Megafon grows Q4 net profit 28%

Nieuws Mobiel Russische Federatie 28 FEB 2013
Megafon grows Q4 net profit 28%
Russian mobile operator Megafon reported fourth-quarter revenues up 9.3 percent year-on-year to RUB 71.54 billion, driven by continued growth in its home market. OIBDA jumped 24.5 percent to RUB 31.42 billion, and the margin rose to 43.9 percent from 38.5 percent a year ago thanks to a stronger focus on cost control and a new model for dealer commissions, lowering subscriber acquisition costs. Net profit improved 28.3 percent to RUB 12.41 billion. 

Mobile revenues in Russia rose 9.9 percent to RUB 66.17 billion, led by a 26.3 percent rise in data revenues to RUB 9.95 billion. Fixed-line revenues were down 2.1 percent to RUB 4.54 billion. OIBDA in Russia improved 24.5 percent to RUB 31.4 billion. The mobile customer base rose 1.5 percent over the year to 62.57 million, including 21.01 million data users. ARPU was up 5.4 percent to RUB 330, as MOU increased 5.5 percent to 309 and data use rose 49.5 percent to an average 1.24 GB per subscriber.  

For 2013, the company forecast high single-digit revenue growth, while the OIBDA margin will drop to between the 2011 and 2012 levels. Capex is expected to rise to RUB 55-60 billion, after a 38 percent cut in 2012 to RUB 44.07 billion.  

Free cash flow in 2012 improved to RUB 70.77 billion from RUB 25.75 billion in 2011, while the company moved to a net debt position of RUB 121.8 million due to dividend payments and increasing borrowing due to shareholder restructuring. Megafon said it will pay a dividend in line with its pay-out policy announced in June last year, with the exact amount to be decided later by shareholders. 

Categories:

Mobiel

Companies:

MegaFon

Countries:

Russische Federatie

Tags:

Voice services, Data services, Financial figures

Related Articles

RUSSISCHE FEDERATIE 15 MAY 2013

Megafon grows Q1 revenues 7.6% on demand for data services

Revenues of Russian mobile operator Megafon grew by 7.6 percent year-on-year in Q1 to RUB 67.72 billion. Mobile service revenues rose 6.9 percent to RUB 59.60 billion, led by 22.5 percent growth in data services to RUB 10.51 billion. OIBDA rose 26.8 percent to RUB 32.38 billion, and the OIBDA margin increased by 7.2 percentage points to 47.8 percent, helped by new distribution agreements and cost efficiencies in the past year. The net profit jumped by 36.5 percent to RUB 12.64 billion. Operating cash flow r

RUSSISCHE FEDERATIE 13 MAY 2013

Megafon cuts dealer commissions by RUB 2 bln in 2012

Russian mobile operator Megafon reduced its commissions to dealers to RUB 7.098 billion in 2012 from RUB 9.061 billion the previous year, reports RBC Daily from the company's annual report. The operator plans a further reduction in commission fees this year thanks to its expanded cooperation with the mobile retail chain Euroset. The drop in commissions last year was due to the switch to a new model based on revenue-sharing in the first six months, rather than flat fees for singing up new customers. Megafon

RUSSISCHE FEDERATIE 28 FEB 2013

Megafon targets 1 mln LTE subscribers this yr

Russian mobile operator Megafon expects to reach 1 million LTE users this year, up from 130,000 at the end of 2012, reports Prime citing Mikhail Dubin, the managing director of the company. The operator plans to expand its LTE services as a MVNO on the network of operator Yota. It will also build its own LTE network in eight regions, as required under the spectrum licences it acquired last year.

RUSSISCHE FEDERATIE 7 DEC 2012

VimpelCom, Megafon agree 50-50 ownership of Euroset

Russian operator VimpelCom announced that it has acquired 0.1 percent of the shares of mobile retail chain Euroset to increase its ownership interest to 50 percent of Euroset. The shares were issued by Euroset to VimpelCom subsidiary simultaneously with the acquisition of the other 50 percent of the shares of Euroset by Lefbord Investments Limited, a company owned by Russian rival MegaFon and Garsdale Services Investment. As a result of these transactions, VimpelCom and Lefbord have equal economic and gover

RUSSISCHE FEDERATIE 28 NOV 2012

Megafon IPO priced at low end of range

Megafon and its shareholders have raised USD 1.7 billion in an initial public offering of shares in the Russian mobile operator. The IPO was priced at USD 20 per GDR, the low end of the indicated range, giving Megafon a total market value of USD 11.1 billion. Around 15.2 percent of its shares will be publicly traded, and AF Telecom (55.8%) and TeliaSonera (29.0%) will remain its largest shareholders. The underwriters have an option to increase the number of shares sold by 10 percent, which would raise the p

RUSSISCHE FEDERATIE 15 NOV 2012

Megafon to raise at least USD 1.7 bln in IPO

Megafon has set the price range for its initial public offering. At USD 20-25 per share, the IPO will raise a minimum USD 1.69 billion. The selling shareholders also granted an over-allotment option to the bookrunners; if this is exercised, Megafon's market capitalization will be USD 11.2-14.0 billion on the basis of the price range. Following the IPO, Russian investor AF Telecom will still own over 50 percent of the company, and TeliaSonera will have 25 percent. If TeliaSonera keeps its stake over 25 perce

RUSSISCHE FEDERATIE 8 NOV 2012

Megafon revenues increase 12% in Q3

Russian mobile operator Megafon reported revenues of RUB 71.2 billion for the third quarter, up by 12.3 percent year-on-year. OIBDA grew 21.1 percent to RUB 32.1 billion, and the OIBDA margin jumped by 3.2 percentage points to 45.1 percent. The net profit soared 19.6 percent to RUB 14.9 billion. The subscriber base totaled 64.8 million at the end of September, up by 1.7 percent quarter-on-quarter. The mobile business in Russia grew revenues 12.2 percent to RUB 66.1 billion, led by a 30.2 percent rise in dat

Just In

19 DEC 16:42

SLT-Mobitel launches 5G network in Sri Lanka

19 DEC 16:19

Dialog Axiata launches 5G network, connects 1.5 million subscribers

19 DEC 15:56

UK govt to ban AI-enabled nudification apps to protect women, girls

19 DEC 15:42

3 UK launches last-minute Christmas sale

Commentary

13:56

Video market set for slower growth ahead

11:38

Netflix buys Warner Bros to deepen content catalogue

11:11

KPN's mixed performance in Q3 raises questions for strategy day

15:26

Stock markets breaking records but what happened to Odido's IPO plans?

Background

01:04

The week in telecom: Wi-Fi bolt-ons take off to boost broadband growth, video market works on consolidation

01:39

The week in telecom: Netflix wins bidding for Warner Bros, Apple poaches new execs, Samsung debuts trifold

13:51

Proximus vs. Telenet: Proximus performs better in Q3 while Telenet uses up cash

14:16

Proximus Domestic still struggling with low margins

Complete profile

Before downloading the whitepaper, we would like to ask you to complete your profile with company and position. After confirming you will receive the white paper.