MTS Announces Q1 2023 Results
- Q1 2023 Consolidated Group Revenue grew 5.8% year-over-year to RUB 139.6 bn.
- Q1 2023 Group OIBDA increased 2.4% year-over-year to RUB 57.7 bn.
- Q1 2023 Group Net Profit amounted to RUB 12.7 bn or more than tripling year-over-year.
MOSCOW, May 19, 2023 — Mobile TeleSystems Public Joint Stock Company (“MTS” or “the Company”) (MOEX: MTSS), a digital ecosystem, announces its first-quarter 2023 financial and operating results.
In Q1 2023, Consolidated Group Revenue rose by 5.8% year-over-year to RUB 139.6 bn, driven primarily by the Company’s Telecom, Adtech, Fintech and Media segments. Group OIBDA in Q1 2023 increased 2.4% to RUB 57.7 bn, supported by Fintech, Telecom and Media results. Group Net Profit in Q1 2023 improved year-over-year to RUB 12.7 bn mainly through decreased financing costs and increased OIBDA.
Viacheslav Nikolaev, President & CEO, commented: “The first quarter showed the growing financial impact of our ecosystem strategy. Today we see that the CLV of an ecosystem customer is up to eight times higher than that of a mobile subscriber. As of the end of the reporting period, the number of MTS ecosystem customers had increased to 13.9 million, up 26.7% year-over-year. Meanwhile, we record the multiple growth of customer service tNPS of the ecosystem digital products year-over-year.
“At the heart of the ecosystem is a sustainable telecom business that ensures the stability of the entire Group while also supporting development in several areas. We are the clear leaders in terms of the number of mobile subscribers and we rank first in terms of the subscriber base for convergent services. We are the digitalization partner for more than 250 thousand Russian companies, from small and medium-sized businesses to enormous industrial holdings.
“Our transformation into a technology company required a radical upgrade in our IT architecture. Our project to create a single technology platform (“the Platform”) was met with enthusiasm by more than 10,000 developers who were able to free themselves from a large number of routine tasks. I am pleased to announce that the average migration rate to the Platform was 24% across the ecosystem in the first quarter.
“I would especially like to note the growing economic impact of the introduction of big-data and artificial-intelligence technologies, which, according to our estimates, has already amounted as tens of billions of rubles across the entire ecosystem.
“In March, we announced a global rebranding that has received very positive reviews from our stakeholders. In the first few months, we have seen an increase in brand awareness from 82% to 89% and ad recognition more than twice higher of the average market level.”