesia

telecommunication

information services and

other information services

in the form of print and

electronic media and call

center services/

September 22,1999

PT Telkom Landmark

Service for property

2012

55

55

2,261

2,204

Tower

development and

(“TLT”),

management/

Jakarta, Indonesia

February 1, 2012

PT Metra Digital

Directory information

2013

100

100

1,390

1,115

Media

services/

(“MD Media”),

January 22, 2013

Jakarta, Indonesia

*Percentage of ownership amounting to 99.99% is presented with rounding 100%.

12


Table of Content

These consolidated financial statements are originally issued in the Indonesian language.

PERUSAHAAN PERSEROAN (PERSERO)

PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the Three Months Period Ended March 31, 2021 and 2020 (unaudited)

(Amounts in the tables expressed in billions of Indonesian Rupiah, unless otherwise stated)

1.GENERAL (continued)

d.Subsidiaries (continued)

ii.  Indirect subsidiaries (continued):

Total assets before

Nature of business/date of

Year of start

Percentage of ownership*

elimination

Subsidiary/place of

   

Incorporation or acquisition

   

of commercial

 

March 31,

December 31,

March 31,

December 31,

incorporation

by the Company

operations

2021

2020

2021

2020

PT Finnet Indonesia

Information technology

2006

60

60

1,305

1,371

(“Finnet”),

services/

Jakarta, Indonesia

October 31, 2005

PT Melon

Digital content exchange

2010

100

100

1,126

848

(“Melon”),

hub services/

Jakarta, Indonesia

November 14, 2016

PT Persada Sokka

Providing telecommunication

2008

95

95

888

824

Tama

network infrastucture/

("PST"),

February 19, 2019

Jakarta, Indonesia

Telekomunikasi

Telecommunication/

2012

100

100

780

719

Indonesia

September 11, 2012

International

(“Telin TL”) S.A.,

Dili, Timor Leste

TS Global Network

Satellite services/

1996

70

70

641

669

Sdn. Bhd.

December 14, 2017

(“TSGN”),

Petaling Jaya,

Malaysia

PT Telkomsel Mitra

Bussiness management

2019

100

100

594

594

Inovasi

consulting and capital

(“TMI”),

venture services/

Jakarta, Indonesia

January 18, 2019

PT Swadharma

System Integrator Services/

2001

51

51

567

577

Sarana

April 2, 2018

Informatika

(“SSI”),

Jakarta, Indonesia

PT Administrasi

Health insurance

2002

100

100

529

480

Medika

administration services/

(“Ad Medika”),

February 25, 2010

Jakarta, Indonesia

PT Nusantara

Service and trading/

2014

100

100

312

316

Sukses Investasi

September 1, 2014

(“NSI”),

Jakarta, Indonesia

PT Graha Yasa

Tourism service/

2012

51

51

287

289

Selaras

April 27, 2012

(”GYS”),

Jakarta, Indonesia

PT Nutech Integrasi

System integrator/

2001

60

60

155

137

(“Nutech”),

December 13, 2017

Jakarta, Indonesia

*Percentage of ownership amounting to 99.99% is presented with rounding 100%.

13


Table of Content

These consolidated financial statements are originally issued in the Indonesian language.

PERUSAHAAN PERSEROAN (PERSERO)

PT TELEKOMUNIKASI INDONESIA Tbk. AND ITS SUBSIDIARIES

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

For the Three Months Period Ended March 31, 2021 and 2020 (unaudited)

(Amounts in the tables expressed in billions of Indonesian Rupiah, unless otherwise stated)

1.GENERAL (continued)

d.Subsidiaries (continued)

ii.  Indirect subsidiaries (continued):

Total assets before

Nature of business/date of

Year of start

Percentage of ownership*

elimination

Subsidiary/place of

   

Incorporation or acquisition

   

of commercial

 

March 31,

December 31,

March 31,

December 31,

incorporation

by the Company

operations

2021

2020

2021

2020

Telekomunikasi

Telecomunication

2014

100

100

110

115

Indonesia

December 11, 2013

International Inc.,

(“Telkom USA”),

Los Angeles, USA

Telekomunikasi

Telecommunication/

2013

100

100

105

88

Indonesia

January 9, 2013

International Pty Ltd,

(“Telkom Australia”),

Sydney, Australia

PT Metraplasa

Network & e-commerce

2012

60

60

84

260

(“Metraplasa”),

services/

Jakarta, Indonesia

April 9, 2012

Telekomunikasi

Telecommunication/

2013

70

70

35

39

Indonesia Intl

July 2, 2013

(Malaysia) Sdn. Bhd

(“Telin Malaysia”),

Malaysia

PT Satelit  

Satellite services/

2013

100

100

9

14

Multimedia

March 25, 2013

Indonesia

(“SMI”),