Telekom Malaysia Bhd (TM) reported a net profit between RM321.51 million and RM332.51 million for the first quarter ended March 31, 2026, down nearly 20% from RM401.26 million in the year-ago period. The decline was mainly due to a RM127.3 million write-down related to unused prepaid 5G capacity after TM exited the Digital Nasional Bhd (DNB) 5G access agreement in February 2026 [1, 2, 3].

TM Group CEO Amar Huzaimi Md Deris said TM entered 2026 on a solid footing, driven by growth in its quad-play offerings, mobile, TV, and smart home solutions. He also cited encouraging expansion in business-to-business (B2B) and carrier-to-carrier (C2C) segments, especially digital services such as cloud, cybersecurity, AI, and data centers. "All of these contributed to a 9.3% increase in underlying PATAMI, reflecting the resilience of our core operations," he added [1].

Excluding the RM127.3 million write-down and other one-off items, TM’s profit after tax and minority interest (PATAMI) rose 9.3% year-on-year to about RM436.3 million in 1QFY2026 [1, 2, 3]. Group revenue increased by 2.92% to approximately RM2.93 billion from RM2.85 billion in the previous year [1, 2, 3].

Earnings before interest and tax (EBIT) fell to RM430.6 million from RM550.3 million due to higher mobile infrastructure sharing costs and foreign exchange losses [1]. Broadband (B2C) revenue climbed 5.1% to RM1.46 billion, while the enterprise-to-enterprise TM One segment grew slightly by 0.41% to RM671.5 million. TM Global (carrier-to-carrier) recorded revenue growth of 2.1% to RM776.6 million in the quarter [3].

In February 2026, TM ceased participation in the DNB 5G access agreement, disputing DNB’s claim that the contract remained legally binding [1, 2]. TM accounted for the write-down related to unused 5G prepaid capacity as part of its financial results.

The company declared an interim dividend of 6.5 sen per share, equal to 78% of PATAMI, with payments scheduled for June 25, 2026. The ex-dividend date was June 10 [1, 2, 3]. TM’s share price closed at RM7.36 on May 21, 2026, down 0.94%, with a market capitalization of RM28.17 billion [2].