PT Solusi Sinergi Digital Tbk (“SURGE,” IDX: WIFI) reported strong financial and operational results for the nine months ended 30/09/2025 (15/12). Consolidated revenue rose to Rp1.015 trillion, up 101% year-on-year and 78% quarter-on-quarter, driven by growth in FTTH B2B and B2C connectivity services. EBITDA reached Rp697 billion, a 96% increase YoY, while net income totaled Rp330 billion, up 107% YoY. Of this, Rp261 billion was attributable to the parent company, a 70% YoY rise but a 78% QoQ decline following the entry of a new minority shareholder in PT Integrasi Jaringan Ekosistem (IJE).

HomePass and HomeConnect Expansion Drive Strong Market Uptake

SURGE expanded its HomePass base to 1.5 million, a sevenfold increase over nine months, with 72% quarter-on-quarter growth adding 634,000 new connections. HomeConnect reached 830,000 subscribers, growing 114% QoQ with 443,000 new connections. The take-up rate increased to 55%, the highest in the fixed broadband industry, well above the 15–20% industry average.

The company’s national fiber-optic backbone now exceeds 10,000 km, connecting areas from Western Sumatra to Papua, supporting long-term scalability.

Financial Strength Amid Capital-Intensive Expansion

Operating cash flow was Rp116 billion, a 70% YoY decline due to higher interest payments tied to increased borrowings. Core margins remained strong: gross margin 68%, operating margin 57%, EBITDA margin 69%, and net profit margin 32.5%. Connectivity contributed 73% of total revenue, reflecting the company’s focus on FTTH B2B and B2C services.

Cash and cash equivalents increased to Rp5.7 trillion, supported by a rights issue and debt drawdowns. Capital expenditure totaled Rp2.4 trillion, focusing on network rollout and infrastructure. The capital structure remained healthy, with Debt-to-EBITDA at 3.3x, Debt-to-Equity at 0.4x, and Debt Service Coverage Ratio above 3.0x.

Strategic Investments Position SURGE for Future Growth

“Our Q3 performance reflects the deliberate investments we are making to build scale and strengthen our market leadership. The Company is currently in a growth phase, and these efforts are positioning us to monetize at significantly higher levels as our customer base and network coverage expand. Today’s investments lay a solid foundation for sustainable growth, long-term profitability, and enhanced shareholder value,” said Yune Marketatmo, President Director of PT Solusi Sinergi Digital Tbk.

Targets for FY2025 include 2.5 million HomePass, 1.5 million HomeConnect, and an annual take-up rate of 60%. Financial guidance projects revenue of Rp1.4 trillion and EBITDA of Rp940 billion with a ~64% EBITDA margin. For FY2026, HomePass and HomeConnect targets rise to 5 million and 3 million respectively, alongside more than 5,000 5G FWA sites and up to 5 million FWA customers.

IRA – Internet Rakyat 5G FWA Shows Rapid Adoption

Since the IRA – Internet Rakyat launch on 12/11/2025, over 900,000 customers pre-registered by 15/12/2025, indicating strong market demand. Live 5G FWA sites have been deployed to ensure service availability and quality, supporting high-capacity traffic and rapid customer activation.

The combination of rapid subscriber growth, expanding on-air sites, and resilient backbone infrastructure demonstrates a solid foundation for the Region 1 rollout and long-term scalability of the IRA 5G FWA service.

PHOTO: SURGE

This article was created with AI assistance.