Vimpelcom reports strong cash flow in Q4 2011 results (Russia)

VimpelCom Ltd., Russia’s third- largest wireless company by subscribers announced its operating and financial results for the quarter ended December 31, 2011.

As per the company report, Jo Lunder, CEO, Vimpecom, said that the company has delivered strong operational performance across all business units in the fourth quarter of 2011, driving organic revenue growth of 5 per cent, stable EBITDA and strong cash flows of USD 1.8 billion in the period. The final dividend payment of USD 0.35 per common share underscores the Company’s commitment to pay annual dividends of at least USD 0.80 per common share from 2011 to 2014.

In Russia, they are implementing their plans to improve the business performance and they regained market share during the year, which they intend to maintain while increasing their focus on profitable growth. In Italy, they saw further market share increases in the mobile and fixed line segments. Data revenues grew strongly in both these markets and in the Ukraine. The Africa & Asia business unit continued to deliver excellent subscriber growth and the CIS unit produced double digit revenue growth.

He added that their focus in 2012 will continue to be on the delivery of their Value Agenda and the 2011 results provide a good platform for profitable growth and improved cash flows. The process of integrating the businesses acquired in 2011 is now completed and in 2012 they expect to leverage the benefits of their increased size and capabilities.

Vodafone improves outlook for the fiscal year to March

www.WirelessFederation.com/news: Annual adjusted operating profit of GBP 11.4-11.8 billion has been expected by Vodafone Group against GBP 11.0-11.8 billion for November, thus improving its outlook for the fiscal year to March. Due to the working capital improvements, the outlook for free cash flow was increased to GBP 6.5-7.0 billion from GBP 6.0-6.5 billion. A free cash flow of GBP 5.8 billion was generated by the company in the first nine months of the year.

The revenue increased by 10.3 percent to GBP 11.5 billion and service revenues went up 11.0 percent to GBP 10.7 billion for the fiscal third quarter to December. Vodafone exceeded GBP 1 billion in quarterly data revenues for the first time, an increase of 17.7 percent year-on-year on an organic basis and even the data users now exceed 30 million thus making up 11 percent of service revenue.

Global Mobile Revenues to surpass US$1 Trillion in 2014

www.WirelessFederation.com/news: More than US$1 trillion will be recorded in total mobile service revenues in 2013. Rise in the data revenues will leverage the growth in service revenues as the former will rise to over US$330 billion that year, up from an estimated US$208 billion in 2008.

The voice revenues and ARPU will be surpassed by data revenues and data ARPU in Japan in 2014. The LTE in Japan including other markets might help to support this boom in data revenues.

A loss of 70% will be recorded by the end of 2012, in the second-generation mobile technologies, accounting for 90% of the world’s subscriptions. 3G and 3.5G+ technologies will cover 6.7 billion mobile subscriptions while by 2014, 3.5G+ technologies will represent over a third of the total number of subscriptions.

Indosat grows subscriber base, profits drop

Indonesian operator Indosat reported a sharp rise in its mobile subscriber base in the first half, but profits were down on rising costs. Total revenues fell 0.2 percent from a year ago to IDR 5.767 trillion. Mobile revenues were down 0.5 percent to IDR 4.291 trillion, despite the number of subscribers rising 7.7 percent year-on-year to 13.86 million. Data revenues improved 13.1 percent to IDR 927 billion, while fixed telephony sales dropped 15.3 percent to IDR 549 billion. The group’s operating costs rose 8.7 percent to IDR 4.199 trillion. EBITDA fell 2.6 percent to IDR 3.306 trillion, and net profit dropped 30.2 percent to IDR 549 billion. Indosat said marketing efforts started in April to return to growth were starting to have an effect, with 904,000 mobile users added in the second quarter alone. It also announced the launch of a loyalty points programme for mobile users. The group expects an EBITDA margin for the full year of 57-59 percent, versus 57.3 percent in the first half.

Source- http://www.telecompaper.com

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