Veon Ups 2026 Growth Outlook, Unveils New Digital Investments in Ukraine
Veon's Strategic Expansion and Financial Outlook
By Gianluca Lo Nostro
July 31 (Reuters) - Veon, the parent company of Ukraine's leading mobile operator Kyivstar, raised its earnings outlook on Friday, signalling confidence in its strategy of expanding beyond traditional telecoms services.
Veon's Positioning and Market Strategy
Dubai-based Veon, which also owns telecoms brands across Asia, has positioned itself as a vehicle for international investors seeking exposure to Ukraine's reconstruction. The group is expanding into areas such as entertainment, financial services and superapps, which combine multiple digital services on a single platform, like China's WeChat.
Key Details of Veon's Updated Outlook
Here are some details:
Revenue and EBITDA Growth Projections
• VEON expects 2026 revenue growth of 15% to 18%, up from its previous forecast of 11% to 14%.
• It expects EBITDA growth of 9% to 12%, compared with its previous forecast of 7% to 10%.
Market Factors and Strategic Adjustments
• Higher energy prices due to the Iran war affected the guidance issued in the first half, prompting Veon to take a conservative approach, Chief Financial Officer Burak Ozer said
Digital Investments and Future Plans
• Chief Executive Kaan Terzioglu said investor appetite for Ukraine was at an all-time high and flagged further digital investments in the country.
• "Our next investments will be around building data inference centers that we can also serve other countries when needed," he told Reuters.
• Veon's shares were up 6% in premarket trading.
(Reporting by Gianluca Lo Nostro. Editing by Mark Potter)
