VimpelCom (VIP) reported third-quarter 2009 earnings of 42 cents per ADS (based on an average exchange rate of 31.26 RUR/US$) that narrowly missed the Zacks Consensus Estimate of 44 cents. However, the result beat the year-ago earnings per ADS of 27 cents. The second-largest Russian telecom carrier reported quarterly net income of RUR13.5 billion (US$432 million), more than double the net income of RUR6.5 billion (US$208 million) reported in the year-ago quarter. This significant year-over-year growth is largely attributable to foreign exchange gains from a strong Russian ruble versus the US dollar. Operating revenue increased 3.5% year over year to RUR71.3 billion (US$2.3 billion) as growth across Russia, Kazakhstan, Uzbekistan and Tajikistan was partly offset by declines in Ukraine and Armenia. Revenue from the wireless operation was RUR60.7 billion (US$1.9 billion) while the fixed-line business generated revenue of RUR15.1 billion (US$483 million). Reported OIBDA of ...

Turkcell Iletisim Hizmetleri AS (TKC) reported third quarter 2009 earnings per share of 15 cents per share, sharply down from the Zacks Consensus Estimate of 49 cents per share.   In the quarter, revenue contracted by 3.7% year on year to TRY2,368.0 million as a result of the declining revenue from outgoing calls due to the unlimited offers in the market and the lower contribution of its consolidated subsidiaries. The contribution from Turkcell’s consolidated subsidiaries was adversely affected by two key developments: the volatile macroeconomic environment in Ukraine that continued to have a negative impact on Astelit mainly due to the 62% depreciation of the hryvnia against the US dollar, resulting in a 27.1% revenue decrease in US dollar terms to $93.2 million from $127.8 million at the same time in 2008; and a decrease in the revenue contribution of the company’s betting business, Inteltek, due to the ...

China Mobile (CHL) will be the first mobile operator to sell the much-talked-about Dell (DELL) smartphone. The Mini 3i, as its is called, is a slim, touch screen smartphone to be supported by China Mobile's new OPhone and Mobile Market platforms. The 3.5-inch widescreen is intended to create a big-screen experience, adding to the clarity of images and videos. The Mini 3i is compatible with lot of applications like e-mail platforms and office productivity software. This new smartphone was produced through a year-long collaboration with China Mobile and also Dell is making substantial investment in smartphones. Dell’s entry into the smartphone segment looks like a logical progression, as the company is already manufacturing and rolling out reasonably priced netbooks in the market. However, Dell is a late entrant into the market, unlike its peer Apple Inc. (AAPL), which has already grabbed a large share ...

For Immediate Release

Chicago, IL – November 20, 2009 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Apple Inc. (AAPL), KT Corp. (KTC), SK Telecom (SKM), China Unicom (CHU) and American Express Company (AXP).

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Here are highlights from Thursday’s Analyst Blog:

South Korea Welcomes iPhone

Apple Inc.’s (AAPL) iPhone is finally reaching the hands of South Korean mobile users. The country’s telecom regulator Korea Communications Commission (“KCC") has granted Apple the license to sell the iconic handset in the domestic cell phone market. KCC has also lifted

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Apple Inc.’s (AAPL) iPhone is finally reaching the hands of South Korean mobile users. The country’s telecom regulator Korea Communications Commission (“KCC") has granted Apple the license to sell the iconic handset in the domestic cell phone market. KCC has also lifted the restrictions that prohibited location-based services on smartphone devices such as the Google Maps application on iPhone.    South Korea’s second-largest wireless carrier KT Corp. (KTC) will start booking Internet order for iPhone (3G & 3GS) soon and begin selling it from Nov 28, 2009. The company targets to initially sell 150,000 units priced between KRW250,000 and KRW300,000 (US$216 and US$260). KT’s peer SK Telecom (SKM), the largest mobile operator in the country, is still negotiating with Apple for securing distribution rights.     South Korean wireless market is technologically advanced and relatively mature with roughly 47 million total subscribers, representing 96% penetration of

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'The primitive structure of our economy', was one of President Medvedev's keynote complaints in his second annual address, which emphasized the need for technological innovation. The speech was 'disappointing from an investment point of view [...] it was very light on any specific point of action, just a reiteration of what we have already been hearing', comments one strategist. Excessive state involvement in the economy was another point raised: three state corporations, Russian Technologies, Rusnano and Vneshekonombank will lose their status as such as early as next year. The President did suggest that it should be the job of the Foreign Ministry to systematically encourage foreign investments, by reducing bureaucratic hurdles. The economic decline has apparently eased during the last quarter after record lows. Rusal may offer stakes in mines to Chinese companies to contribute to the success ...

