Ukraine's Kyivstar raises outlook after strong first quarter
Kyivstar's Financial Performance and Strategic Developments
Upgraded Annual Outlook Amid Challenging Conditions
May 13 (Reuters) - Ukraine's biggest telecom operator Kyivstar on Wednesday raised its annual outlook after stronger digital-services growth and steady demand for mobile and broadband services helped it outperform its earlier forecast despite the war with Russia.
Revised Revenue and Profit Forecasts
The company said it now expected 2026 revenue growth in U.S. dollar terms of 11% to 14%, up from a March forecast of 8% to 11%, while earnings before interest, tax, depreciation and amortization, a measure of core profit, were now seen rising 7% to 10% versus its earlier 5% to 8% range.
Market Resilience and Operational Stability
The upgrade signals resilient consumer demand in Ukraine's telecom market, where operators have kept networks running through repeated disruption since Russia's invasion.
Expansion and Diversification Efforts
Kyivstar has expanded beyond telecoms through acquisitions over the past year following its 2025 spin-off from parent Veon and U.S. listing. It now owns ride-hailing, streaming and digital healthcare businesses in Ukraine.
First Quarter Results
First-quarter EBITDA rose 23.5% year-on-year to $173 million (147.4 million euros) on revenue of $323 million, up 26.6%.
(1 euro = $1.1733)
(Reporting by Gianluca Lo Nostro and Leo Marchandon; Editing by Matt Scuffham)
