Source - SMW
Kcell's third quarter net sales increased by 1.6% to KZT37,531m while service revenue was stable at KZT35,024m (KZT35,032m).

EBITDA, excluding non-recurring items, increased by 2.5%  to KZT14,601m and margins rose to 38.9% from 38.6%.

Operating income, excluding non-recurring items, grew by 10.7% to KZT8,917m.

Net income decreased by 11.8% to KZT 3,862m.

For the first nine months, EBITDA, excluding non-recurring items, decreased by 5.3% to KZT41,211m and margin fell to 37.8% from 40.0%.

Chief executive Arti Ots said: 'In the third quarter of 2017, we delivered year-on-year growth in both net sales and profitability for the first time since 2014. 

'This performance was driven by an increase in subscribers and further growth in our B2B business, and was underpinned by continued growth in the Kazakh economy and stabilisation in the domestic telecoms market.

'Net sales rose 1.6 percent year-on-year whilst EBITDA increased by 2.5 percent. Our subscriber base increased slightly over the previous quarter whilst the enterprise segment reported 15 percent growth year-on-year, driven primarily by strong demand for business solutions.

'As we reported in our H1 2017 results announcement, we are disputing a claim by the tax authority of Kazakhstan for KZT 9.0 billion. This sum represents KZT 5.8 billion for unpaid taxes and KZT 3.2 billion in fines and penalties for late payment. 

'We have submitted an appeal to highest level of Kazakhstan's government and to the Ministry of Finance. 

'We continue to pursue all available avenues to achieve resolution and will update investors on the progress of this situation in due course.'