Jakarta (ANTARA News) - Cellular phone operator Indosat reported a 14.2 percent increase in operating income to Rp11.7 trillion in the first half of the year compared with the same period last year.

The company also recorded a 9.6 percent increase in earning before tax, interest, depreciation and amortization (EBTIDA) to Rp5,311 billion with a margin of 45.4 percent, its president Alexander Rusli said here on Friday.

Operating cost rose 18.9 percent mainly because of an increase in telecommunication service cost, depreciation and amortization and general administration cost, Alexander said.

A cut in marketing cost, however, offset part of the increase in the operating cost, he said.

Income from cellular phone, fixed data and fixed telephone operations respectively contributed 82 percent, 14 percent and 4 percent to consolidated business income of the company, he said.

He said the company suffered an increase of 28.1 percent in net loss to Rp42.5 in the first half of 2013 from Rp33.2 in the first semester of 2012.

Increase in net loss was caused by an increase in telecommunication service cost .

"We have invested in modernization of network and developed data service capacity. We are still confident with our targets this year," he said. (*)

Editor: Heru Purwanto
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