Kyivstar Group Ltd.

Good afternoon, good morning. Thank you for joining us to discuss Key Star Groups or Key Star's first quarter results. First, we're going to pass off to our moderators to provide you a few introductory instructions and then we'll return to the table.

Hello and welcome to Keep Stars 2Q26 results presentation.

Today's presentation will be followed by a Q&A session where we'll take questions from the room as well as from virtual attendees.

For those of you who have joined the Zoom webinar, if you would like to ask a question, you can use the raise hand button which can be found on the black bar at the bottom of your screen at any time to join the queue to ask a question and you'll be called upon during the Q&A session. For those of you watching on the webcast, if you would like to submit a written question, please use the Ask a Question tab at the top right of your screen. These questions can also be sent in at any time during the presentation. As a reminder, this conference is being recorded today. If you have any objections, please disconnect at this time. Cole Akeson, you may begin.

Thank you. As noted, I am Cole Akeson, Group Director for Keapstar Investor Relations. Joining me today are Executive Chairman Kaan Terzioglu, CEO of Oleksandr Komarov. Thank you, Kaan. Oleksandr Komarov, CFO Taner Kiziltoprak, and Anand Ramachandran, the Chief Corporate Development Officer for BEON.

Before we begin, please note the date for your calendars. We will be hosting our first Capital Markets Day on November 16 in New York City.

Details will follow.

Returning to earnings, Oleksandr will begin with strategic and operational highlights, followed by Tanner with a review of our financial performance.

We will then open the line for your questions.

Before we begin, please note that today's presentation contains forward-looking statements, which involve risks and uncertainties. Further details are available in our SEC filings, including our Form 20F, filed March 16, 2026. Our earnings release and presentation are available on our Investor Relations website. With that, I'll hand over to Oleksandr.

Thank you, Cole. Hello, everyone. I'm very pleased to see some of you here in New York in person. We delivered another strong quarter.

Our telecom core is resilient. Our digital ecosystem keeps scaling.

The two businesses fit each other, and we are rising out for the second time this year. Let me start with the numbers.

Revenue reached $399 million, up more than 90% year-over-year.

EBITDA grew nearly 14% to $188 million with healthy margins in both businesses. Equity Free Cash Flow grew more than 32% to $104 million cash generation funds hour growth. Second, our digital transformation. Digital revenue grew 83% year-over-year. This is one first water-water clone in both comparison periods. So, the comparison is clean. Digital reached 21.77% of total revenue from just over 14% a year ago. This is a structural shift, not a side project. Search our multiply strategy. 8.1 million multiply customers up almost 24% year over year. They pay more and they churn less. I will come back to the mechanics. Finally, three strategic developments during this quarter. The first one is Starlink. More than 6 million customers have used direct-to-sell, which now also carries light data for essential applications even without terrestrial signal. The second one is energy. We acquired six solar power plants in the Lviv region, strengthening our energy independence and hedging our electricity costs. The third one is sovereign AI infrastructure. More about this when we discuss the digital enterprise vertical. As for the scorecard, telecom and infrastructure revenue grew nearly 9% to $265 million on rising IRPU and data usage. Within the telecom and infrastructure generated $157 million at a 59% margin. And digital generated $31 million at a 42% margin. Both engines are profitable. Net profit decline nearly 6% year-over-year to $77 million or $0.33 per share. The cost of this paper decline is one of non-cash items.

A $21 million fair value change charge on our listed words.

Tanner will walk you through the mechanics and more later. Let's look at the mobile business starting with subscribers. Our mobile base declined nearly 3% year-over-year to 21.8 million customers. The main mechanism is double simmers. Many Ukrainians carry secondary low IRPU sim cards. When they stopped using extra cards, this fell out of the customer base. Demographics and seasonality play a role.

internal and the third party estimates put our market share steady at approximately 47%.

We focus on the quality of the base, not the volume.

The quality shows in three numbers.

The first one is short, down almost a full point year over year to just over 14% annualized. The second one is IRP. It grew more than 11% to $3.90. This third one is usage. 4G penetration passed 70%, and monthly data consumption grew more than 18%, almost 15GB per customer. These drive our double-digit telecom revenue growth in hryvnia. Fixed broadband grew nearly 11% to 1.3 million customers. Households. Nearly half of them also subscribe to Kivstar TV. One product puts the other into the household. The fragmented market leaves room for organic and inorganic growth. Multiplay is a core of our engagement, so let me explain the mechanics. A Multiplay customer uses voice, data, and at least one of our digital applications. These customers now represent almost 40% of our one-month active base, up more than 8 points from a year ago, and a stable quarter-on-quarter at 8.1 million. The economics are simple. A multiplayer customer generates $5.80 in monthly IRPU. Compare that with the $3.90 of a mobile-only customer. A difference of nearly 50%. Multiplayer customers also churn less. Engagement drives the top line and retention protects it.

Now, the digital ecosystem. This chart shows hryvnia figures to eliminate currency effects from the comparison basis. But I will focus my comments on our reporting currency, the US dollars.

Digital revenue reached 74 million dollars. 83% year over year and now makes up almost 22% of total revenue. 3 points stand behind this performance. The first one is the broad base of our growth that spans all 5 verticals with Uklon the biggest contributor. The second one is profitability. Digital EBITDA reached $31 million at 42% margin compared with almost 44% a year ago. This small decline reflects investment in new services as we scale the business. These platforms pay their own way. This third one is structure. Our telecom base gives a customer acquisition at a near zero cost, and multi-play bundles are our distribution channels. Moving to Uklon, our mobility platform. Uklon generated almost $33 million in revenue this quarter, up more than 50% year over year, and $12 million in EBITDA, up more than 35%. Real scale in Ukraine, a growing operation in Uzbekistan. Active customer grew 8% to 5.2 million, rides grew more than 4% to 43 million, and deliveries grew almost 26% to 1.4 million. Uklon is becoming a one-stop solution for movement around and between cities. There are three moves to note. The first one is a multi-modal transfer. We agreed to acquire E-Wings, which adds electric scooters in 11 Ukrainian cities.

With the travel service for intercity buses, the clone covers more of the journey.

Remember, Ukraine remains a non-flying zone. So, buses and trains carry the country. The second one is Ukraine's first live testing of autonomous vehicle technology, which you can watch on our YouTube channel. This technology is still at an early stage, but our testing places us first in this space at home. This third one is commerce. Our Uklon store pilot starts with the same data for our delivery in Kiev, applying Uklon's expertise in space adjacent to mobility. On the healthcare, Healthy is Ukraine's leading health tech platform. Healthy served 5 million customers this quarter and revenue grew almost 36% year-over-year to $2.4 million. The engine behind this growth is premium subscription. From 57,000 subscribers at the end of last year to more than 109,000 today. Family Medical Care Plans and Health Insights, Automatic Interpretation of Test Results, Biomarker Tracking, Drive the Conduction, and Our Health's Superpower, Bundle Insight Keeps Our Mobile Plan in the Core Channel to Distribute.

The Foundation keeps widening.

More than 43,000 doctors and specialists around 1,800 healthcare institutions and 2.4 million patients booked in the quarter. Healthy is deeply embedded in the state e-health system. Convenient to join and hard to leave. It also eases access to healthcare during the war, which we are considering a national priority. Then Tablet, the leading online marketplace for pharmaceuticals and other healthcare products, its first full-fac quarter was up to consolidation in February. The quarter was strong. Revenue reached $7.8 million and EBITDA reached $6.2 million and implied margin closed to 80%. The margin falls from the model. The scale is national, 6.3 million customers. 15 million average monthly bookings and more than 14 and a half thousand pharmacists across the whole Ukraine. Health and tabletics have natural synergies and we are building toward a more connected patient journey. from doctors appointment to prescription to a medicine order and we are evaluating whether delivery could join that flow. We are taking a deliberate approach so that any changes serve customers well, create shareholders value and comply with regulatory requirements. Moving to entertainment, Cave Star TV remains the largest media service in Ukraine. The customer base grew almost 48% year-over-year to 3.6 million, and revenue reached nearly $14 million. To be clear, the growth rate mainly reflects the move to gross revenue recognition last September. But underlying drivers are real, a bigger customer base, a high-demand exclusive contract. Last quarter I told you we would broadcast Oleksandr Usyk's latest high-profile boxing match. We deliver it with exclusive rights to the Usyk-Vorhoven fight, alongside premiers such as Kill House and the deep library of international and Ukrainian contracts. Local, exclusive local conduct acquires customers and the ecosystem keeps them inside. From B2C to B2B, digital enterprise serves companies and institutions from small businesses to the larger. Revenue grew almost 16% year-over-year to $16.9 million. Active contracts grew more than 29% to $2,400. Two product lines drive the growth.