The ruble hit an 11-month high yesterday, just after warnings against bets that the currency would continue to mount. The government has apparently decided to abandon some of its more ambitious pre-crisis goals for the 2012 economy, admitting that growth will be more reserved than previously hoped. Billionaire Alisher Usmanov is apparently negotiating with the government to possibly exchange his 31.1% in mobile operator MegaFon for a stake in Rostelecom, once the latter has undergone a planned restructuring. TeliaSonera has reportedly agreed with Mikhail Fridman-led Alfa Group to combine holdings in mobile operators MegaFon in Russia and Turkcell in Turkey. Despite planning 67,000 job cuts, Sberbank is apparently optimistic that profits will recover next year. VEB is planning to sell foreign currency bonds, the term and size of which will be decided according to market ...

German telecom giant Deutsche Telekom (DT) announced results for third-quarter 2009 with reported earnings per ADS of 31 cents, beating the Zacks Consensus Estimate of 25 cents. Net income of €959 million (US$1.4 billion) reflects a 7.2% increase from €895 million (US$1.3 billion) reported a year ago.   This year-over-year growth was fueled by the company’s ongoing cost-cutting initiatives under the "Save for Service" program. Total savings from this program reached approximately €5.4 billion (US$7.7 billion) at the end of the quarter, exceeding the annual savings target of up to €4.7 billion (US$6.7 billion) originally expected to be achieved in 2010.   Group Revenue & EBITDA   Reported revenues of €16.3 billion (US$23.2 billion) reflects 5.2% year-over-year growth, primarily due to the consolidation of Greek operator OTE group, in which Deutsche Telekom holds a 30% stake. Domestic revenues grew 0.6% year over year to €7.2 billion (US$10.3 billion), ...

VEB, which holds a blocking state in Vimpelcom, will apparently agree to the merger of the mobile operator with Ukrainian company Kyivstar.  Car sales in Russia fell 52% in September year-on-year, a slight improvement on August's drop of 54%.  State-controlled VEB bank has extended loans for six companies, including Gazprom's oil unit Gazpromneft.  Reuters reports that Italian automaker Fiat is interested in launching its SUV in Russia.  Fiat SpA has said that its CNH unit has signed a letter of intent with truck-maker Kamaz for a joint agricultural and construction equipment project.  The government will provide around $170 million in financial assistance to state-controlled defense industry corporation Oboronprom and titanium producer Vsmpo-Avisma.  Russian Railways has reported that 2008 net income dropped 47% from a year earlier to $2.6 billion.  Russia has placed Hermitage Capital Management ...

Spain’s incumbent telecom carrier Telefonica SA (TEF) has reportedly made an all-cash bid to acquire Brazilian telecom operator GVT Holding SA in an effort to expand its presence in the lucrative Brazilian telecom market. The Spanish operator’s Brazilian fixed-line subsidiary Telecomunicacoes de Sao Paulo (Telesp) has offered BRL48 (US$27.2) per share of GVT to acquire atleast 51% of the company, equating to a total investment of €2.55 billion (US$3.75 billion). This offer, which is subject to regulatory and shareholders approvals, has outbid the BRL42 (US$23.8) per share offer made by France-based media company Vivendi SA in September 2009. Telefonica targets to eventually acquire 100% stake in GVT. Large telecom carriers across the US and Europe are increasingly focused on expanding their foothold in under-penetrated markets given the limited growth prospects in their matured domestic markets. With its vast population and relatively low wireless and broadband penetration, ...