Net profit of Sistema JSFC decreased by 46.5 % compared to the 1Q of 2007 as a result of USD 521.9 million gained from selling RОSNО company in the 1-Q of 2007. The group performed a 46 % decrease in basic and overcapitalized profit per share from USD 0.08 in the 1Q of 2007 to 0.043 in the 1Q of 2008

As released earlier, net profit of Sistema JSFC in the 4Q of 2007 constituted USD 466.7 million.

Consolidated revenue in the 1Q of 2008 grew by 39.7 % up to USD 3.780 billion compared to USD 2.706 billion in the 1Q of 2007.

As the President of Sistema JSFC Leonid Melamed pointed to, in the 1Q of 2008 the company obtained great financial results, which showed the stability of the business holding and its subdivisions. According to him, the aim is to increase ROIC indicator (return on invested capital) to over 25 % within 5 years.

The results of Sistema JSFC in the 1Q of 2008 were influenced by the growth in the segments of “Banking operations”, “Real estate” and “Tourism”, as well as the significant indicators of the telecommunications segment.

The revenue in telecommunications segment (this  involves МТS and "Komstar-ОТS) in the 1Q increased by 34.1 % in comparison with the corresponding period last year and by 2.9 % in comparison with the 4Q and reached USD 2.771 billion. The revenue of the segment in the 1Q of 2008 constituted 73.2 % of total revenue of the group and  for the first time included financial results of Shyam Telelink company, mobile and fixed communication operator in India (USD 7.5 million proceeds). The revenue of МТS is 85.4 % of the revenue of the telecom segment in the 1Q of 2008.

Telecommunications  

Net profit of the segment grew by 60.4 % compared to the corresponding period last year to  USD 364.6 million.

The revenue of High-Tech segment (represented by Sitronics company) in the 1-st quarter of 2008 increased by 43.4 % to USD 445.8 million. OIBDA indicator of the segment constituted USD 20.6 million in comparison with USD 5.3 million in the 4-st quarter 2007 and the OIBDA loss of USD 11.6 million in the 1-st quarter 2007. OIBDA margin indicator was 4.6 % compared to 0.9 % in the 4-th quarter 2007. Operational profit in the reported quarter constituted USD 5.3 million compared to the operational loss of  USD 24.9 million in the previous year. Net loss in the 1-st quarter of 2008 was USD 5.8 million in comparison with USD 23 million in the corresponding quarter the year before.

Revenue in the mass media segment (Pay TV services provided by Stream-TV, publicity, press and other media assets) in the 1Q 2008 increased by 67.6 % to USD 45.1 million compared to  the corresponding period last year due to the raise in  ARPU of Pay TV services and Internet, the increase in the number of subscribers. Operational loss constituted USD 2.3 million compared to the operational profits of USD 1.3 million in the same quarter a year before.

Sistema JSFC is a diversified corporation controlling companies in service sectors of economy and attending to more than 100 million users. It creates and controls enterprises in separate sectors of service market, including telecommunications, business operations, real estate, retail trade and mass media. Founded in 1993.

Source: prime-tass.ru