VimpelCom posts FY 2010 net income of $1.673 billion

RIA Novosti / Aleksand Alpatkin
Vimpelcom FY results
Russian mobile operator, VimpelCom, has posted a FY 2010 net income of $1.673 billion under US GAAP.

­The bottom line is up 49.2% year on year from the $1.121 billion net income posted for FY 2009, with FY 2010 adjusted OIBDA up 15.4% year on year to $4.932 billion, on the back of a 20.8% increase in net operating revenues to $10.512 billion.

For 4Q 2010 Vimpelcom posted a net income of $461.2 million, up 62.7%, with 4Q adjusted OIBDA rising 15% year on year to $1.251 billion, as 4Q net operating revenues rose 22% year on year to $2.815 billion.

The company attributed the results to increasing subscriber numbers, with mobile subscriptions up 43.5% year on year to 92.7 million, and broadband subscriptions up 66% year on year to 3.8 million, which flowed through to revenues.  VimpelCom also noted increasing capital expenditure and reduced debt.

VimpelCom Chief Executive Officer, Alexander Izosimov, was positive about the results and highlighted the company’s strong financial position.

“The Company showed a good set of results for the fourth quarter and full year of 2010, reporting substantial growth over the corresponding periods of 2009.  Our results reflect improvements in macroeconomic conditions in our major markets, the consolidation of Kyivstar, as well as our efforts to drive further growth and improve the quality of our subscriber base. With annual revenues of more than $10 billion, almost $5 billion of OIBDA and $1.7   billion of net income, we continue to maintain a strong financial position.”