Big data and AI services and cloud.

Advisor, our self-service advertising platform passed 4,100 registered clients. Now, sovereign AI. Two milestones this quarter. The first one is Cyber, our Ukrainian launch language model in Kyivstar Tech Portfolio. The latest model, 4B, a kind of pilot model, entered beta testing and has achieved high marks in local competitive testing. The second one is infrastructure. In June, at the Ukrainian recovery conference, we signed a memorandum with the Ukraine's Ministry of Economy to explore expanded cooperation in sovereign AI infrastructure. Any investment would be phased within our existing CAPEX framework, disciplined capital, national capability.

All these serve one growth strategy.

We are digital and communication service provider with a strong backbone in our telco business. In core connectivity, we intend to maintain market leadership. We focus on a high-quality customer base and technological innovation. This quarter launch of direct-to-sell light data is a good example.

We grow IRPU by expanding value to the customer, not just through price.

In fixed broadband, we aim to expand market, share through organic growth and targeted acquisition. All band brings entire households into our ecosystem. In digital, we scale through organic growth and strategic acquisitions, increase multiple adoption and deepen daily engagement with our customers.

Our loyal telecom base is a launch port for digital products.

The next slide shows how we build the ecosystem step-by-step since late 2024. Spectrum, Uklon, Healthy, Starlin Direct to Sell, Solarit, Tabletki, Shtorm, each move fits the same design. The news is energy. In May, we completed the acquisition of six solar power plants in the Lviv region, 105 megawatts total power for roughly $81 million. With our first plan, our capacity now stands at 118 megawatts. Expected output equals roughly 30%. The logic is clear. Energy independence that hedges a major operational cost and reduces our exposure to potential instability during the war. With that, I will ask Taner to walk you through the financials.

Thank you, Oleksandr. It's a pleasure to join my first earnings call as a Kia Star CFO.

Let me walk through the mechanics of the quarter.

Total revenue reach 15 billion hryvnia, up 27% year-over-year, $339 million, up 19%. EBITDA grieved 21% to $8.3 billion or $188 million. Digital's lower margin comes with lower capital intensity, so its cash conversion is comparable to telecoms, resulting cash flow funds are expansion. Our listed warrants are fairly well alive up to $9 million at the end of June, against $28 million at the end of March. The $21 million increase runs through the income statement as a non-cash loss, driven only Net profit came to $7 million without the warranty, it would have been $98 million. On investments, the capex was $59 million. 17% of revenue for the quarter, almost 27% over the last 12 months. On cash, net cash flow from operating activities reached $170 million, and equity-free cash flow after leases reached $104 million, up 32% year-over-year, $243 million over the last 12 months. Turning on balance, we ended June with $364 million of cash and equivalents, up from $353 million at the end of March. Free cash flow from the solar acquisition payment grieved the position. Growth step excluding leases stands at $88 million, largely payable to our major shareholders beyond. Lease liabilities total $400 million, mainly from our tower agreements with Ukraine, recognized under FR-60.

Excluding leases, we hold a net liquidity position of $277 million.

The balance sheet gives us room to keep investing from our own cash generation. Let me hand the call back to Oleksandr.

Thank you, Taner. Let me close with the out. We are rising full-year guidance for the second time this year. The first half gives us the confidence. In Grimna, we now expect revenue to grow 21% to 23% and EBITDA to grow 17% to 19% in dollars. In dollars, that is 14% to 16% revenue growth and 9% to 12% EBDA growth. There are a couple of important background items to keep in mind here. The first one is the exchange rate. In the past, we guide in both our reporting and trading currencies with a fixed currency assumption.

This is a factor outside our control, along with the wider geopolitical and macroeconomic environment. The second one is the comparison.

From this quarter, Oklon seats in both periods, so growth rates describe the underlying business. Tabletki and our investment in energy assets add inorganic growth through the second quarter of 2027. CapEx intensity stays at 21% to 24% of revenue. We are past the peak of our elevated investment cycle, and we allocate within a disciplined framework. And one more item for your calendars. On November 16, we will hold our first AVEC Capital Markets Day in New York City. We will present a medium-term update, strategy, the unit economics of the ecosystem and the capital allocation framework. Details will follow from our investor relations team. We hope to see you there. To wrap up, The telecom core generates cash and the digital ecosystem compounds growth. We are delivering double digital growth despite external volatility. Our business remains strong and profitable. Thank you for your support. We can now open for the Q&A.

