Qiwi IFRS adjusted net profit falls 32% to 642 mln rbl in Oct–Dec

MOSCOW, Mar 28 (PRIME) – The adjusted net profit of Russian payment service operator Qiwi decreased 32% on the year to 642 million rubles in October–December 2017, as calculated under International Financial Reporting Standards (IFRS), the company said on Wednesday in a report.

In 2018, Qiwi expects its total adjusted net revenue, excluding contributions from Tochka and Rocketbank projects, to increase 12–16%. The payment services segment net revenue will rise 12–16%. The adjusted net profit is to decline from zero to 10%. The payment services segment net profit will grow 10–15%.

In October–December 2017, the total adjusted net revenue increased 46% to 4.116 billion rubles. The payment services segment net revenue increased 24% to 3.500 billion rubles.

Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) decreased 23% to 965 million rubles.

The payment services segment net profit increased 47% to 2.013 billion rubles.

Total payment services volume increased 9% to 250.9 billion rubles.

For the full 2017 year, the adjusted net profit decreased 14% to 4.054 billion rubles. The total adjusted net revenue increased 24% to 13.193 billion rubles. The payment services segment net revenue increased 19% to 12.580 billion rubles.

Adjusted EBITDA decreased 14% to 5.185 billion rubles.

The pyment services segment net profit increased 34% to 7.543 billion rubles.

The total payment services volume grew 8% to 911.1 billion rubles.

Qiwi Wallet active accounts increased 17% to 20.1 million.

“We achieved strong financial results in our payment services business this year and thus were able to continue investing in our new business lines and projects. We continued to expand our consumer financial services segment represented by the Sovest project and have seen positive dynamics across few key metrics of the project, which makes us believe that we have entered an interesting niche with a significant potential,” CEO Sergei Solonin said.

“We believe we will be able to grow our payment services business by focusing on building a wider digital infrastructure and enriching our product offering, expanding and penetrating further our focus markets and generate substantial operating cash flows. At the same time we see 2018 as a year of investments in our new projects and will continue to focus on executing our strategy and developing our new initiatives.”

(57.1747 rubles – U.S. $1)

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