MTS profits fail to meet expectations

2 Jun 2005

Russia’s largest cellco Mobile TeleSystems (MTS) has reported a 12% rise in its first quarter net profit, but failed to meet analysts’ expectations. Profit for the first three months of 2005 rose to USD232.5 million from USD207.8 million twelve months before, but was well below forecasts of USD253 million despite a 32% rise in revenues and 22% increase in EBITDA. Turnover for the period was up to USD1.1 billion, on the back of 4.5 million additions to the group’s total customer base. MTS signed up a further 3.64 million users in the two months to 31 May, and now has 42.32 million subscribers across its operations in Russia, Ukraine, Uzbekistan and Belarus.

Russia, Mobile TeleSystems (MTS)