SSTL posts Rs 658-cr net loss in Q2

PTI New Delhi | Updated on March 12, 2018 Published on September 07, 2011

Sistema Shyam TeleServices Ltd (SSTL), which operates telecom services under the MTS brand, has reported a net loss of Rs 657.6 crore for the second quarter ended June 30, 2011.

The company had posted a net loss of Rs 661.3 crore for the same quarter of the previous fiscal, SSTL said in a statement today.

Revenues rose to Rs 278.2 crore in the April-June quarter of FY’12, up 164 per cent from Rs 105.5 crore in the same quarter last fiscal.

The company said overall revenues have continuously grown over Rs 40 crore per quarter over the last four quarters.

“In spite of the continued challenges faced by the telecom industry in India, SSTL is on track to successfully execute its data-centric, voice-enabled strategy,” the company President and Chief Executive Officer, Mr Vsevolod Rozanov, said.

Non-voice revenues from both data and mobile value-added services for the quarter were up 36 per cent quarter-on-quarter at Rs 79.69 crore, contributing 29 per cent of the company’s total revenue.

Blended mobile average revenue per user (ARPU) for the last three quarters remained consistent at Rs 82, the company said.

SSTL’s data card subscriber base for the quarter rose 40 per cent to 820,000 subscribers. The company added 236,000 data card subscribers during the quarter, the highest number of additions it has registered in a single quarter till date, it said.

Mobile subscribers’ minutes of usage declined to 295 minutes in Q2, 2011, from 305 minutes in Q1, 2011. The decline was mainly because of the reduced quantity of free on-net minutes offered by the company to its subscribers.

SSTL’s mobile subscriber base stood at 11.7 million customers as of June 30, 2011. By the end of the second quarter of FY’12, SSTL had expanded its high-speed mobile data services to more than 200 cities in India, including all five metros. The number of data subscribers increased by 40 per cent vis-a-vis Q1, 2011, to 820,000.

“Our revenue growth continues to be faster than our growth in wireless subscribers. In the current quarter, our blended mobile ARPU remained consistent, as against a declining trend in the market. This is a strong reflection of our continued efforts to target quality customers,” SSTL Chief Financial Officer, Mr Sergey Savchenko, said.

The capital expenditure made by SSTL in India by the end of Q2, 2011, stood at Rs 6,080 crore, including an investment of Rs 252.7 crore during Q2, 2011.

The company’s consolidated debt liability at the end of Q2, 2011, stood at Rs 5,736.7 crore.

Follow us on Telegram, Facebook, Twitter, Instagram, YouTube and Linkedin. You can also download our Android App or IOS App.

Published on September 07, 2011
This article is closed for comments.
Please Email the Editor