MegaFon’s Customer Traffic Up 40% in October-December 2018

UrBC, Yekaterinburg, March 22, 2019. One MegaFon customer used 10 Gb more traffic on average in the last quarter of 2018 compared with the last quarter of 2017 (+40%), the telecom company’s press service reports.

Out of MegaFon’s 75 million customers, 28 million use the Internet connection on a 4G-supporting device.

The company improved its connection quality and upgraded its services last year to create Russia’s largest mobile network. By early 2019, MegaFon operated nearly 223,000 base stations all in all, with over a third of them supporting LTE formats.

MegaFon’s revenues also rose by 4.3% and its profits by 2.7% in 2018; this has meant the company will be able to focus on launching 5G Internet connection in Russia, as has been the plan for a while now. In fact, the company ran a few test launches of the fifth-generation connection formats with Nokia, Qualcomm, and Huawei last year.

MegaFon’s revenues went up by 4.3% last year and amounted to RUB 335,549 million. The company’s OIBDA also went up by 1.8% and amounted to RUB 124,042 million (OIBDA profitability index: 37% in 2018 against 37.9% in 2017).

Net profit increased by 2.7% on the year 2017 and came to RUB 21,068 million. The company’s CAPEX rose by 45.5% and came to RUB 81,456 million. The shareholder FCF dropped by 86.2% against the year 2017, down t o RUB 4,869 million; the company’s net debt amounted to RUB 294,318 million on December 31, 2018.

The number of MegaFon’s customers declined by 0.3% in the course of one year, down to 76.9 million people on December 31, 2018.


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