OREANDA-NEWS. June 04, 2010. The largest fixed-line telecommunications operator of the Central Federal District, CenterTelecom, announces the results of its 2009 financial activities according to International Financial Reporting Standards (IFRS). Main financial indicators (RUR, mln) 

 

2009

2008

Change, %

Revenue

37,309

34,794

+7.23

Operating expenses (net)

(26,795)

(25,697)

+4.27

Operating profit

10,514

9,097

+15.58

Profit before taxation and minority share

7,668

5,512

+39.11

Net profit during the reporting period

5,868

4,220

+39.05

EBITDA[1]

16,777

13,228

+26.83

EBITDA margin, %

44.97%

38.02%

+6.95%

Profit margin during the reporting period[2], %

15.73%

12.13%

+3.60%

Non-current assets

47,264

48,829

-3.21

Long-term liabilities

15,929

16,607

-4.08

Current liabilities

11,962

17,923

-33.26

Net debt[3]

16,558

23,765

-30.33

Net cash from core activity

13,059

10,385

+25.75

Net cash used in investment activity

(5,345)

(6,024)

-11.27

Net cash used in financial activity

(7,384)

(4,360)

+69.36

Revenue breakdown in 2009 (RUR, mln) 

 

2009

2008

Change, %

Local voice telephony

16,822

15,676

+7.31

Intrazonal telephony

5,799

5,953

-2.59

Interconnect and traffic transit

3,802

3,969

-4.21

Datacom and telematic services (Internet)

6,302

4,885

+29.01

Outsourcing and agency fees

1,097

1,123

-2.32

Mobile radio, wire broadcasting, radio broadcasting, television

765

710

+7.75

Installation and connection fees

476

569

-16.34

Other services (from core activities)

1,109

1,020

+8.73

Revenue from other sales (non-core activities)

1 137

889

+27.90

Incl. line leasing

778

567

+37.21

Total

37,309

34,794

7.23

CenterTelecom’s consolidated revenue amounted to RUR 37,309 mln, which implies an increase of 7.23% in year-on-year terms.

Datacom and telematic services (Internet).  The value-added telecom segment showed the strongest pace of growth in the revenue breakdown of CenterTelecom in 2009.  Thanks to the introduction of new telecommunications services, including FTTx Internet access, a balanced tariff policy and aggressive marketing campaigns aimed at promoting broadband Internet access using the Domolink trademark and enhanced user loyalty, the number of customers connected to broadband Internet in 2009 increased by more than 70.14% and exceeded 1,191,000 subscribers.  Rapid growth of the subscriber base laid the groundwork for a sharp rise in revenue from the segment of value-added telecommunications services from RUR 4,885 mln to RUR 6,302 mln (up 29.01%).

Breakdown of operating expenses in 2009 (RUR, mln) 

 

2009

2008

Change, %

Payrolls

10,500

9,110

+15.26

Depreciation and amortization

6,401

5,173

+23.74

Interconnect

2,920

3,132

-6.77

Materials, repair and maintenance, utility services

3,746

2,887

+29.75

Taxes, except for profit tax

806

861

-6.39

Agency fees

932

709

+31.45

Compensation of losses from the provision of universal telecom services

(2,786)

(1,559)

+78.70

Other operating expenses and revenues, net

 

4,276

5,384

-20.58

Total

26,795

25,697

+4.27

The full text of CenterTelecom’s 2009 IFRS audited consolidated financial statement can be viewed at the company’s website.

The company’s 2009 financial statement was audited by KPMG.

[1] EBITDA is calculated as earnings before tax minus depreciation and interest expenses (net).

[2] Profit margin during the reporting period is calculated as the ratio of profit during the reporting period before minority share to earnings.

[3] Net debt is calculated as long-term and short-term liabilities for credits, loans and financial lease minus cash and cash equivalents.