Business Context and Reporting Period
This Form 6-K filing by Perusahaan Perseroan (Persero) PT Telekomunikasi Indonesia Tbk (Telkom) is dated May 5, 2026. The document serves as a formal response to clarification requests from the Indonesia Stock Exchange (IDX) regarding ongoing regulatory investigations and accounting disclosures. The filing addresses the company's governance structure, the status of U.S. regulatory probes, and a significant revision to its previously announced financial restatement plans.
Key Financial Metrics and Status
The filing does not provide specific revenue, profit, cash flow, or debt figures for the current period. Instead, it focuses on the qualitative status of financial reporting:
- Restatement Status: The company has withdrawn its March 10, 2026 conclusion that certain accounting treatments constituted "errors" requiring a restatement of 2023 and 2024 financial statements.
- Accounting Classification: Issues regarding "drop cable assets" and "last mile to the customers" are now classified as "changes in accounting policy" rather than errors.
- Quantitative Impact: The filing does not provide a definitive estimate of the quantitative impact on profit before tax or fixed asset balances, noting that the evaluation was previously ongoing and the independent auditor had not completed its audit of the prior statements.
- Liquidity and Debt: No specific liquidity or debt metrics are disclosed in this text.
Material Changes Versus Prior Period
The most significant material change disclosed is the reversal of the company's position on financial statement restatements:
- Reversal of Error Conclusion: Previously, Telkom indicated that accounting errors exceeded the materiality threshold of IDR 2 trillion. In this filing, the company confirms that these items are changes in accounting policy, meaning the 2023 and 2024 financial statements will be revised retrospectively as part of the 2025 Form 20-F rather than restated as errors.
- Regulatory Investigation Status: The filing clarifies that while SEC and DOJ investigations are ongoing, the FCPA-related aspects were placed on an indefinite pause following a U.S. executive order in February 2025.
- Filing Delays: The company filed a Form 12b-25 on April 30, 2026, notifying the SEC of a late filing for its 2025 Financial Statements to allow time for the retrospective application of accounting policy changes.
- Telkom has established a Legal & Compliance Directorate and a Chief Integrity Officer (CIO) to strengthen Internal Control over Financial Reporting (ICFR) and Good Corporate Governance (GCG).
- The company has implemented a Clawback Policy effective May 30, 2023, in compliance with Indonesian State-Owned Enterprise regulations.
- Regulatory Investigations: The SEC and DOJ investigations remain open. The SEC probe covers revenue recognition, financial reporting, and internal controls, while the DOJ focuses on FCPA compliance. The company cannot predict the final outcome or the impact of the FCPA enforcement pause.
- Legal Actions: As of May 5, 2026, there are no official notifications of class action lawsuits in the U.S. or Indonesia, though the company cannot speculate on future actions.
- Reporting Timeline: The company faces a deadline around May 9, 2026, for the NYSE's 60-day Extended Non-Reliance Disclosure Event, necessitating the late filing notification to finalize the 2025 Form 20-F.
- Verify the final quantitative impact of the "change in accounting policy" on 2023 and 2024 comparative figures once the 2025 Form 20-F is filed.
- Monitor the status of the SEC and DOJ investigations, specifically whether the indefinite pause on FCPA enforcement is lifted or if new findings emerge.
- Confirm the timeline for the issuance of the 2025 Form 20-F and the associated auditor's report.
- Watch for any announcements regarding class action lawsuits in the U.S. or Indonesia following this disclosure.
- Review the specific details of the retrospective adjustments to fixed assets and profit before tax in the upcoming annual report.
Guidance, Outlook, Risks, and Contingencies
Management Commentary and Governance:
Risks and Contingencies: