VEON discloses April YTD trading update at its AGM
VEON released its April YTD 2024 trading update during its AGM on May 31, 2024. The company reported total revenue of $1,278 million, an 8.6% increase YoY, and a 12.9% increase in local currency. Service revenue was $1,226 million, up by 7.5% YoY, and EBITDA reached $528 million, a 2.1% YoY increase. Five out of six countries showed revenue growth, with notable increases in Pakistan (22.3%) and Kazakhstan (21.7%). However, Ukraine's revenue and EBITDA declined by 13.5% and 22.3%, respectively. VEON cited positive FX developments and the execution of its Digital Operator strategy as key growth drivers.
- Total revenue increased by 8.6% YoY to $1,278 million.
- Local currency revenues grew by 12.9% YoY.
- Service revenue rose by 7.5% YoY to $1,226 million.
- EBITDA increased by 2.1% YoY, reaching $528 million.
- Revenue in Pakistan surged by 22.3% YoY.
- Kazakhstan saw a 21.7% YoY revenue increase.
- Uzbekistan's local currency revenue grew by 16.0% YoY.
- Ukraine's revenue declined by 13.5% YoY.
- Ukraine's EBITDA dropped by 22.3% YoY.
- Bangladesh reported a 7.7% YoY decrease in EBITDA.
- Uzbekistan's EBITDA fell by 13.7% YoY.
Insights
The financial results presented by VEON for the first four months of 2024 indicate a positive trend, with total revenue growing by
For instance, Ukraine's revenue and EBITDA have declined, reflecting the ongoing challenges in that region. In contrast, other regions like Pakistan, Kazakhstan and Uzbekistan exhibited robust growth. Bangladesh displayed more modest growth, while Kyrgyzstan remained relatively stable.
The revenue increase in local currency suggests strong operational performance, though part of the growth in reported currency can be attributed to favorable FX developments. Investors should consider both aspects when evaluating VEON's performance.
The strategy that VEON's management has pursued appears to be effective in driving growth, but regional disparities may pose risks. The company's ability to manage these risks effectively will be important for sustained performance.
VEON’s growth strategy as a Digital Operator seems to be bearing fruit, reflected in the revenue growth across most of its operational territories. The significant revenue increases in Pakistan and Kazakhstan are particularly promising, indicating strong market positioning and effective strategic execution in these regions.
However, the decreases in Ukraine’s revenue and EBITDA highlight the geopolitical and economic challenges impacting that market, which could affect future growth. The stabilization of Kyivstar’s performance is a positive sign, but continued vigilance will be necessary.
From a market perspective, investors should monitor how VEON manages its diversified portfolio, balancing robust markets against those with higher risk profiles. The positive FX impact also underscores the importance of currency fluctuations on VEON's results.
VEON discloses April YTD trading update at its AGM
Amsterdam, 31 May 2024 07:00 CEST –
VEON April YTD 2024 Highlights
- Total revenue of USD 1,278 million, +
8.6% YoY (+12.9% YoY in local currency) - Service revenue of USD 1,226 million, +
7.5% YoY (+11.7% YoY in local currency) - EBITDA of USD 528 million, +
2.1% YoY (+6.4% YoY in local currency) - VEON appoints UHY LLP as auditors for VEON Group’s 2023 PCAOB audit
VEON Ltd. (NASDAQ: VEON, Euronext Amsterdam: VEON), a global digital operator that provides converged connectivity and online services (“VEON or, together with its subsidiaries, the “Group”) will report its key financial highlights for the first four months of 2024 ("4M24") at the Annual General Meeting of shareholders (“AGM”) being held today.
During the first four months of 2024, the Group demonstrated accelerated growth. Reported currency revenues for the first four months of 2024 saw an
"The robust results for the first four months of 2024 reflect the successful execution of VEON’s Digital Operator strategy, which continues to drive our accelerated top-line growth. Our revenues for 4M24 have increased by nearly
The table below details 4M24 and 4M23 revenues and EBITDA and YoY trends for the Group on a country-by-country basis:
| USD million (unaudited) | 4M24 | 4M23 | YoY (reported) | YoY (local currency) |
| Total revenue | 1,278 | 1,178 | | |
| Ukraine | 262 | 303 | ( | ( |
| Pakistan | 435 | 355 | | |
| Kazakhstan | 287 | 236 | | |
| Bangladesh | 190 | 185 | | |
| Uzbekistan | 89 | 84 | | |
| Kyrgyzstan | 18 | 17 | | |
| Service revenue | 1,226 | 1,141 | | |
| Ukraine | 259 | 301 | ( | ( |
| Pakistan | 395 | 331 | | |
| Kazakhstan | 280 | 228 | | |
| Bangladesh | 188 | 182 | | |
| Uzbekistan | 88 | 84 | | |
| Kyrgyzstan | 18 | 17 | | |
| EBITDA | 528 | 517 | | |
| Ukraine | 137 | 176 | ( | ( |
| Pakistan | 195 | 162 | | |
| Kazakhstan | 157 | 124 | | |
| Bangladesh | 63 | 68 | ( | ( |
| Uzbekistan | 32 | 37 | ( | ( |
| Kyrgyzstan | 6 | 7 | ( | |
The full AGM presentation is available on the VEON Group website at https://www.veon.com/investors/equity-investors/agm/.
AGM 2024 webcast and dial-in
To register and access the AGM, please click here or copy and paste this link to the address bar of your browser:
https://veon-global.zoom.us/webinar/register/WN_MIk2L-TtQIyd5KscROF38g
Once registered, you will receive registration confirmation message at the email address provided during registration with the link to access the webcast and dial-in details to listen to the webcast over the phone.
We strongly encourage you to watch the event through the Zoom link, but if you prefer to dial in, then please use the dial-in details.
About VEON
VEON is a global digital operator that currently provides converged connectivity and online services to about 160 million customers in six dynamic markets. We transform people’s lives, empower individuals, create opportunities for greater digital inclusion and drive economic growth across countries that are home to more than
Disclaimer
This press release contains “forward-looking statements”, as the phrase is defined in Section 27A of the U.S. Securities Act of 1933, as amended, and Section 21E of the U.S. Securities Exchange Act of 1934, as amended. Forward-looking statements are not historical facts, and include statements relating to, among other things, expectations regarding management plans and the ability to successfully execute operating model, plans. Forward-looking statements are inherently subject to risks and uncertainties, many of which VEON cannot predict with accuracy and some of which VEON might not even anticipate. The forward-looking statements contained in this release speak only as of the date of this release. VEON does not undertake to publicly update, except as required by U.S. federal securities laws, any forward-looking statement to reflect events or circumstances after such date or to reflect the occurrence of unanticipated events. Furthermore, elements of this release contain or may contain, “inside information” as defined under the Market Abuse Regulation (EU) No. 596/2014.
VEON’s 4M24 results presented in this press release are, unless otherwise stated, based on IFRS, using internal management accounts, are the responsibility of management and are subject to financial closing procedures which have not yet been completed and have not been externally audited, reviewed or verified. Although we believe the information to be reasonable, actual results may vary from the information contained above and such variations could be material. As such, you should not place undue reliance on this information. This information may not be indicative of the actual results for the quarter or any future period.
Contact Information
VEON
Investor Relations
Faisal Ghori
ir@veon.com
FAQ
What is VEON's total revenue for the first four months of 2024?
How much did VEON's service revenue increase in April YTD 2024?
What was VEON's EBITDA for the first four months of 2024?
Which countries showed significant revenue growth for VEON in April YTD 2024?
Did VEON experience any revenue declines in April YTD 2024?
How did VEON's EBITDA perform in Bangladesh during April YTD 2024?
