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UPDATE 1-Rostelecom H1 earnings up 31 pct, margins improve

Published 10/08/2010, 11:42 AM
Updated 10/08/2010, 11:48 AM

* Says H1 net profit totalled 1.9 billion roubles

* Revenues at 30.0 bln rbls, down from 32.8 bln in H1 '09

* Forex loss at 290 million roubles vs 619 million in H1 '09

* OIBDA margin rises to 19.4 percent from 17.5 percent

(Adds details)

MOSCOW, Oct 8 (Reuters) - Russian long-distance call operator Rostelecom said its first-half revenues fell as more calls were made on mobiles, though exchange rate movements and cost savings pushed up its bottom line.

Net profit rose to 1.9 billion roubles ($63.35 million) from 1.4 billion roubles in the year-ago period, the state-controlled company said in a statement on Friday.

Its bottom line was helped by smaller foreign exchange losses and a rise in its margin on operating income before depreciation and amortisation (OIBDA) to 19.4 percent from 17.5 percent.

Revenues fell 8.6 percent to 30 billion roubles.

"The expected fall of revenues in traditional segments -- from long-distance calls to the rental of communication channels -- is due to the continued ... migration of subscribers to mobile communication as well as the completion of own networks by mobile operators," the company said.

Rostelecom, at the centre of a restructuring of parent company Svyazinvest, said its plan to diversify away from its traditional business reaped benefits as revenues from high-tech services increased. (Writing by Toni Vorobyova; editing by Maria Kiselyova and Will Waterman) ($1=29.99 Rouble)

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