Thank you, Oleksandr. Thank you, Oleksandr. We will, with the assistance of our colleagues, take questions from those in the room. And once those are exhausted, we will move along to those who have joined us online. Hi everyone, good morning. Hi everyone, good morning. I had a two-talker on AI initiatives. Can you log me through? Can you log me through a national LLM? And is the value of the model itself? Or is it really about your proprietary data?

And then secondly, on the data center, what's actually in scope? What's actually in scope? Is it just a feasibility study? Thank you.

Let me start with the second question. The first one is quite simple. We are big believers in the sovereign AI infrastructure. From our perspective, it's just a matter of time. Of course, we are a bit affected by the current war situation and certain mitigations, but I'm absolutely sure that after the war, Ukraine, as any other country, will return to the sovereignty issue. This is one aspect. The second aspect, we see a growing demand where government is potentially the main customer.

And the third one, we are considering telco business.

We are much better prepared than anyone else to develop, to run an AI infrastructure across Ukraine. And at the end, as it was stated by Kaan Terzioglu at the previous call, every hour customer will use AI. We need to find a way how to combine and create synergies between global AI providers and local capabilities. And at the end I am absolutely sure that 90% of all questions and requests will be to some extent computed inside Ukraine with the local infrastructure and local LLM with the most difficult questions and requests lifted to the global range. So, based on this assumption, we are taking initiative, we see a request from the Ministry of Economy and the Ministry of Digital Transformation, and we are considering the way how we can develop the national AI infrastructure.

For the data center side, we are continuously evaluating all the options on the table. For Daimin, in terms of the capex intensity side, we directly plan all our investment plans within the guidance of capex 1 to 24.

Maybe one thing to add, because you mentioned the distribution point, the very important point. We consider connectivity as the foundation and our competitive advantage. If you look to the numbers, 22 million telecom customers, 6 million tablet key customers, 5 million long customers, practically every single person in Ukraine and outside of Ukraine is our customer. And that gives us a natural attribute to distribute any additional service at the fraction of a cost.

Okay, I guess I'll do the next question. So I guess I'll do the next question. So the first question is, I just want to understand a bit how the Starlink service works with your subscribers. So you mentioned you had six million users who would use the drive. And I have my second question is just to understand, do you have an LLC, which is a huge country, right? Let me start.

Let's start with the satellites.

We are a big believer in cooperation between terrestrial and non-terrestrial satellites.

Right now our cooperation is with two SpaceX particles. The first one is CERC. Starlink Mobile. With Starlink Mobile, we have two types of services. The first service is SMS. And SMS is available to every Keystar customer without any extra charge.

It's embedded in our telecom value proposition.

We are considering that this is part of our humanitarian mission. This very difficult environment with the energy supply issues, we should give our customers opportunities to stay connected. The second layer of styling profile is light data. With the light data, we did a first step to monetize the service. Light data is embedded into the high value premium subscriptions as a part of the value proposition. You can connect this service at the part of the superpowers ecosystem available to our customers. For some of them, if they have free slot, it might be free of charge, but it is a certain competition for them. It's up to the customer to decide or you can connect this on the paid base for the extra months. And these are the first steps to spot monetization of the satellite services. And the second pillar that we are developing with SpaceX right now is resale, fix. We are the first official reseller of the Starlink services and hardware in Ukraine for their business and public institutions. And this is just a pure resale business. The second question is about health and health care. You are absolutely right. You should consider a tablet position from the perspective of strengthening our digital healthcare. Yes, there are two different entities, two different businesses, but in our mid-term perspective is the digital vertical that is helpful to the clients since first symptoms until full recovery. There are plenty of synergies. We are carefully developing this plan with a trust initiative. But the idea that healthy application is a kind of universal helper, is a universal advisor for you, is a universal window to the house, We are doing first steps here. We are absolutely focused on the proper integration of the tablet into the group because it's just a four-month-old acquisition.

But our plans

These are very much about potential savings. It will not grow like a one-off.

