Subscriber gains bolster Uralsvyazinform’s full-year financials

12 Feb 2004

Siberian fixed and mobile telecoms services provider Uralsvyazinform has released its preliminary financial results for the twelve months to 31 December 2003, reporting a significant hike in full-year revenues, EBITDA, operating and pre-tax profit and net income. The company says revenues rose by 34.6% year-on-year to USD634.4 million, of which turnover from telecoms contributed USD565.7 million, 31.6% higher than in 2002; the company also provides TV & radio broadcast services. DLD and ILD services contributed 48% of the total, from 46.7% previously, while the remainder was made up of local services (33.7%), mobile (10.7%), new IP and internet-related technologies (2.6%) and other services (5%). EBITDA for the year is estimated to climb 42.5% to USD241.7 million, while operating profit of USD180.6 million and pre-tax profits of USD84.6 million were 46.8% and 90.5% higher than a year ago. A similar hike of 84.5% to USD52.4 million is expected for net profit, thanks to strong subscriber gains at its mobile division and subsidiary companies.

Founded in 1994, Uralsvyazinform is Russia’s fifth largest telecoms service provider with a network spanning over 160,000 square miles, and providing services to 4,225 cities and towns. At the end of 2003 the telco had a fixed line network numbering 3,393,000 installed lines, a 2.1% rise in the year, of which 3,201,000 were in use. Subscribers to the company’s four different mobile networks reached 407,000, of which GSM-900/1800 users accounted for 341,300 (117.4%), NMT-450i customers 12,500 (-13.2%), D-AMPS 2,000 (5%) and CDMA-800 51,400 (32.8%). Uralsvyazinform’s wholly owned subsidiary South-Urals Cellular Phone said its customer base rose by 162.9% in 2003 to 411,900, while Ermak RMS, in which Uralsvyazinform controls a 90% stake, had 346,500 users (323.1%) and 51%-owned D-AMPS/NMT operator TyumenRuscom had 28,900 (-13.1%). Taken as a combined figure, Uralsvyazinform added around 381,300 subscribers in the year, to lift its total to 1,194,500.

Russia, Uralsvyazinform