Telecommunications service operator VimpelCom Ltd.'s (VIP) first-quarter of 2013 net income attributable to shareholders increased 28% to $408 million from $318 million in the prior year quarter, due to due to higher EBIT, higher financial expenses and the favorable impact attributable to non-controlling interest.
Profit before tax decreased by 8% to $543 million from $593 million in the same period a year ago, mainly due to a lower foreign exchange gain, which totaled $28 million in latest-quarter compared to a foreign exchange gain of $63 million in last year.
Total operating revenues for the quarter was $5.591 billion, compared to $5.619 billion. The Year-on-year organic revenue growth was 1%, impacted particularly by MTR reductions in Italy, without which Group organic revenue growth would have been 4%. EBITDA was up 3% organically and 5% excluding the MTR reductions in Italy, highlighting our continuing and successful focus on operational excellence and cost control.
The Income statement for the prior year period has been amended to reflect classification of certain operating costs at the Group level without any impact on net income and performance of the business unit.
In addition, the company affirmed its dividend guidelines, based on which VimpelCom aims to pay out at least $0.80 per share per year assuming not more than 1.757 billion common shares are issued and outstanding.
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