OREANDA-NEWS  On 25 September was Rambler Media Limited (RMG.LN), (“Rambler” or the “Group”), operator of one of Russia’s most popular internet brands, announced its condensed consolidated financial results in accordance with International Financial Reporting Standards (IFRS) for the six months ended 30 June 2008. The following information has been reviewed and approved for release by the Group’s auditors.

FINANCIAL HIGHLIGHTS

• Consolidated revenue (including Begun’s partner network) grew 152% year-onyear to USD 51.7 million (H1 2007, USD 20.5 million) – outpacing growth of internet display advertising market of 45% (source: Russian Association of Communication Agencies – AKAR).

• Like-for-like sales grew 73% year-on-year to USD 35.4 million (H1 2007, USD 20.5 million).

• Consolidated contextual revenue was USD 23.2 million for the period (H1 2007, USD 4.3 million). Paid search revenues on Rambler grew by 60% to USD 6.9 million (H1 2007, USD 4.3 million). Begun’s partner network contributed USD 16.3 million, after elimination of intercompany sales, to consolidated revenue.

• Display / banner advertising grew by 94% to USD 21.7 million (H1 2007, USD 11.2 million).

• Consolidated EBITDA continued to improve to USD 8.9 million (H1 2007, USD 0.6 million) including USD 0.8 million foreign currency translation loss (H1 2007, USD 0.7 million) with EBITDA margin of 17.3% (H1 2007, 3.0%).
• Consolidated net loss after interest and tax of USD 0.5 million (H1 2007, USD 6.7 million profit including net gain of USD 7.1 million from disposal of TV operation).

• Operating loss of USD 1.5 million after USD 5.1 million impairment charge (H1.2007 USD 0.8m).

• USD 11.2 million cash generated from operations (H1 2007, USD 0.6 million).

• CAPEX was USD 2.7 million (H1 2007, USD 1.7 million).

• Cash balance was USD 26.1 million at 30 June 2008, excluding USD 10.9 million held within Begun which was classified as an asset held for sale (31 December 2007, USD 31.5 million). Rambler expects to receive part of the cash held within Begun before completion of the announced sale of Begun to Google.

Detailed information are available here.