BAKU, Azerbaijan, July 6
By Tamilla Mammadova – Trend:
Total revenue of Silknet, one of the largest telecom operators in Georgia, amounted to 387.2 million lari ($127.5 million) in 2019, which is 12.44 percent more than in 2018, Trend reports referring to Silknet.
This growth is mainly attributed to the fact that Silknet acquired Geocell in the first quarter of 2018, the company said.
In addition, the growth is also associated with an increase in revenues from fixed Internet, pay television and mobile Internet.
In certain areas, the total income of the company is distributed as follows:
|
Type of services |
Amount |
Change year-on-year |
|
Outgoing calls |
105.83 million lari ($34.8 million) |
increase of 26.50 percent |
|
Fixed Internet |
94.32 million lari ($31.06 million) |
increase of 13.32 percent |
|
Mobile Internet |
57.91 million lari ($19.07 million) |
increase of 42.70 percent |
|
Pay TV |
43.01 million lari ($14.16 million) |
increase of 19.40 percent |
|
Fixed telephone |
19.55 million lari ($66.4 million) |
decrease of 12.61 percent |
|
Income from SMS |
12.69 million lari ($4.1 million) |
increase of 33.56 percent |
|
Income from other services |
7.36 million lari ($2.4 million) |
increase of 2.55 percent |
|
Income from the sale of telephones and telephone accessories |
2.28 million lari ($750,918) |
decrease of 12 percent |
|
Wireless telephone service |
1.09 million lari ($358,991) |
decrease of 57.01 percent |
|
Infrastructure rental services |
2.06 million lari ($678,461) |
increase of 16.58 percent |
|
Income from roaming |
6.78 million lari ($2.2 million) |
increase of 6.48 percent |
|
Wholesale Internet |
2.06 million lari ($678,461) |
increase of 11.71 percent |
In terms of costs, Silknet's main operating expenses were depreciation and amortization, which amounted to 111 million lari ($36.5 million) in 2019. The financial costs of the company amounted to 104 million lari ($34.2 million), and due to the difference in the exchange rate, the company suffered losses in the amount of 34 million lari ($11.1 million).
Silknet's total loss last year was 46 million lari ($15.1 million).
The largest investment in Silknet over the past two years has been the acquisition of Geocell. The deal amounted to $151 million.
“Despite the high competition in the telecommunications market, the group’s commercial revenue increased by 20 percent compared to the previous year,” the report said.
On April 2, 2019, the company successfully completed the issue of unsecured bonds in the amount of $200 million on the Euronext Dublin Exchange. The maturity date of Eurobonds is 5 years.
As of December 31, 2019, the group’s mobile network had 1,734 million subscribers and occupied 35 percent of the market. Revenues from mobile services amounted to 42 percent of the group’s total revenue.
In the reporting period, Silknet had 288,000 fixed Internet subscribers, which amounted to 31 percent of the total market. The share of fixed Internet in the total revenue of the group in 2019 was 24 percent.
As of December 31, 2019, Silknet had 222,000 pay-TV subscribers, which amounted to 33 percent of the market. Revenues from this service amounted to 11 percent of the group’s total income.
By the end of 2019, Silknet had 264,000 fixed-line telephony subscribers, accounting for 53 percent of the market share. The share of revenues from fixed telephony services in the group’s total revenue was 5 percent.
The total assets of the company at the end of 2019 amounted to 837.38 million lari ($275.7 million).
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