The following is excerpted from the question-and-answer section of the transcript.
(Questions from industry analysts are provided in full, but answers are omitted - download the transcript to see the full question-and-answer session)
Question: Choong Chen Foong - CIMB Research - Analyst
: Three questions for me. Firstly, could you give us an update on the competition in the market? From your peers' previous conference calls, some
of them were saying that some of the smaller players in the market were launching unlimited packages. And there seems to be a bit more
aggressiveness in the last month or so. Could you perhaps comment a little bit on that, whether you see that as a change in the market competition
dynamics?
Secondly, on the CapEx side, just to follow up on the previous participant's question. On the CapEx, previously the plan was to spend about $2
billion over the next 3 years to sort of build back the network position for Indosat. Is that still a valid plan for you guys? Or is there -- has there been
a change going forward?
And thirdly, regarding the data yield, right now for Indosat, it's the lowest among the big 3. Are you comfortable with that difference in terms of
the data yield? Or how do you intend to position this going forward? Yes, those are my three questions.
Question: Choong Chen Foong - CIMB Research - Analyst
: Okay. Can I just quickly follow up on the CapEx question? Is it fair to say that this year's CapEx for Indosat is being spent to upgrade the network's
existing strongholds and that in terms of expansion into ex Java coverage, we'll be looking at that maybe only in 2020 or 2021?
Question: Pranuj Shah - JP Morgan Chase & Co, Research Division - Analyst
: A couple of questions from my side. First one, there's a diversion between your cash CapEx and the indicated CapEx level. In 2018, it was around
IDR 4 trillion and even in 1H '19, it's IDR 1 trillion. So could you please explain this difference? Is there any sort of vendor financing? And when will
you have to make those payments? And the second question, could you please explain your -- how much your EBITDA growth would have been
if you adjust for lease accounting?
Question: Pranuj Shah - JP Morgan Chase & Co, Research Division - Analyst
: Yes. The second question was how much your EBITDA growth would have been if you adjust for the lease accounting or changes in the accounting
treatment?
Question: Pranuj Shah - JP Morgan Chase & Co, Research Division - Analyst
: Okay. And just one follow-up. You mentioned that you have 1 year to make those payments for CapEx. So I'm assuming the IDR 5 trillion that
additional -- the difference between the committed and the spent CapEx, you will be -- you will have to pay that within the next year?
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AUGUST 06, 2019 / 9:00AM, ISAT.JK - Half Year 2019 Indosat Tbk PT Earnings Call
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