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1.7 milliard profit from Turkcell E-mail

ImageTurkcell increased its incomes in rate of 1 percent when compared to previous year.

The net profit of Turkcell in 2009 was realized as 1.7 milliards. According to the information given in the press conference organized related to 2009 year operational and financial results of Turkcell, Turkcell increased its incomes in rate of 1 percent when compared to previous year and made it 8.9 milliards Lira. Net profit of Turkcell was realized as 1 milliard 716 million Lira in 2009 because of loss from decline in value, deletion of fixed assets from records and legal payments. The total subscriber number of Turkcell as end of 2009 year was 62.7 together with its foreign operations and its subscriber number in Turkey was 35.4 millions.

The General Director of Turkcell, Süreyya Ciliv, stated that resolution of the Information Technologies and Communication Agency (BTK) related to decreasing of interconnection fees was a surprise for them and for this reason, they withdrawn their forecasts about 10 percent growing in 2010.  Ciliv who spoke at the press conference organized related to 2009 year operational and financial results of Turkcell stated that 2009 was a challenging year because of the general economical situation, regulations in the sector and dense competition.  Cilic also stated that the market share of Turkcell that gained about 3 milliards AVFÖK and 1.7 milliard Lira net profit in 2009 did not change much when compared to previous year and was 56 percent.  Cilic expressed that the market narrowed in rate of 5 percent last year and about 3 millions sim cards were used and here, regression of double sim card using in level of 20 percent to 15 percent in 2008 played an important role. Ciliv said that three operators influenced from narrowing of market by losing their subscribers and penetration decreased from 92 percent to 87 percent and also stated that Turkcell made 2-3 times more investment than other operators with 4.6 milliards lira between years of 2004-2008 and its investment amount only in 2009 was 2.7 milliards Lira. Ciliv stated that they made a significant progress in gaining of invoiced subscribers and the number of invoiced subscribers , 7.5 millions, in the 4th quarter of 2008 year, reached to 9.4 millions with 25 percent increase in the 4th quarter of 2009 year. Ciliv said that there was a small decrease in prepaid subscribers but no regression occurred in incomes obtained from that section, and added that gaining of net invoiced subscribers in number of 1 million in 2008 increased to 1.9 million in 2009. 

65 percent market share in 3G

Ciliv said that 40 percent increase occurred in monthly usage per subscriber and 90-minute usage in 2008 increased to 134 minutes in 2009, and he shared the following information. " Our about 5 million registered customers in 3G applied to use 3G. 2.5 million of them use it actively. 1.9 of them use mobile internet. In Vinn usage, during the first 6 months of 3G application, about 300 thousand Vinn ,3G notebooks and notebooks were sold. Our market share in 3G is 65 percent. The mobile internet incomes became 261 millions with 100 percent increase. We expect that figure will grow rapidly. Since August month when 3G was commenced, the data traffic of Turkcell increased 5.5 times. 75 percent of it passes from the 3G network. "Ciliv also mentioned the performances of group companies and said that while incomes of Life in Ukranina ,that is one of the countries mostly effected from the economical crises, were effected in dollar basis, its income increase realized as 19 percent in local currency basis and contribution of Fintur in net profit decreased because of fluctuations in foreign exchange rate. Ciliv stated that their growth in number of employees was 5 percent in 2009 and they employed about 400 persons at the end of 2009.

Decrease In Interconnection Fees

Ciliv who replied the questions after his speaking made the following comments about decrease in interconnection fees; "I think 52 percent decrease in interconnection fees as announced by BTK in 2010 and maximum 38 percent decrease is not convenient for the sector for two reasons. Firstly, these are very high figures. Incomes of all operators will incur a very serious loss. Secondly, it is related to predictability. Prices come to desired point within a 5-year plan abroad. Here, the given period is 1.5 months. I think this period is very less. Here, necessary time is not given to companies to change their own tariffs and announce them to their customers. I think both the decrease is very excessive and the the given time is very short. I think this is valid for the whole sector. As a result of deductions made in 2009, profitability of all operators decreased."

Decrease in interconnection fee will speed up passing to mobile 

Ciliv said about 2010 year targets that at the end of the third quarter of 2009, they estimated that their business would grow again in parallel to serious economical development forecasts in Turkey but then, the BTK resolutions were enforced unexpectedly. Ciliv said that " This was a great surprise for us. For this reason, we withdraw our 10 percent growing forecast for 2010. I think it will be very difficult to realize that forecast under these conditions". Ciliv mentioned that the share of interconnection incomes in total incomes is about 10- 11 percent and this decrease may speed up passing from the fixed to mobile and he does not expect that Türk Telekom will get a great benefit from that situation. Süreyya Ciliv expressed that " we had said  we would make use of the growing opportunities also in other countries other than Turkey. We increased our studies on that matter in 2010. If there exist convenient opportunities, we have cash and we will make use of it." 

Passing from 3G' to 4G will be soft

Ciliv, upon a question about the Belarus operation, explained that they entered in the market with 2 big operators as the 3rd operator and they began from a level near zero , and positive developments have been experienced and they presented the first 3G network to Belarus. Ciliv said that the minute application instead of unit application would become clear in April month and it would ensure easiness for the prepaid customers and he added that they postponed for a month the invoices of subscribers in Elazığ after the earthquake there and they might take other measures in future if necessary. Ciliv mentioned that passing from 3G to 4G will realize not as a step but in a softer manner.

 
 

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