Turkcell’s revenues up 16 percent in 2002
Turkcell recorded a 16 percent revenue increase in 2002 reaching $1.97 million compared to $1.7 million for full year 2001. The company added 3.5 million net new subscribers to its customer base last year, increasing Turkcell's number of subscribers to 15.7 million.
Turkcell paid a total of $474.3 million of its financial debt, including principal and interest, in 2002. It will fully redeem the 1999 bank facility and extend principal payments under the Garanti Bank loan.
In December 2002, the court hearing the transmission lines lawsuit between Turkcell and Turk Telekom decided against Turkcell. Although Turk Telekom has not taken any action yet, Turkcell believes that Turk Telekom may deduct the amount owed under the judgement from an interconnect payment that it must make to Turkcell at the end of Marchto offset the amount that Turk Telekom is owed pursuant to this lawsuit.
As a result, Turkcell has accrued a total provision of $37.4 million, of which $28.3 million was included in direct cost of revenue and $9.1 million was included in interest expenses in the fourth quarter of 2002.
Turkcell commenced operations in 1994 under a revenue sharing agreement with Türk Telekom, the state-owned fixed-line network operator.
Since April 1998, the company has been operating under a 25-year license. Turkcell’s shareholder structure is 41.8 percent controlled by the Çukurova Group, 37.1 percent by Sonera Holding, 14 percent free float, 6.3 percent by the MV Group and .8 percent by others. — (menareport.com)
© 2003 Mena Report (www.menareport.com)