OREANDA-NEWS. December 13, 2010. Sistema (the “Group”) (LSE: SSA), the largest diversified public financial corporation in Russia and the CIS, which invests in, and is a major shareholder of, companies operating in different industries, announced its unaudited consolidated US GAAP financial results for the third quarter ended September 30, 2010, reported the press-centre of Sistema.

Financial highlights

Revenues up 5.6% QoQ to USD 7.3 billion

OIBDA increased by 0.3% QoQ to USD 1.9 billion, with an OIBDA margin of 25.7%

Net income attributable to the Group increased by 26.9% QoQ to USD 182.7 million

Net debt at the Corporate Holding level reduced QoQ to USD 1.9 billion from USD 2.4 billion

Leonid Melamed, President and Chief Executive Officer of Sistema, commented: “We are pleased to report strong quarter on quarter growth in our results, adding to our positive performance in the first nine months of the year. In our Telecoms business unit, the third quarter was characterized by our continued efforts to consolidate our telecoms assets and create an integrated market leader. MTS reported good revenue growth reflecting the strengthening of the Russian economy. Operating results for our oil & energy business unit continue to improve, as Bashneft produced its sixth quarter of consecutive increases to production from our acquisition in 2009.   Notably, the recovery we witnessed in the second quarter in our Consumer businesses was sustained in the third quarter, which showed double digit revenue growth and a turnaround in net profitability. In the Technology & Industry business unit we continued to grow our OIBDA margin despite a slight reduction in revenues.
 
 Sistema continues to meet its key strategic goals. Of note is the partnership with the Russian State ivia their investment in our Indian telecom business SSTL and streamlining of our portfolio with our partial sale of Intourist to Thomas Cook and sale of equity in Detskiy Mir-Center to Sberbank. In 2011 we plan to focus on improving returns in our entire asset portfolio while searching for new value enhancing opportunities in line with our 2i plus strategy.”