What you will see is a gradual improvement of the business metrics, so joint products, and I hope that the result for the investor will be able to stay with this quite significant Do we have any other questions from the room? If not, if you're all thinking, we can move to some of the questions from our online participants. Thank you. For those of you in the Zoom webinar, if you'd like to ask a question, please click on the raise hand button which can be found on the black bar at the bottom of your screen.

When it is your turn to ask a question, you'll receive a prompt to be promoted as a panelist. Please accept. Wait a moment. And once you have been introduced, you may unmute yourself, turn your video on, and ask your question. Written questions can be submitted on the webcast by using the Ask a Question tab at the top right of your screen. Our first question comes from Max Finlay with Rothschild & Co. Please go ahead.

Hi, thank you all for your time today. First of all, welcome to Hannah. I'm sure you hope I continue as they did today with guidance upgrades. My first questions are on mobile revenues. So reported mobile growth in US dollars was 7.3%, but that includes revenues I think from the energy acquisition made in May, which may have contributed 4-5 million to the quarter.

So it looks like underlying growth has slowed from near 10% in Q1 to about 5% in Q2. The slowdown seems to be driven by pricing. I've noticed the sequential R2 increases have slowed down a bit.

So the question in short is, is it getting harder to grow pricing? My second question is, there's been another fantastic quarter for digital services growth as you've talked about on call. And in particular, I noticed that UConn's growth was very strong again. And at 50%, it's growing faster than when you acquired the business, which for memory was growing at a 30% caper. How much are the different business lines such as UConn Travel that you've introduced helping contribute to this accelerated growth? And could you give us some colour on what the opportunities are here and also Uzbekistan as well? Thank you very much.

Okay, let me start with the second one, and then I will ask Taner to address the first question.

So, who clone grows? Who clone grows? 50% year-on-year consists of two major elements. The first one is the business growth, organic business growth, driven by right healing and delivery, and this is around 35% of the overall growth, and the rest 50%. and the rest, 15% is driven by the new Accounted Approach as a gross-up of the B2B revenue.

So according to the IFRS that we applied, but it's actually reflected in the past period also. So that's why this 50% constitutes of actually two elements. The growth is mainly provided by ride-hailing business plus delivery. So these are two main growing elements. We are doing certain pilots with the bus transportation and ticketing and marketing and marketing to the application, but their impact is marginal at this stage. Thank you very much. We have a strong revenue growth in the second quarter. We have a strong revenue growth in the second quarter. We have a strong revenue growth in the second quarter.

We have a strong revenue growth in the second quarter. We have a strong revenue growth in the second quarter. We have a strong revenue growth in the second quarter. On top of it, also, except from these, I mean, impacts, these, I mean, acquisitions, we have direct, also, strong organic growth, which is, I mean, 23%, when we direct these acquisitions on the table. And please also keep in mind that we have also negative impact coming from the beginning of the year, due to this year regulation, negative impact on our revenue. But, you know, All in all, the positive impact coming from this acquisition and also energy assets, we are going to keep our revenue growing in the following quarters.

Brent, thank you.

Thank you. Our next question comes from Adrian Kendi with Emerging and Frontier Capital. Please unmute, turn on your video, and ask your question.

Last call, you mentioned that some of the major wallet providers in Ukraine were very robustly valued. At the same time, I've been reading that Ukraine is moving steadily towards open banking. And I'm just wondering, should we be expecting to see Where do you see the digital financial services opportunity in the Ukraine going forward? And that's given Chairman Kahn's comments on DFS as a priority in every single market that the group operates in.

First of all, we are doing just first steps to develop a marketplace embedded into the Ouklon application. And this is very much linked to our delivery competitive advantage. You should see the essence, why it is flowers. Because people are interested in the relative quick delivery right now. And this is what we are piloting right now. Maybe it's too early to say how it will evolve. Right now we are servicing hundreds of customers per day. And we want to understand what are the other categories that might be interested in such type of Thank you very much. First of all, the second question is, it seems to be broader than just Uklon crash. I have already declared many times that we have two major priorities in developing our ecosystem. The first one is the marketplace and the second one is finance services.

We have a lot of different institutions.

It's a highly competitive market. But taking into account our relationship with the millions of customers, A huge gross merchandise value that we can effectively manage. We see ourselves as a finance service provider in order to achieve two objectives.

The first one is to actually decrease our transaction costs and to manage

And to manage this gross merchandise value in the most effective way.

And the second one is to find a value for the potential credit.

