MTS Announces 1Q 2024 results

• 1Q 2024 Consolidated Group Revenue rose 17.4% year-over-year to RUB 161.3 bn.
• 1Q 2024 Group OIBDA increased 4.8% year-over-year to RUB 59.1 bn.
• 1Q 2024 Group Net Profit amounted to RUB 39.5 bn (up 211% year-over-year)

Moscow, July 11, 2024 — Mobile TeleSystems Public Joint Stock Company («MTS» or «the Company) (MOEX: MTSS), a digital ecosystem, announces its first-quarter 2024 financial and operating results.

In 1Q 2024, consolidated Group revenue rose 17.4% year-over-year to RUB 161.3 bn on the back of increased revenue across all business segments. Group OIBDA in the reporting period increased by 4.8% to RUB 59.1 bn, driven by higher revenues in the Telecom and Media segments in addition to excellent Fintech performance. OIBDA growth was constrained by investments in high-potential business streams. The Group’s net profit in 1Q 2024 reached RUB 39.5 bn.

Viacheslav Nikolaev, President and CEO, commented:

«Increased construction volumes in the first quarter of this year will enable us to ensure the stable growth in Telecom, our core business. Our capital expenditures increased by 69% in the quarter due to investments both in telecom infrastructure and in our fast-growing digital businesses.

In January, we acquired a controlling stake in the kicksharing company Urent. We integrated the service with MTS ID, MTS Pay and in June launched Tariff 24, which allows users to exchange voice minutes for rides on MTS Urent scooters. The service was fully integrated into our ecosystem before the start of the season, and in April already, 65% of rides were completed by users of our ecosystem subscription service. We are seeing an increase in the number of users of our MTS Premium ecosystem subscription service by almost 50% compared to the same period last year. It is important to note the continuing double-digit growth of our digital businesses: KION, Defender, MTS Music, Stroki and others.

We launched the first ecosystem store in our retail network, and we are already seeing good results: turnover exceeded that of our MTS flagship stores by 34%; sales of ecosystem products, by 25%; and traffic, by 150%. At the same time, we reduced our total number of retail outlets by 148 stores in the quarter, to 4,330.»