MTS Announces Q3 2020 Results
Mobile TeleSystems PJSC (NYSE:MBT) reported solid results for Q3 2020, achieving revenue growth of 4.9% year-over-year, totaling 129.0 billion rubles. Adjusted OIBDA increased by 3.3% to 58.5 billion rubles. The performance was driven by growth in Fintech, Media, and Cloud services, which contributed significantly to the top-line expansion. Despite challenges from COVID-19, MTS Bank returned to profitability. The company has upgraded its full-year guidance for revenue growth to at least 3% and adjusted OIBDA growth to flat to 2%.
- Q3 2020 revenue increased by 4.9% year-over-year to 129.0 billion rubles.
- Adjusted OIBDA rose by 3.3% to 58.5 billion rubles.
- Growth in non-core segments like Fintech, Media, and Cloud contributed significantly to revenue.
- The company upgraded its full-year guidance for revenue growth to at least 3%.
- International roaming revenue sharply declined due to COVID-19 travel restrictions.
MOSCOW, RUSSIA / ACCESSWIRE / November 17, 2020 / Mobile TeleSystems PJSC (NYSE:MBT)
Q3 2020
MTS Group - Key figures* | Q3 2020 | Q3 2019 | Change,% | |||||||||
Revenue | 129.0 | 123.0 | 4.9 | % | ||||||||
o/w Russia | 127.4 | 121.9 | 4.4 | % | ||||||||
Adjusted OIBDA[1] | 58.5 | 56.7 | 3.3 | % | ||||||||
o/w Russia | 57.2 | 55.4 | 3.1 | % | ||||||||
Operating profit | 33.2 | 32.6 | 1.8 | % | ||||||||
Profit attributable to owners of the Company | 18.8 | 18.4 | 2.3 | % | ||||||||
Cash CAPEX[2] | 23.4 | 21.8 | 7.4 | % | ||||||||
Net debt[3] | 302.4 | 307.0 | -1.5 | % | ||||||||
Net debt / LTM Adjusted OIBDA[4] | 1.4 | 1.3 | n/a | |||||||||
9M 2020 highlights | 9M 2020 | 9M 2019 | Change, % | |||||||||
Operating cash flow | 109.1 | 70.3 | 55.3 | % | ||||||||
Free cash flow ex-Bank excl. SEC/DOJ payment | 54.2 | 59.5 | -9.0 | % | ||||||||
in RUB bn unless indicated otherwise
*All profit & loss figures for 2019 have been restated to reflect the deconsolidation of MTS's former Ukraine operations
Alexey Kornya, President & CEO, commented on the results:
"Today I am happy to report that MTS has delivered another solid set of results for Q3 2020. We successfully overcame COVID-19 headwinds and achieved Group Revenue growth of
Encouragingly, in Q3 we saw many impacts from COVID-19 begin to ease. Our stores in Russia resumed mostly normal operations and MTS Bank returned to profitability as the macroeconomic picture became clearer. That said, some of the challenges remain, and in Q3 we saw a sharp year-over-year decline in international roaming revenue as travel restrictions led to a curtailed summer vacation season.
Nevertheless, I am confident that our solid performance during this challenging period only further confirms that we are on the right track with our CLV 2.0 growth strategy. Looking ahead, we remain laser-focused on being the best telecom operator in Russia while also moving forward to capture the growing upside in our digital ecosystem.
Given our strong Q3 results, as well as our increased visibility toward year-end 2020, we are upgrading our full-year guidance to revenue growth of at least +
More information at: http://ir.mts.ru/investors/financial-center/financial-results/default.aspx
[1] Adjusted OIBDA has been adjusted for the reversal of impairment of non-current assets of RUB 21 m for Q3 2020
[2] Excluding purchases of 4G license in Armenia in 2019 and net of cash proceeds under sharing agreement
[3] Excluding lease obligations
[4] Including the effects of IFRS 15 and 16
SOURCE: Mobile TeleSystems PJSC via EQS Newswire
View source version on accesswire.com:
https://www.accesswire.com/617106/MTS-Announces-Q3-2020-Results
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