MegaFon Q2 sales improve 4.5%

9 Aug 2019

Russian cellco MegaFon demonstrated steady growth in its key performance indicators in the second quarter of 2019, announcing that the results showed it is ‘pursuing the right strategy towards its digital transformation goal’ while ‘maintaining its loyal subscriber base’. Revenue increased by 4.5% year-on-year to RUB85.6 billion (USD1.3 billion) in the three months ended 30 June, and operating income before depreciation and amortisation (OIBDA) jumped by 20.6% y-o-y to RUB38.9 billion including the impact of IFRS 16 accounting standards. MegaFon also disclosed organic (excluding IFRS 16) OIBDA growth of 4.7% y-o-y to RUB33.8 billion in the quarter. Net profit including IFRS 16 was RUB2.9 billion in 2Q19, compared to organic net profit of RUB3.8 billion. Quarterly CAPEX increased by 1.2% y-o-y to RUB16.4 billion.

MegaFon reported that its total number of Russian mobile subscriptions as of 30 June 2019 reached 75.91 million, up marginally from 75.88 million a year earlier, including 7.50 million M2M/IoT SIM device connections (up from 6.60 million). The operator also reported the number of Russian subscribers categorised as ‘data service users’ climbed from 31.40 million at mid-2018 to 33.50 million twelve months later.

Russia, MegaFon