Indosat's performance down

Jakarta (Antara News) - Telecommunication operator PT Indosat`s business performance over the past nine months has experienced a backward trend.

The declining trend was marked by downward gains in its net profit though its operational income was on the rise.

In the nine months to September 2006, Indosat`s net profit fell by about 9 percent to Rp927.169 billion from a year earlier, according to Indosat`s Financial Report to the Jakarta Stock Exchange here on Thursday.

As a result of the drop in net profit, earning per share (EPS) of the company also went down from Rp194.31 to Rp172.02.

In the meantime, its operational income only increased slightly by 1.44 percent to Rp8.871 trillion.

Much of the gains was fueled by the company`s cellular business which generated Rp6.64 trillion, multimedia, data communications and internet (MIDI) Rp1.41 trillion, and telecommunications Rp817.17 billion.

The declining performance implied that Indosat was being left behind by other telecommunications operators.

PT Telkom Indonesia, for example, in the third quarter of 2006, succeeded in booking a net profit of Rp9.222 trillion, up by 62 percent from a year before when it stood at Rp5.677 trillion.

PT Telkom`s income also rose from Rp30.154 trillion in the third quarter of 2005 to Rp37.2 trillion in the third quarter of 2006.

In the meantime, PT Excelcomindo Pratama (XL) in the third quarter of this year posted a net profit of Rp142 billion. XL suffered a net loss of Rp276.45 billion last year.

XL`s gross revenues in the third quarter of this year was Rp1.547 trillion, or an increase of 59 percent compared with the same period in 2005 when it was Rp972 billion.

PT Bakrie Telcom (BTEL), on the other hand, recorded a net profit of Rp52 billion in the third quarter of 2006. In the same period last year it suffered a loss of Rp112 billion. (*)
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