Mango Telecom hit RUB 303.4bn sales revenue in 2011

Mango Telecom, one of the leading providers of virtual telephony services for corporate customers in Russia, reported RUB 303.4m (€7.55m) in sales revenue in 2011, which is 47% more than in 2010. At the end of 2011, the operator had more than 18,000 of subscribers with small and medium enterprises shaping approximately 80% of its customer base.

As one of the reasons for last year’s revenue increase, the company mentioned the growing average revenue per user (ARPU). In December 2010, the ARPU totaled RUB 1,500 (€38.6), whereas the year later, the December ARPU was RUB 2,200 (€56.7). This upward trend continued over the first quarter of 2012 resulting in the monthly ARPU in March this year at the level of RUB 2,400 (€61.8). A growth in ARPU is explained by the growing volume of SIP traffic, which went up from 1.27 million minutes in December 2010 to 4 million minutes in December 2011, while throughout the full 2011 the volume was 128 million. The March volume increased to 4.28 million minutes.

According to Dmitry Byzov, CEO of the company, Mango Telecom plans to double its sales this year. Mr Byzov added that virtual telephony in Russia is developed primarily in Moscow and St. Petersburg while other cities make practically no contribution to sales of the operators, therefore, Mango will invest up to $7m (€5.3m) in regional development in 2012.

Mango Telecom provides fixed VoIP telephony and additional services based on the own cloud computing solution Mango Office. The share of the services sold additionally to voice telephony accounted for 30% of the company’s revenue at the end of 2011, being the fastest growing revenue stream for the operator’s business.