In 2020, Kyivstar increased the area of access to 4G – today 87% of the population of Ukraine can use new mobile technologies in the operator’s network. In the 4th quarter of 2020, subscribers used 12.7% more voice services and 43% more mobile Internet per user. During the year, the operator invested UAH 4.9 billion in 4G, new platforms and services. Since the beginning of the Covid pandemic, the operator has provided UAH 80 million in assistance to the public and subscribers.
In 2020, subscribers increased the use of mobile Internet and voice services. Thus, in Q4 2020, the average use of data traffic per subscriber was 6.1 GB, 43% more than in Q4 2019. The use of voice services per subscriber in Q4 2020 was 651 minutes, or 12.7% more than in Q4 2019.
Mobile services in 4 square meters. In 2020, 25.9 million subscribers used it, which is 1.3% less than in Q4. 2019. This was due to the partial suspension of sales in the dealer network due to lockdown, as well as market trends, such as a decrease in the number of customers using SIM-cards of different operators. Instead, the number of users of the “Home Internet” in Q4 2020 increased by 11% to 1.1 million.
In Q4 2020, the number of Kyivstar TV subscribers increased by 73% compared to the previous quarter – to 0.43 million. The number of subscribers using mobile Internet in Q4 2020 reached 17.1 million, which is 1, 3% more than in Q4 2019. At the same time, the number of subscribers using the Internet in the 4G network increased by 30% over the year. Due to the increase in the number of users of digital services and the growth of consumption, the average revenue per subscriber in Q4 2020 increased by 16.9% compared to the same period in 2019.
Revenues from mobile communications in Q4 2020 increased by 15% to UAH 6.2 billion. Fixed communication revenues increased by 21.3%, compared to Q4 2019, to UAH 430 million. Due to the development of new areas, revenues from the business segment in Q4 2020 increased by 8% compared to Q4 2019. Thus, in 2020 Kyivstar introduced a number of products based on Big Data, cloud solutions, Microsoft Azure Stack, and others. For startups, Kyivstar has launched the Open API platform, which allows developers to use the operator’s analytical data to create their own digital products.
Kyivstar performance indicators in Q4 2020 and for the whole year compared to the same period in 2019
|Financial and operational indicators (million UAH)||4 kv 2020||4 kv 2019|
4 kv 2020 /
4 kv 2019
|12 months 2020||12 months 2019||12 months 2020/2019|
|Total operating income||6 697||5 815||15,2%||25 158||22 392||12,4%|
|Income from mobile services||6 229||5 417||15,0%||23 418||20 903||12,0%|
|Revenue from fixed communication services||430||355||21,3%||1602||1 350||18,7%|
|EBITDA||4 452||4 031||10,4%||16 979||14 683||15,6%|
|EBITDA margin||66,5%||69,3%||-2.8 pp||67,5%||65,6%||1.9 pp|
|Capital costs *||1 251||994||25,9%||4 851||3 972||22,1%|
|Total operating income||6 229||5 417||15,0%||23 418||20 903||12,0%|
|Including from the data transfer service||3 595||2 810||28,0%||13 191||10 847||21,6%|
|Including mobile internet||17,1||16,9||1,3%|
|Data usage (GB / subscriber)||6,1||4,3||43%|
|Total operating income||430||355||21,3%||1 602||1 350||18,7%|
|Broadband operating income||266||224||18,8%||1 030||864||19,3%|
|Broadband subscribers (million)||1,1||1,0||10,9%|
|ARPU broadband (UAH)||81||75||7,6%|
In Q4 2020, capital investments exceeded by 26% the same as in Q4 2019. In 2020, the company invested UAH 4.9 billion in infrastructure development. Thanks to this, the company has become a leader in the development of 4G – today 87% of the population of Ukraine lives in the LTE Kyivstar area. Kyivstar also helped other mobile operators to form continuous radio frequency bands to launch LTE900. To do this, the company transferred to the state part of the spectrum in the 900 MHz band.
“In 2020, we have invested almost 5 billion hryvnias in the development of 4G. Due to this, residents of small settlements gained access to new technologies. We have become the leaders of the home Internet, and also launched a number of innovations so that subscribers can communicate and work during lockdown. In 2021, we will focus on developing new areas of business to create more opportunities for subscribers, “said Alexander Komarov, President of Kyivstar.
In 2020, Kyivstar transferred taxes and other payments totaling UAH 9.3 billion to the state budget. In addition, since the beginning of the Covid pandemic, Kyivstar has provided UAH 80 million in assistance to the public and subscribers – free communication services, bonuses for medical workers, purchase of lung ventilation devices for a number of medical institutions, and more.