MegaFon books 1% dip in telecom turnover

31 Aug 2017

Russian telecom group MegaFon has reported a 1.0% year-on-year fall in revenue from the telecom segment for the second quarter of 2017, due primarily to a 13.0% drop in turnover from the sale of equipment and accessories. The operator booked a top line figure of RUB78.0 billion (USD1.3 billion) for the three-month period, of which RUB65.3 billion was derived from wireless services (flat y-o-y), whilst wireline services contributed RUB6.5 billion. Revenue from equipment sales dropped to RUB6.2 billion from RUB7.1 billion in Q2 2016, however. OIBDA for the period, meanwhile, was RUB30.6 billion, an increase of 3.6% y-o-y. Adjusted net profit was down 23.7% compared to Q2 2016 at RUB5.5 billion, which the group attributed to higher interest expenses and forex losses. MegaFon counted a total of 75.77 million wireless subscribers in Russia at 30 June 2017, up from 74.70 million twelve months earlier, and of which 30.97 million were data users (up 3.3% y-o-y).

Russia, MegaFon