National telecom operator reported on the results for the II quarter of this year.
Kyivstar company has demonstrated positive results in the second quarter of this year despite difficult macroeconomic situation and increased competition in the telecom market of Ukraine.
Thus, according to the figures reported in the operator’s press release, total revenue from services sales was increased by 11 % compared to the same period of 2015 and amounted to UAH 3.7 billion.
Separately for each services segment, the situation is as follows.
Revenue from the sale of fixed-line services increased by 10 % compared to II quarter 2015 and amounted to UAH 262 million. This result was achieved mainly due to income from “Home Internet” service which increased by 14% compared with the second quarter of the last year.
Operator’s revenue from mobile communication services was UAH 3.4 billion. This is 11 % more compared to the same period of 2015. The increase was mainly due to the increase of revenues from mobile data services.
Thus, the demand for mobile data services and the 3G-network development resulted to increase of the operator’s revenue by 79 % this year (compared to II quarter of 2015).
Despite the increase in revenue and profits this year, Kyivstar lost 2 % of its customer base – up to 25.4 million. The operator explains decrease of the subscribers number by suspension of business operations in the territories temporarily being beyond the control of Ukraine.
Kyivstar has significantly expanded 3G-network coverage in the second quarter of this year, having provided access to high-speed mobile internet for 48 % of the population of Ukraine.
Operator’s capital expenses in II quarter of this year amounted to UAH 727 million or 18 % in relation to revenue (cumulatively for 12 months). This margin in operating cash flow (EBITDA less capital expenditures) for the same period has consolidated at the level of 34 % (cumulatively for12 months).
See detailed financial figures in the table below.
Results of Kyivstar for II quarter 2016.
