Corporate Presentation1Q17 Results

PT Telkom Indonesia (Persero) TbkMay 2017

Disclaimer

This document may contain forward-looking statements within the meaning of safe-harbor. Actual results could differ materially from projections, estimations orexpectations. These may involve risks and uncertainties, and may cause actual resultsand development to differ substantially from those expressed or implied in thestatements. The company does not guarantee that any action, which may have beentaken in reliance of this document will bring specific results as expected.

2

TELKOM in BriefTELKOM in Brief

1Q17 Financial & Operational Results1Q17 Financial & Operational Results

Company Guidance 2017Company Guidance 2017

4

Telkom and Subsidiaries

Note:T : TelecommunicationIME : Information, Media & Edutainment

Telkom Group Portfolios

5

6 product portfolios with 5 Customer Facing Units (CFU)

6ProductPortfolios

5CustomerFacing Units

MobileCFU

Digital Services CFU

EnterpriseCFU

ConsumerCFU

Wholesale/ InternationalCFU

1

2

3

4

5

MobileServices

n Mobile Legacyn Mobile

Broadbandt

1FixedServices

2Interconnect’& Int’l Traffic

3

EnterpriseDigital

ICT Platformn Enterprise

Connectivityn IT Servicesn Data Center and

Cloudn BPOn Devices/Hardware

5

ConsumerDigital

6MEME

II

TT

Smart Enablersn Paymentsn Digital Advertisingn Big Data & Other

Smart Enablers

n e-Commercen Video/TVn Mobile Digital (e.g., Games, Music)

Others n Property

NetworkInfrastructure

4

n Fixed Voicen Fixed

Broadbandt

n Wholesale -Interconnection

n International Businest

n Satellitesn Towerst

Share Ownership

6

Government 52.1% Public 47.9% Treasury Stock1.7 Bn shares

Total Shares

100,799,996,400 shares

Market Capitalization

Rp445.5 Tn (USD32.8 Bn)*

Telkom Indonesia is listed at Indonesia Stock Exchange (Bloomberg: TLKM IJ)and New York Stock Exchange (TLK US)

*as of April 21, 2017

Board of Directors

7

Telkomsel

Telkom

CEO TelkomselRIRIEK ADRIANSYAH

DirectorHERI SUPRIADI

DirectorEDWARD YING SIEW HENG

DirectorALISTAIR D JOHNSTON

Director of ConsumerMAS’UD KHAMID

DirectorSUKARDI SILALAHI

DirectorPRIYANTONO RUDITO

PRESIDENT DIRECTORALEX J. SINAGA

Director of FInanceHARRY M. ZEN

Director of HCMHERDI R. HARMAN

Director of WINSABDUS SOMAD ARIEF

Director of EBISDIAN RACHMAWAN

DirectorMONTGOMERY HONG

Director of NITSZULHEFI ABIDIN

Director of DSPDAVID BANGUN

TELKOM IntroductionTELKOM Introduction

1Q17 Financial & Operational Results1Q17 Financial & Operational Results

Company Guidance 2017Company Guidance 2017

1Q17 Performance Highlights

Telkom Indonesia delivered remarkable results in 1Q17, posting triple double-digit growth in Revenue, EBITDA, and Net Incomeof 12.6%, 14.7%,and 45.8% YoY respectively.

Data, Internet & IT Services sharply increased by 25.4% YoY. The segment contributed 41.6% to total revenue.

Telkomsel recorded another triple double-digit with Revenue grew by 10.4%, EBITDA 13.0%, and Net Income 17.8% respectively.

Telkomsel installed 7,060 new BTSs, all of which are 3G/4G BTSs toenhance mobile broadband experience.

9

Strong EBITDA & Net Income Growthwith Healthy Margins

810

EBITDA YoY(Rp Trilion)

EBITDA Margin

ì14.7%

Net Income YoY(Rp Trilion)

Net IncomeMargin

ì45.8%

ì12.6%

Strong Revenue Growth, Driven by Data Business

12,9

10,3

1,91,1 1,3

13,0 12,9

1,91,3

2,0

1Q16 1Q17

ì12.6%

Revenue YoY (Rp Trillion)

Cellular Voice and SMS

ì 0.9%

Data, Internet & IT Services

ì 25.4%

Fixed Line Voice

î 4.1%

Interconnection

ì 17.4%Network & Other Telco Services

ì 48.2%

Note: SMS included SMS Banking and SMS advertising 1Q171Q16

41.6%contribution to total revenue (vs 37.4% in 1Q16)

11

12

Relatively Low Growth in Expenses

7,7

3,0

0,8 0,8 0,7

4,4

0,7

8,3

3,0

0,7 1,0 1,2

4,8

-0,5

Expenses YoY (Rp Trillion)

O & M

ì 8.5%Personnel

î 0.7%Interconnection

î 7.3%Marketing

ì 31.0%G & A

ì 74.9%D & A

ì 8.4%

ì3.1%

Others-net*

î 167.1%

*Others-net included Forex loss

1Q171Q16

+10%

1Q17

22.3

13.9

8.4

1Q16

20.2

13.3

6.9

REVENUES

In Million

YEAR-ON-YEAR ACHIEVEMENT

In Trillion

1Q17

2.8

1Q16

2.3

CAPEX PAID

TOTAL ASSET BTS ON AIRIn Thousand

1Q17

136.1

1Q16

110.5

CUSTOMER In Trillion

4%Legacy

DigitalBusiness

23%

EBITDA NET INCOMEIn TrillionIn Trillion

Margin59%58%

Margin35%32%

1Q17

13.2

1Q16

11.7

1Q17

7.7

1Q16

6.5

18%13%

1Q17

92.9

1Q16

93.9153.6

1Q17

169.4

1Q16

10%

In Trillion

Maintained Strong Performance Momentum during 1Q17Telkomsel: Performance Highlights

13

23%

-1%23%

0.6

6.3

+23%

1Q17

8.4

0.8

7.6

1Q16

6.9

DIGITAL BUSINESS REVENUE In Million

YEAR-ON-YEAR ACHIEVEMENT

In TrillionDATA USER

35%Digital Services

Broadband

21%

1Q17

357.4

1Q16

165.9

DATA TRAFFIC

115%

In PB

84 65

1Q171Q16

3G/4G CAPABLEDEVICE

30%

In Million

3G & 4G BTS ON AIR

In Thousand

Broadband:

Telkomsel Flash

BlackBerry

Digital Services:- Digital Lifestyle- Digital Banking & Advertising - Mobile Financial Services- Enterprise Digital Services1Q17

89.6

1Q16

71.725%

Continued to Focus on Digital Business

3G

4G

86.3

75.2

11.161.4

57.2

4.2

1Q171Q16

31%

Telkomsel: Performance Highlights

14

164%

15

Excellent Operational Results

n IndiHome subs reached 1.78 Mn increased 31.7% YoY

n More content, added HOOQ video streaming platform.

n ARPU in 1Q17 Rp350K (vs Rp341K in 4Q16)n Pursuing new revenue stream from

advertisingn Fixed broadband users (incl. non-IndiHome)

increased 4.8% YoY to 4.4 Mn

n 3G/4G-capable device users: 83.8 mn(+29.9% YoY). 22 Mn has enjoyed 4G.

n Mobile data payload jumped 115.5% YoY to 366.0 TB.

n Added 7,060 new BTSs (all are 3G/4G).Total BTS 136K (63% 3G/4G).

n 4G LTE Service: 239 cities across Indonesia, 11,130 BTS

n Total customers: 169.4 mn, increased10.3% YoY.

TELKOM OperationalTelkomsel Operational

Satellite

16

After successfully launched on 15 February 2017, Telkom 3S Satellite was officially operated. The satellite is managed by Telkom Satellite Main Control Station in Cibinong Indonesia starting 17 April 2017.

Telkom-4 Satellite is planned to be launched in 3Q18.

It will carry 48 C-Band and 12 extended C-Band transponders and cover Southeast Asia and South Asia region.

Currently, the progress of thisproject is around 53%.

17

Recent Development

70% Dividend Payout

AGMS on April 21, 2017 approved total 70% of dividend payout, consists of 60% cash dividend or Rp11,611,211,188,567.60 (inclusive of interim dividend) and 10% special dividend or Rp1,935,200,213,724.32, represents total dividend per share of Rp136.7465.

Payment date is on 26 May 2017.

18

Recent Development

Change in Board of Directors and Board of CommissionersAGMS on April 21, 2017 approved new composition of BoD & BoC:

Board of Directors

President Director : Alex J. Sinaga

Director of Finance : Harry M. Zen

Director of Consumers Service : Mas’ud Khamid

Director of Human Capital Management

: Herdy R. Harman

Director of Network & IT Solution

: Zulhelfi Abidin

Director of Digital & Strategic Portfolio

: David Bangun

Director of Wholesale & International Service

: Abdus Somad Arief

Director of Enterprise & Business Service

: Dian Rachmawan

Board of Commisioners

President Commissioner : Hendri Saparini

Commissioner : Hadiyanto

Commissioner : Devy W. Suradji

Commissioner : Rinaldi Firmansyah

Independent Commissioner : Dolfie Othniel Fredric Palit

Independent Commissioner : Margiyono Darsasumarja

Independent Commissioner : Pamiyati Pamela Johanna Waluyo

Independent Commissioner : Cahyana Ahmadjayadi

TELKOM in IntroductionTELKOM in Introduction

1Q17 Operational & Financial Results1Q17 Operational & Financial Results

Company Guidance 2017Company Guidance 2017

20

2017 Guidance

Telkomsel IndonesiaDigital Network

InternationalExpansion

Leading Mobile Digital Business

Drive Digital Home & Enterprise

Smart International Business Growth

MAIN PROGRAM

Revenue Growth

EBITDA & Net Income Margins CAPEX

To grow better than industry.Telco industry is expected to grow at 8% to 9% in 2017.

To slightly decline as Telkom is shifting towards digital telco company with higher proportion of revenue from digital business and lower revenue portion from legacy (voice and SMS services)

Around 23%-25% of revenue with focus onbroadband infrastructures, both mobile and fixed line