MTDL Targets Recurring Income Growth

The Trend of Cloud Becomes One of the Recurring Income Drivers

Jakarta, November 18, 2020- PT Metrodata Electronics Tbk (“MTDL” or the Company), as an Information and Communication Technology (“ICT”) company, particularly in the field of digital solutions and hardware & software distribution, continues to strive to increase recurring revenue in the Solutions and Consulting business unit. The recurring income includes software subscription, maintenance contracts, cloud infrastructure, IT equipment rental, and managed services.
 

Susanto Djaja as President Director of MTDL, in a Public Expose held virtually today explained, “Previously in 2016 MTDL only had recurring income in the Solution & Consulting Business unit by 30%, but now it has grown to 40%. In the future, MTDL will increase recurring revenue by up to 50% in the Solution and Consulting Business unit. One of the drivers of recurring income is the trend for Cloud Solutions which is currently much needed during the Covid-19 pandemic in the midts of Work From Home (WFH) activities. MTDL aims to be a digital transformation enabler for busineses by offering the latest trends, one of which is being a reseller and implementer for Cloud Services.”
 

Cloud Services is one of the eight pillars of MTDL Solutions and Consulting, which is offered through MTDL's subsidiary, PT Mitra Integrasi Informatika (“MII”). This Cloud solution, including internet-based data storage services that can provide speed and convenience for customers, where with the implementation of Large-Scale Social Restrictions (‘PSBB’), industry players are required to quickly shift from operations from initially in office areas to WFH. The range of Cloud Infrastructure offered by MTDL ranging from private & multi cloud platforms to public clouds. Currently, Cloud Services that have become Metrodata's partners are Microsoft Cloud, Amazon Web Service (AWS), and Google Cloud Platform.
 

Sjafril Effendi as Director of MTDL as well as President Director of MII explained, “Cloud Services such as: IaaS (Infrastructures as a Services), PaaS (Platform as a Service) and SaaS (Software as a Services), have been growing rapidly during 2020. We predict that more and more industries will take advantage of Hybrid Cloud technology, especially in the Telecommunications, Financial Services, Fast Moving Consumer Goods, and Pharmaceutical Industries. Meanwhile, MTDL also assist and focus on Start-up & Unicorn companies such as Marketplace, E-commerce and FinTech, which will move their Cloud Data Center from abroad to Indonesia because the costs are already in IDR and lower latency thus the performance will be better.”
 

From the distribution business unit side, MTDL also focuses on Cloud, Gaming and Security trends, and continues to meet the needs of ICT products, ranging from Notebooks, PCs, Smartphones, and Collaboration Solution products. Going forward, the Distribution business unit will continue to develop digital business platforms, namely B2B E-commerce, Cloud Distribution, Electronic Software Distribution, Vendor Branded Store API, B2B2C API, Offline to Online, and B2G Platform. For the B2B2C API, currently MTDL is planning and preparing a platform to facilitate partners or dealers to sell on the marketplace through a platform connected to MTDL, where later MTDL will ship goods (dropship).
 

For information, in the Third Quarter of 2020, MTDL's net profit grew by 3.43% YoY or amounted to IDR267.7 Billion. MTDL estimates that revenue in 2020 will reach around IDR14 Trillion or lower than 2019, as a result of the pandemic which caused a declining market, limited supplies for several IT products, and many dealerships closed during the tight ‘PSBB’ period in the Second Quarter of 2020. However, with the increase in sales in the Solution and Consulting Business Unit and lesser price competition due to limited supplies in the Distribution business unit, this has resulted in a better profit margin for MTDL. For this reason, MTDL estimates that it can achieve a net profit in 2020 which is almost similar compared to 2019, which is around IDR350 Billion.
 

“Therefore, by continuing to equip MTDL’s services both in the Distribution and Solution and Consulting business units, we hope that MTDL's performance can continue to grow sustainably,” concluded Susanto.

About PT Metrodata Electronics Tbk
PT Metrodata Electronics, Tbk (“the Company”)— the publicly listed Company on Bursa Efek Indonesia (IDX) since 1990 (IDX: MTDL) is one of the leading Information and Communication Technology (“ICT”)companies in Indonesia that build strategic alliances with world-class ICTcompanies. The Company has main business units, namely Distribution Business (Providing World-Class ICT Hardware and Software) that handles distribution to partnered dealers, ICT solution companies and also running an e-commerce business. Its distribution network is covering more than 150 cities in Indonesia and has more than 5,200 channel partners and more than 100 world-class IT products and service brands; Solution & Consulting Business (Digital Solution Provider to Help Companies Achieving Digital Transformation) that provides complete ICT solutions based on Metrodata's 8 Pillars of Digital Solutions, consisting of Cloud Services, Big Data & Analytics, Hybrid IT Infrastructure, Security, Business Application, Digital Business Platform, Consulting & Advisory Services, and Managed Services to support digital business transformation.

 

 

For more information, please contact:

Randy Kartadinata
Corporate Secretary
Telp: (62-21) 29345 888
 

F. Dion / Melani Dwi Nastiti
Investor Relations / Public Relations
Telp: (62) 816 112 8998 / (62-21) 29345 888 ext. 2008
Email: Investor.Relation@metrodata.co.id
www.metrodata.co.id