MOSCOW May 29 Russia's second-biggest mobile
phone operator Megafon said on Thursday its
first-quarter net profit fell 43 percent from a year ago,
missing expectations, due to increased depreciation and
amortisation costs related to an acquisition.
Megafon, controlled by Russia's richest man Alisher Usmanov,
reported a net profit of 7.2 billion roubles ($208 million),
down from 12.6 billion roubles in the same period of 2013, while
analysts had forecast 10 billion roubles.
The bottom line was eroded by depreciation and amortisation
costs related to the acquisition of Scartel as well as foreign
exchange losses resulting from the rouble's weakening.
Quarterly revenues rose 10.6 percent to 74.9 billion
roubles, slightly above the 74.8 billion Reuters poll forecast
and ahead of its full-year guidance for 6-8 percent growth which
Megafon reiterated in a Thursday statement.
($1 = 34.5882 Russian Roubles)
(Reporting by Maria Kiselyova; Editing by Megan Davies)