Mail.Ru says Jul–Sep profit eases, revenue, EBITDA guidance rises

MOSCOW, Oct 27 (PRIME) -- The aggregate net profit of Russian Internet giant Mail.Ru Group decreased 0.5% on the year to 2.918 billion rubles in July–September, as calculated under International Financial Reporting Standards (IFRS), the company said on Friday in a statement.

The aggregate segment revenue grew 39.1% to 13.577 billion rubles, and aggregate segment earnings before interest, taxes, depreciation, and amortization (EBITDA) increased 1.1% to 4.260 billion rubles.

In January–September, the aggregate net profit rose 12% on the year to 9.730 billion rubles. Aggregate segment revenue grew 35.2% to 39.905 billion rubles. Aggregate segment EBITDA went up 9% to 14.106 billion rubles.

Net cash amounted to 9.718 billion rubles as of September 30.

“Based on current visibility, we are pleased to increase our 2017 revenue guidance for the third time this year from previous guidance of 23–26% on the year pro-forma revenue growth to pro-forma revenue growth of 30–31% on the year to 55.6–56.0 billion rubles,” Dmitry Grishin, chairman of the board, and Boris Dobrodeev, CEO (Russia), said.

“2017 remains a year of significant investment in the new products and given the significant potential that we see in them we will continue to aggressively invest in our new initiatives. We do not expect them to contribute to EBITDA this year.

“We also continue to not anticipate any meaningful revenue contributions from BeepCar or Youla in 2017 but wish to use most of the further revenue upside to invest in the new products. Even taking this investment into account, we are pleased to increase our 2017 EBITDA guidance from 20.0 billion rubles to around 20.5 billion rubles.”

(57.7643 rubles – U.S. $1)

End