Veon Posts 139% Rise in Q2 Core Profit
Buoyed by Strong Performance in Pakistan and Ukraine
Dutch telecom group Veon posted a 139% rise in its second-quarter core profit on Thursday, boosted by strong customer gains in countries like Pakistan and Ukraine. The company's core profit, measured by earnings before interest, taxes, depreciation, and amortization (EBITDA), rose to 459 million euros ($466 million) on a local currency basis.
In Ukraine, where Veon owns the country's largest mobile operator, Kyivstar, sales grew by 9.5% and core profit increased by 98% despite higher energy costs. The company attributed the strong performance in Ukraine to "continued network investment and customer acquisition initiatives."
Veon's overall sales rose by 10.6% to 2.2 billion euros, driven by growth in data and mobile financial services. The company said it added 1.8 million new customers in the quarter, bringing its total customer base to 233 million.
Veon's chief executive officer, Kaan Terzioglu, said the company was "very pleased" with the results. "We have seen strong momentum in our key markets, particularly in Pakistan and Ukraine, where we continue to invest in our networks and customer service," Terzioglu said in a statement.
Veon's shares rose by 2.5% in early trading on Thursday following the announcement.
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