Golden 3Q results shine

9 Nov 2007

Russian alternative telco Golden Telecom more than tripled third-quarter net profit year-on-year to USD74.4 million, on revenues which rose 53% to USD350.4 million, beating analyst forecasts. In May, Golden consolidated Corbina Telecom, a Moscow fibre-to-the-home provider, which contributed USD30 million to total turnover in the three months ended 30 September. EBITDA climbed 35% year-on-year to USD85.1 million, the company said in a statement. Golden also received a one-off payment of USD41.3 million during the quarter after selling its 23% stake in MCT, a company operating mobile networks in Central Asia, to Nordic operator TeliaSonera in July. Commenting on growth in Golden’s traditional long-distance telephony business, Chief Financial Officer Boris Svetlichny said: ‘During the third quarter of 2007, 1.8 billion of billable long-distance minutes passed through our network. We estimate that our market share of long-distance traffic in Russia has reached 25%, well above our 2010 target of 20%.’ Golden also said it added 255,000 net new residential broadband internet customers in the first ten months of 2007, and estimated more than half of all new high speed users in Moscow joined its networks in January-October.