Kyivstar reports marginal customer increase in Q2; profit falls 17.6%

6 Sep 2010

Ukraine’s largest cellco by users Kyivstar’s GSM subscriber base grew by just 14,000 quarter-on-quarter to 21.948 million in the three months to the end of June 2010, although this followed two consecutive quarterly drops, and was down by a net 275,000 since mid-2009. The Vimpelcom subsidiary reported that its quarterly turnover dropped 2.3% year-on-year to UAH2.767 billion (USD350 million), partly driven by a reduction in mobile interconnection rates, although the sales figure increased by 7.5% q-o-q, helped by growing data services demand. Blended monthly mobile ARPU fell very slightly year-on-year, by UAH0.50 to UAH40.9 in April-June 2010, although this was up 9% from the previous quarter. Net income fell 17.6% y-o-y to UAH432 million, whilst CAPEX was raised by 56.1% compared to the year-ago quarter, to USD58.9 million (reported in dollars due to the devaluation of local currency), to keep up with data services capacity requirements.

Ukraine, Kyivstar