Interim Results for January – June 2018

Kcell JSC

Interim Results for January – June 2018

Almaty, 20 July 2018 – Kcell Joint Stock Company (“Kcell” or the "Company") (LSE, KASE: KCEL), the leading provider of mobile telecommunications services in Kazakhstan, announces its interim results for January – June 2018.

Second quarter

  • Net sales increased by 0.6 percent to KZT 36,303 million (36,082). Service revenue decreased by 3.9 percent to KZT 32,065 million (33,356).
  • EBITDA, excluding non-recurring items, declined by 11.9 percent to KZT 11,926 million (13,541). EBITDA margin decreased to 32.9 percent (37.5).
  • Operating income, excluding non-recurring items, decreased by 32.9 percent to KZT 5,234 million (7,804).
  • Net finance cost decreased to KZT 1,850 million (1,961).
  • Net income of KZT 2,621 million (666).
  • CAPEX-to-sales ratio of 13.5 percent (11.0).
  • Free cash was negative KZT 1,162 million (2,456).
  • During the quarter, the total number of subscriptions increased by 104 thousand to 10,062 thousand (9,958).

First half

  • Net sales up 1.4 percent to KZT 72,689 million (71,713). Service revenue decreased by 2.8 percent to KZT 64,332 million (66,153).
  • EBITDA, excluding non-recurring items, decreased by 5.3 percent to KZT 25,381 million (26,802). EBITDA margin was 34.9 percent (37.4).
  • Operating income, excluding non-recurring items, down 19.1 percent to KZT 12,479 million (15,434).
  • Net finance cost decreased by 10.3 percent to KZT 4,165 million (4,644).
  • Net income up 38.1 percent to KZT 6,373 million (4,617).
  • CAPEX-to-sales ratio of 10.6 percent (13.8).
  • Free cash flow decreased to KZT 341 million (4,204).
  • The number of subscriptions remained largely stable year-on-year at 10,062 thousand (9,992).

Results for January – June