Ukrtelecom posts UAH 57.5 mln in net income in 1H09

Ukrtelecom (UTLM) reported net income in 1H09 of UAH 57.5 mln, vs. UAH 4.3 mln in 1H08, Ukraine’s state-owned monopoly fixed line telephone operator said in a filing on Friday. The company said its net revenues during the period totaled UAH 3.3 bln, up 0.8% yoy. In 2Q09, Ukrtelecom increased its net income 64.9% yoy to UAH 355.5 mln while net revenues rose 0.7% to UAH 1.6 bln. Yegor Samusenko: The second quarter became the first quarter for Ukrtelecom to post positive net income after six consecutive quarters of losses. In our view, the profit can be attributed to an increase in tariffs for fixed line communication effective since May 18, 2009. We estimate this tariff hike will allow the company to generate an additional UAH 180-200 mln in 2009, or about 2.5% of the company’s estimated revenue.