Russia's largest mobile phone operator, Mobile TeleSystems (MTS), has reported that net profit for 2007 almost doubled to USD2.07 billion compared to USD1.08 billion in 2006. Revenue for the year ended 31 December 2007 increased 29% to USD8.25 billion from USD6.38 billion. Consolidated OIBDA grew 31% to USD4.223 billion, with OIBDA margin amounting to 51.2%, up from 50.6% in 2006. Subscriber numbers across the group's operations rose 13% to 85.77 million, while it gained 6.21 million new subscribers in Russia during 2007.
On a quarterly basis, MTSís net profit more than quadrupled in the final three months of the year to USD460 million compared to USD110 million in same period of 2006. This was less than analysts had anticipated, but revenues, which rose to USD2.33 billion in the period from USD1.81 billion a year ago, were higher than forecasted. MTS said monthly ARPU rose to USD10 in Russia in the fourth quarter.
MTS said it expects revenues to grow by at least 25% in 2008, fuelled by an increase in the demand for voice services and a higher consumption of extra services and data transfer. The company plans capital expenditure of up to USD2.5 billion for the year.