Russia’s MTS IFRS net profit halves to 9.1 bln rbl in Apr–Jun

MOSCOW, Aug 18 (PRIME) -- The net profit of Russian mobile operator MTS decreased to 9.056 billion rubles in April–June from 17.074 billion rubles in the same period of 2015, as calculated under International Financial Reporting Standards (IFRS), the company said Thursday in a statement.

Revenue rose 5.3% to 108.136 billion rubles. Operating income before depreciation and amortization (OIBDA) lost 4.3% to 40.885 billion rubles. OIBDA margin went down 3.8 percentage points to 37.8%.

Operating profit fell 10.9% to 20.053 billion rubles.

“Macroeconomic factors and competitive issues continue to impact our performance in many ways, in particular voice and messaging usage in roaming, but in sum, our group revenue performance currently out-paces the market,” President Andrei Dubovskov said.

MTS amended its 2016 group revenue outlook to a 2–3% growth from 4% voiced earlier due to disposal of a 50.01% share in Uzbek mobile operator UMS and expected full deconsolidation of UMS’s financial results in July–September and other factors, including subscriber growth and an increased sales of handsets in Russia.

The operator revised its outlook on adjusted group OIBDA loss to 4% due primarily to the sale of UMS. The earlier outlook varied from a loss of 2% to a 1% growth.

MTS affirmed its group capex guidance at 85 billion rubles.

(63.9943 rubles – U.S. $1)

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