Results of "KAZAKHTELECOM" (Kazakhstan) in 9 months of 1999

/KASE, Nov.23, 99, Galina Chudinova, Galina Tsalyuk/ - According to listing requirements "KAZAKHTELECOM" (Almaty, official list of securities, category "A") provided Kazakhstan Stock Exchange (KASE) with financial reports as of October 1, 99: balance sheet, income statement and cash flow statement. Following are the results of the emitter in nine months of 1999 (in thousand tenges): As of As of Indicator October 1 '98 October 1 '99 Change ---------------------------- -------------- -------------- ------------ Authorized capital 12,136,529 12,136,529 0 Shareholders equity 37,673,032 30,658,697 -18.6 Total assets 56,429,762 56,472,644 +0.1 Net working capital 5,982,509 1,731,161 -71.1 Accounts receivable (net) 11,508,575 8,369,661 -27.3 Liabilities 18,756,730 25,813,947 +37.6 Sales (services offered) 17,268,447 21,330,139 +23.5 Cost of goods sold (services offered) 10,564,776 12,242,546 +15.9 Net income (loss) of the period 3,341,795 (1,298,081) -138.8 ---------------------------- -------------- -------------- ------------ Nothing has changed in authorized capital of "KAZAKHTELECOM" during reporting period. Decrease in shareholders' equity of 7,014.33 mln tenge or 18.6% was caused by a decrease in: - additional unpaid capital (revaluing of fixed assets) - by 1,644.62 mln; - total of undistributed income - by 5,369.71 mln (of reporting period - by 4,639.88 mln and previous years - 729.83 mln). Book value of a share equaled 2,526.15 tenge at the end of reporting period, 577.99 tenge or 18.6% less than it was a year ago. Decrease was caused by shrinking in shareholders' equity while number of outstanding shares remained the same. The bank's assets has increased by 42.82 mln tenge or 0.1%. long term assets grew 2,125.19 mln tenge or 5.0%, including: - residual value of fixed assets - by 3,078.65 mln; - residual value of intangible assets - by 131.31 mln; - long term investments - by 270.68 mln; - expenses of future periods - by 1.53 mln; with a decrease in incomplete capital construction by 1,356.98 mln. At the same time current assets shrink by 2,082.30 mln tenge or 21.1%, caused by decreases in: - accounts receivable - by 3,138.91 mln; - cash - by 83.78 mln; - short term investments - by 67.37 mln; - expenses of future periods - by 25.51 mln; with an increase in inventories by 1,233.27 mln. Total liabilities has grown by 7,057.22 mln tenge or 37.6%. Growth in long term liabilities amounted to 4,888.17 mln tenge (44.2%), including: - long term credits received from the banks - by 4,187.19 mln; - from non-banking establishments - by 700.98 mln. Current liabilities rose by 2,169.04 mln tenge (28.1%), including: - long term credits due in one year - by 1,632.33 mln; - short term credits - by 1,400.00 mln; - income of future periods - by 132.15 mln; with a decrease in total short term accounts payable by 995.44 mln. Volume of services grew by 4,061.69 mln tenge or 23.5% with a growth in their cost - by 15.9% (1,677.77 mln tenge). Expenses of the period grew by 1,265.64 mln tenge or 35.3%, including: - interest expenses - by 753.11 mln (111.8%); - general and administrative expenses - by 483.85 mln (16.8%); - sales expenses - by 28.69 mln (99.3%). Income from primary activities has increased by 1,118.28 mln tenge (35.9%) and amounted to 4,234.85 mln tenge. The company suffered a loss from secondary activities for a total of 5,329.41 mln tenge. As a result, "KAZAKHTELECOM" incurred 1,298.08 mln tenge during 9 months of this year against 3,341.79 mln tenge profit last year.