One of the areas that allowed MegaFon to increase revenue in 2023 is the B2B segment.
Posted: Wed Jan 22, 2025 4:32 am
Yesterday, February 29, PJSC MegaFon presented its financial statements for 2023. According to the results of 2023, the operator's revenue increased by 11.4% to RUB 444 billion.
MegaFon's net profit in 2021 reached RUB 66 billion, decreased to RUB 27 billion in 2022, and increased by 43.2% in 2023 to RUB 39.9 billion.
Vladimir Chernov, an analyst bolivia whatsapp number database at Freedom Finance Global, believes that the reduction in MegaFon's net profit in 2023 compared to 2021 is due to the company's significantly increased expenses on purchasing telecom equipment amid external restrictions and high inflation rates. "And the high cost of borrowing and the rate of growth of consumer prices have reduced consumer demand and household spending," he explained.
Artem Mikhaylin, an analyst at Veles Capital, believes that net profit is an extremely volatile indicator, which is influenced by many one-time factors. "In 2021, such a factor was the sale of JSC First Tower Company (PBC) to an independent operator and a stake in AliExpress-Russia to USM holding, as well as the profit recorded from it. In 2022, this factor was no longer there, but there was a large negative effect from associated enterprises, as well as revaluation and disposal of investments. In 2023, a noticeable increase in operating profit was partially offset by a sharp decline in financial income and large non-operating expenses," added Artem Mikhaylin.
When asked by a ComNews journalist what share of the company's total revenue was made up by the B2B segment, MegaFon's press service did not answer, but noted that over the past three years, revenue in this segment has grown by more than 50%. "Significant growth rates were shown by digital advertising, cloud services, Big Data-based solutions and cybersecurity services. We have a balanced portfolio of services that meets any needs and tasks of companies of various sizes. MegaFon invests in technological solutions for business, the number of which is already approaching one hundred. This is a very wide range of services: from virtual PBX, digital advertising tools, provision of cloud solutions to the deployment of private communication networks (Private LTE) and the organization of complex and large-scale digitalization systems covering entire cities," MegaFon's press service explained to a ComNews journalist.
Read also
Natalia
Taldykina,
Director of Corporate Business Development
at MegaFon
B2B will be a growth driver for operators
Today, MegaFon disclosed its financial statements for 2023. The company named the active development of the B2B direction as the leading factor in increasing key business indicators - revenue and OIBDA. MegaFon's Director of Corporate Business Development Natalia Taldykina told ComNews in an interview which products are currently in the greatest demand and what will contribute to the development of the market in the future
When asked by a ComNews journalist whether the B2B development trend is visible for all the Big Four operators, Vladimir Chernov replied: "The financial statements of Mobile TeleSystems PJSC (MTS) according to international financial reporting standards for Q3 2023 show a 20% year-on-year growth in telecom B2B revenue, and in Q2 the growth was 37% year-on-year. Rostelecom had a much more modest growth in the B2B segment in Q4 2023, B2B revenue increased by 2.3%, and the B2B/G segment grew by 12.8% year-on-year. VimpelCom PJSC (Beeline brand) has not yet provided its financial statements for Q4 2023, but the revenue growth rates of the B2B segment in Q2 and Q3 last year were comparable to Rostelecom. In Q2 2023 VimpelCom's B2B revenue grew by 9.5% year-on-year, and in Q2 the growth rate increased to 10.1% year-on-year. To summarize, all of the Big Four operators are seeing revenue growth in the B2B segment, but MTS's growth rate is twice as high as Rostelecom's and Beeline's.
MegaFon's net profit in 2021 reached RUB 66 billion, decreased to RUB 27 billion in 2022, and increased by 43.2% in 2023 to RUB 39.9 billion.
Vladimir Chernov, an analyst bolivia whatsapp number database at Freedom Finance Global, believes that the reduction in MegaFon's net profit in 2023 compared to 2021 is due to the company's significantly increased expenses on purchasing telecom equipment amid external restrictions and high inflation rates. "And the high cost of borrowing and the rate of growth of consumer prices have reduced consumer demand and household spending," he explained.
Artem Mikhaylin, an analyst at Veles Capital, believes that net profit is an extremely volatile indicator, which is influenced by many one-time factors. "In 2021, such a factor was the sale of JSC First Tower Company (PBC) to an independent operator and a stake in AliExpress-Russia to USM holding, as well as the profit recorded from it. In 2022, this factor was no longer there, but there was a large negative effect from associated enterprises, as well as revaluation and disposal of investments. In 2023, a noticeable increase in operating profit was partially offset by a sharp decline in financial income and large non-operating expenses," added Artem Mikhaylin.
When asked by a ComNews journalist what share of the company's total revenue was made up by the B2B segment, MegaFon's press service did not answer, but noted that over the past three years, revenue in this segment has grown by more than 50%. "Significant growth rates were shown by digital advertising, cloud services, Big Data-based solutions and cybersecurity services. We have a balanced portfolio of services that meets any needs and tasks of companies of various sizes. MegaFon invests in technological solutions for business, the number of which is already approaching one hundred. This is a very wide range of services: from virtual PBX, digital advertising tools, provision of cloud solutions to the deployment of private communication networks (Private LTE) and the organization of complex and large-scale digitalization systems covering entire cities," MegaFon's press service explained to a ComNews journalist.
Read also
Natalia
Taldykina,
Director of Corporate Business Development
at MegaFon
B2B will be a growth driver for operators
Today, MegaFon disclosed its financial statements for 2023. The company named the active development of the B2B direction as the leading factor in increasing key business indicators - revenue and OIBDA. MegaFon's Director of Corporate Business Development Natalia Taldykina told ComNews in an interview which products are currently in the greatest demand and what will contribute to the development of the market in the future
When asked by a ComNews journalist whether the B2B development trend is visible for all the Big Four operators, Vladimir Chernov replied: "The financial statements of Mobile TeleSystems PJSC (MTS) according to international financial reporting standards for Q3 2023 show a 20% year-on-year growth in telecom B2B revenue, and in Q2 the growth was 37% year-on-year. Rostelecom had a much more modest growth in the B2B segment in Q4 2023, B2B revenue increased by 2.3%, and the B2B/G segment grew by 12.8% year-on-year. VimpelCom PJSC (Beeline brand) has not yet provided its financial statements for Q4 2023, but the revenue growth rates of the B2B segment in Q2 and Q3 last year were comparable to Rostelecom. In Q2 2023 VimpelCom's B2B revenue grew by 9.5% year-on-year, and in Q2 the growth rate increased to 10.1% year-on-year. To summarize, all of the Big Four operators are seeing revenue growth in the B2B segment, but MTS's growth rate is twice as high as Rostelecom's and Beeline's.