21 Sep 2009 16:21


NOVOSIBIRSK. Sept 21 (Interfax) - OJSC Sibirtelecom's IFRS net profit in the first half of 2009 shrank by 44.4% year-on-year to 851 million rubles, the company said in a statement.

Sibirtelecom's consolidated sales revenue for the first half increased by 3.3% to 19.07 billion rubles.

The main driver of growth for the company's sales revenue was an expanding client base in fixed-line and cellular services, as well as expansion of broadband access. The company increased its number of Internet users.

Among the company's revenues the bulk of sales revenue came from the provision of local telecommunications services (5.854 billion rubles) and cellular services (4.892 billion rubles), 30.7% and 25.7% of total revenue respectively.

The company also generated revenue from the provision of data transfer services (2.734 billion rubles), as well as inter-zone telephone services (2.498 billion rubles), 14.3% and 13.1%, respectively. Revenues earned from traffic connection and transfer came to 1.84 billion rubles, or 9.6% of total revenue.

Showing the highest rate of growth was revenue from the leasing of its property, up 40.9% year-on-year. Sibirtelecom's revenues from data transfer and telematics went up by 28.8% as total subscribers increased by 90%. Revenue from the provision of local and cellular services increased by 2.5% and 1.6%, respectively.

Revenue from agent services in an agreement with OJSC Rostelecom accounted form 14.5% of revenue.

Sibirtelecom's expenditures in the first half of 2009 increased by 8% to 16.373 billion rubles on July 1, 2009.

Among total expenditures the biggest payments were made on labor and various social costs (31.4%). Wear-out and amortization accounted for 24.9% of expenditures while various operational expenses accounted for 20.7%.

Capex in January-June shrank by 27.6% to 2.372 billion rubles. Total investment earmarked for cellular communications came to 46% of Sibirtelecom's total costs.

Net debt shrank since the start of the year by 7.6% to reach 21.2 billion rubles on July 1.

The company's EBITDA in the first half went down by 4.1% year-on-year while its EBITDA margin shrank from 39.4% to 36.6%. Profit from primary operations decreased by 12% to 3.335 billion rubles because the increase in expenditures (up 8%) compared to revenue growth (3.3%). The company's operational profits reflected reparation on losses from the provision of universal services coming to 406 million rubles and various operational revenue totaling 232 million rubles.

The company's pretax profit fell by 58.33% to 1.276 billion rubles. The company said the drop in pretax profit was driven by reduced earnings from operations, an increase in interest on bank loans and non-cash losses from the changing rate of the national currency (428 million rubles.