SALES at OAO Mobile TeleSystems, Russia's largest mobile-phone company, rose 29 percent last year, more than the company had previously expected, boosted by new subscribers, Chief Executive Officer Leonid Melamed said.
Revenue climbed to US$8 billion last year, Melamed told journalists in St Petersburg.
In November, he had predicted sales would increase 22 percent in the year. The revenue figure compares with a median estimate of US$8.17 billion from 23 analysts compiled by Bloomberg News.
Mobile TeleSystems increased its number of subscribers about 17 percent to 85 million, Melamed said, as it added music and video content and greater Internet access. The Moscow-based company is seeking to expand in the nations of the former Soviet Union as there is now more than one cell phone for every Russian.
"The Commonwealth of Independent States is our first priority, but we also are looking to Africa and southeast Asia," Melamed said. Mobile TeleSystems isn't interested in boosting its presence in eastern and western Europe, he said.
Mobile TeleSystems's American depositary receipts rose 1.2 percent to US$81.80 in New York Stock Exchange composite trading yesterday. The shares have dropped 20 percent this year, giving the company a market value of US$32.6 billion.
Mobile TeleSystems and smaller Russian competitor OAO VimpelCom are seeking to buy regional operators to strengthen their positions in the domestic market.