VEON 1Q24 Trading Update

Accelerating USD Growth, Strong Operational Execution

VEON 1Q24 Trading Update: Accelerating USD Growth, Strong Operational Execution

Amsterdam, 16 May 2024 07:00AM CEST –

VEON Q1 2024 Highlights

• Q1 revenue of USD 942 million, +6.6% YoY (+11.6% YoY in local currency) and EBITDA of USD 386 million, +0.2% YoY (+5.1% YoY in local currency)
• Q1 capex of USD 125 million, +38.6% YoY, with LTM capex intensity of 18.3%
• Total cash and cash equivalents of USD 632 million, with USD 261 million at HQ; and gross debt at USD 3.7 billion (decreased by USD 2.0 billion YoY), with net debt excluding lease liabilities at USD 2.0 billion; VEON repaid its Revolving Credit Facility
• Maintaining FY 2024 revenue growth guidance in local currency of 16-18%, EBITDA growth guidance in local currency of 18-20%, and capex intensity of 18-19%
• VEON management increases share ownership; announces its 2024 Annual General Meeting and Capital Markets Day

VEON Ltd. (NASDAQ: VEON, Euronext Amsterdam: VEON), a global digital operator that provides converged connectivity and online services, announces selected financial and operating results for the first quarter ended 31 March 2024.

In 1Q24, VEON continued to report growth in revenues in reported currency terms with double digit local currency top-line growth. Total revenues reached USD 942 million, an increase of 6.6% YoY in reported currency (+11.6% YoY in local currency). Service revenues amounted to USD 903 million, an increase of 5.5% YoY in reported currency (+10.4% YoY in local currency), and EBITDA of USD 386 million represented a 0.2% YoY increase in reported currency terms (+5.1% YoY in local currency). Capex in 1Q24 was USD 125 million, an increase of 38.6% YoY, and reported capex intensity for the last twelve months was 18.3% (-2.0p.p. YoY). Total cash and cash equivalents as of 31 March 2024 amounted to USD 632 million with USD 261 million held at the headquarters (“HQ”) level.

For FY 2024, VEON maintains its full-year guidance for revenue of 16%-18% and EBITDA of 18%-20% growth in local currency supported by execution of its digital operator strategy, and for Group capex intensity of 18%-19%.

Commenting on the results, Kaan Terzioğlu said:

“I am pleased to see balanced organic performance in all our markets, reflecting our ability to serve our customers in both consumer and business segments with digital solutions in finance, entertainment, healthcare, education and enterprise services.