Sistema Shyam TeleServices Limited (SSTL) has reported revenues of Rs 3,188 million for the first quarter of 2014 registering a decline of 9.4 per cent over the corresponding period in 2013. The company has attributed the decline in its revenue to the closure of operations in select few circles.

Further, the company has posted net loss of Rs 3,162 million in first quarter of 2014 as against a net loss of Rs 6,439 million in the first quarter of 2013. Meanwhile, on quarter-on-quarter basis, SSTL has reduced its net loss by 29 per cent, due to reversals of estimated provisions and lower interest expenses.

For the period under review, the operator’s mobile subscriber base declined by 7.9 per cent quarter-on-quarter basis to 9.04, million, while its data card subscriber base declined by 4 per cent to 1.29 million subscribers. According to the company, SSTL’s subscriber base has declined on account of removal of inactive subscribers.

Further, minutes of usage (MoU) for the operator in the first quarter of 2014 improved by 10.9 per cent to 414 minutes against 373 minutes in the fourth quarter of 2013. SSTL’s blended mobile average revenue per user increased by 9.8 per cent to Rs 107 on account of increase in minutes of usage.

For the quarter under review, SSTL’s non-voice revenues - from both data and mobile value added services increased by 9.1 per cent and stood at Rs 1,124 million. At present, non-voice revenues account for 35.3 percent of the company’s total quarterly revenues.

SSTL posted operating income before depreciation and amortisation loss of Rs 975 million for the quarter under review. The operator, which lowered its capex due to closure of operations in few telecom circles, invested $8.92 million during the first quarter of 2014.