OREANDA-NEWS. November 29, 2007. "COMSTAR – United TeleSystems" OJSC (LSE: CMST) today announced its unaudited consolidated US GAAP financial results for the third quarter and nine months ended September 30, 2007.

THIRD QUARTER HIGHLIGHTS:

Revenues up 28% year on year to US$ 372.2 million;
OIBDA[1] up 40% year on year to US$ 159.7 million and OIBDA margin of 43%;
Operating profit up 54% year on year to US$ 117.7 million and operating margin of 32%;
Net income of US$ 34.9 million before non-cash impact of revaluation of call and put option1;
Cash flow from operations up 23% year on year to US$ 105.2 million;
44% year on year growth in Moscow broadband Internet subscriber base to 452,600 customers;
Launch of revised broadband strategy including broadband sales under MGTS brand and ‘Fibre to the Curb’ (FTTC) modernization of MGTS 'last mile' access;
51% of MGTS residential subscribers on unlimited tariff plan; 22% on combined tariff plan; and 27% on per minute tariff plan, as of the end of the period;
Comstar-Moscow corporate subscriber ARPU up 12% year on year to US$ 570.0.

NINE MONTH HIGHLIGHTS

Revenues up 30% year on year to US$ 1,080.2 million;
OIBDA up 40% year on year to US$ 463.2 million and OIBDA margin of 43%;
Operating profit up 44% year on year to US$ 346.2 million and operating margin of 32%;
Net income of US$ 110.3 million before non-cash impact of revaluation of call and put option;
Cash flow from operations up 26% year on year to US$ 306.7 million.