Ukrtelecom continues to provide Internet access to 88% of the number of settlements covered by the operator’s network before the full-scale Russian invasion, to provide services to the Armed Forces, government agencies, businesses and the population, to restore the infrastructure damaged by the enemy and to systematically help the Ukrainian defense forces.
Operational efficiency
In 1H2023, Ukrtelecom generated total revenue of over UAH 2.5 billion.
Even in the challenging operating environment of a full-scale war, Ukrtelecom demonstrates a consistently high level of operational efficiency. For 6 months of 2023, the company’s EBITDA amounted to over UAH 700 million and EBITDA margin was 27.8%.
The company is implementing new important projects and solutions to improve and develop its business. For example, to improve the efficiency of the telecom business, generate new opportunities for its development, and consolidate responsibility for telecom revenues, the company created a commercial directorate that united the development of the corporate segment, mass segment, and inter-operator telecom business.
The business reorganization will help unify and improve the efficiency of business processes, introduce new interesting products, as well as methods of organizing sales and customer service.
Optical network development continues
In the context of martial law, Ukrtelecom continues to meet the demand for optical Internet access, and the subscriber base of optical Internet users is growing accordingly. The number of optical Internet subscribers in the first half of the year increased by almost 10% to 320 thousand.
The company continues to implement projects to develop the optical infrastructure so that subscribers can use the services they need. Thus, 2023 kilometers of fiber-optic lines have already been built this year.
We have connected 80 medical and 82 educational institutions and almost 20 business facilities to the high-speed optical Internet. In total, as of early July, Ukrtelecom’s optics are available in more than 1700 educational and 1280 medical institutions and 550 territorial communities.
Real estate: gains and losses
Despite the challenging economic environment, Ukrtelecom continues to manage its property effectively, which is released due to the modernization of its technological infrastructure. Revenues from commercial property lease amounted to UAH 230 million in the first half of the year.
During the full-scale war, the company lost a number of properties in the temporarily occupied settlements, and many buildings were damaged and destroyed by the enemy. According to preliminary estimates, the company’s direct losses from destroyed buildings, lost equipment, telecom networks and other assets in the temporarily occupied territories amount to about UAH 700 million.
The total destructive impact of the Russian aggression on Ukrtelecom is UAH 2.8 billion, which is mainly due to the economic impairment of its operating assets.
Taxes
The company fulfills its obligations to the state by paying more than UAH 750 million in taxes to the budgets of all levels for 6 months of 2023.
Restoration work 24/7
Ukrtelecom continues to provide telecom services to its subscribers wherever it can. Since the start of the full-scale war with the Russian aggressor, the operator has not stopped providing services. As of today, the company provides Internet access services in 88% of Ukrainian settlements covered by its network before the full-scale Russian invasion.
Restoration works are ongoing. The company is gradually resuming operations in the territories liberated from the enemy where its infrastructure was destroyed or damaged.
The operator coordinates its actions with the State Emergency Service and the Armed Forces of Ukraine, and after they take the necessary measures, repair and restoration works are carried out in the de-occupied settlements.
Helping the Armed Forces of Ukraine
Ukrtelecom systematically helps our soldiers defend our land.
During the full-scale war, the company sent dozens of UAVs to the defenders of Ukraine as part of the Steel Front initiative of businessman Rinat Akhmetov, including Valkyrie and Leleka unmanned aerial vehicles. Another large-scale project to help the Armed Forces of Ukraine has been implemented, providing more than 20 units of the Defense Forces with almost 2,500 special hardware and software.
About UAH 65 million of financial assistance has already been allocated to the needs of the defenders, and more than 230 vehicles from the corporate fleet have been transferred.
More than 370 Ukrtelecom employees are defending Ukraine’s land in the Armed Forces.
Ukrtelecom will continue to focus all its efforts on maintaining the stable operation of the telecommunications network for Ukraine’s victory, providing communication services to customers in different regions of the country.
