Year-end Report January-December 2014

 

Almaty, 29 January 2015 - Kcell Joint Stock Company (“Kcell” or the "Company") (LSE, KASE: KCEL), the leading provider of mobile telecommunications services in Kazakhstan by market share in terms of revenue and subscribers, announces its results for the financial year ended 31 December 2014.

Fourth quarter

• In December 2014, a one-off adjustment of KZT 1.5 billion relating to data revenue for life-long accumulated traffic was classified as deferred revenue. Revenue excluding one-off adjustment decreased by 3.5 percent to KZT 47,792 million (49,526). Revenue including one-off adjustment decreased by 6.6 percent to KZT 46,273 million (49,526).

• EBITDA, excluding non-recurring items, declined by 14.4 percent to KZT 24,489 million (28,598) with EBITDA margin of 52.9 percent (57.7).

• Operating income, excluding non-recurring items, decreased by 23.5 percent to KZT 17,487 million (22,851).

• Net finance cost reduced to KZT 361 million (434).

• Net income decreased by 30.6 percent to KZT 12,667 million (18,264).

• Free cash flow amounted to KZT 11,656 million (19,773).

• Subscriber base amounted to 13,055 thousand (13,064).

 

Full year

• Revenue excluding one-off adjustment increased by 0.8 percent to KZT 189,100 million (187,599). Revenue including one-off adjustment remained stable at KZT 187,581 million (187,599).

• EBITDA, excluding non-recurring items, was up by 0.6 percent to KZT 105,321 million (104,727). The EBITDA margin increased to 56.1 percent (55.8).

• Operating income, excluding non-recurring items, was down 1.8 percent to KZT 80,132 million (81,600).

• Net finance cost decreased to KZT 1,106 million (2,119).

• Net income declined by 8.1 percent to KZT 58,271 million (63,392).

• Free cash flow was down to KZT 63,744 million (80,743).

• Net addition during the reporting year is 299 thousand subscriptions. The total subscriber base decreased to 13,055 thousand (14,307) due to clean-up of 1,551 thousand subscriptions.

 

Year-end Report January-December 2014