 "Sistema Shyam narrows down Q2 loss to Rs 403 cr")
Sistema Shyam Teleservices, which operates under MTS brand, on Monday, reported its loss narrowed down at Rs 402.5 crore for the second quarter (April-June) backed by cost optimisation and operational efficiencies. Its loss stood at Rs 844.7 crore in the corresponding quarter previous year, the company said in a statement.
Total revenue increased by 15% to Rs 334.8 crore for April-June quarter against Rs 290.9 crore posted during the corresponding period last year. "During the quarter, our consolidated revenues grew by 5% quarter-on-quarter, driven by growth in non-voice revenues. These results are a testament of the market acceptance of our world class 3G plus network. Going forward, we expect strong momentum to continue, especially in our data business," said Dmitry Shukov, chief executive officer, Sistema Shyam Teleservices.
The company reported operating income before depreciation and amortisation (OIBDA) loss of Rs 136.5 crore for the quarter under review. During the April-June quarter, the company has invested Rs 33.2 crore. Its debt from banks and financial institutions stood at Rs 3,614 crore as on 30 June, 2014.
The company's non-voice revenue grew 14% during the quarter. Its chief financial officer Sergey Savchenko said that the company's priority was to drive revenue growth in data for the company with strict focus on achieving profitability. "The plan is to continue investing in our data business and at the same time, through discipline ensure improvement in our OIBDA margins," said Savchenko.