We are just at the feasibility stage right now in Ukraine. Because it's a new regulation, it's a very difficult regulator to deal with. There is extremely high competition with the well-developed Global scale institutions like Monobank or PrivatBank are in front of the privatization, but we are actively considering potential scenarios how we can strengthen KGL ecosystem and Uklon in particular. And by the way, this question is even more important from 2027 when the new legislation on the right hand will be imposed and we will be able to manage the whole gross merchandise value that is created by Uklon Business.

So it's not out of the realm of possibilities that you could start storing capital in your client's accounts in the next couple of years, engaging in financial intermediaries? Yes, in general, yes. I have a second question, which is unrelated to digital financial services, but it sort of comes back off the data center comments.

You've expressed in previous calls sort of a dream of having a next-gen fiber backbone infrastructure for all players in the Ukraine.

So as you look at investing across data centers, obviously that creates significant backhaul needs. You move a lot of data between your towers and through your network.

Are you investing a lot in fiber?

Not just to the home, but backhaul and basic level infrastructure? Is there a potential for a net link or an industry-wide broadband backbone company evolving?

Let me address this question from a different perspective. From the operational perspective, we are not investing a lot into the fiber because we already have one of the biggest fiber infrastructure across Ukraine. Our current fiber is more than 50,000 kilometers of backbone, backhaul and last mile. At the same time, Ukraine has a relatively developed fiber business. We have fiber business. We have more or less the same scale in Ukraine.

And yes, we are considering how we can first optimize our investments, and I can give you

I can't give you a forward-looking statement, sorry, but we are looking at how we can optimize investments into the new infrastructures through a certain competition between the major players. We are ready to consider non-organic development into the Fiber Core if we will see an opportunity to create a point of the valuation based on our Fiber Core infrastructure.

We have quite strategic plans, but we will add situation.

For the time being, we are very much focused on sheer readiness for 5G. and one of the key elements of this readiness is fiber penetration to the site. We already reached around 50% across the whole country and up to 70% across some of the cities.

It's not making good progress. It's just another good quarter.

As I just sent a full edition directly as an inorganic form in February, we directly acquired this form to expand our fixed-brand bank, Marks Shares, with 10 million dollars.

And this is including a certain infrastructure in this specific region. So every acquisition of the fixed broadband business, and this is the second for us during the last three years, is actually coming with certain elements of the infrastructure.

Thank you and congratulations again on a solid quarter.

Thank you very much.

and many more. and Igor Shtanko.

Is that a real developing concern in terms of their competitiveness? Broadband, I mean, they're obviously the highest capacity network, but you're still going to have some potential price competition. Thanks.

I don't see any issues with Starlink broadband business development in Ukraine.

Because of few reasons. The reason number one, Ukraine has a very high penetration of fiber. Either it's FTTP or FTTH technology.

Ukraine is a relatively low ARPU country.

And from my perspective, I don't see any reason to pay premium and to substitute your home connection, fixed connection that can be easily upgraded right now. And I don't see any reason to do this, because in any case, fixed terrestrial broadband is a bit stable and high quality, and high quality service, let's say Starlink, fixed broadband.

But I see a number of very important use cases, taking into account the current situation in Ukraine,

Second one for a relative semi-thick mobility, because there are people who are using these on their cars. And there is a certain market that we would like to satisfy with our resale agreement signed between Keefstar and SpaceX a few months ago.

And sort of a fuzzy second question. Even with some economic growth in Ukraine in the last couple of years, you're still off 20% or so from GDP, from pre-invasion. And you've got a big diaspora.

I know you've got some customers there as well.

But when you hopefully pray for a settlement in Ukraine, do you think you're going to get a... I think you're going to get a substantial step function improvement in your business. I mean, obviously, you'll get some benefits over a number of years on the reconstruction funds and all that. And I know it's premature. It seems like it's certainly something that boosts your long-term potential, to say the least. For sure, no doubt.

I think that we are ready from many perspectives. The first perspective, we are probably the most compliant international platform for the future investments into the reconstruction. We are simultaneously an infrastructure business, critical infrastructure business, and in a consumer digital business. And I'm absolutely sure that we'll be actually There will be actually two very big positive outcomes, extra investments into the critical infrastructure, strengthening infrastructure, developing infrastructure, developing rate, where we can play a significant role.

But the second one is a certain return of the population.

I don't know how many, 20, 30, 40 percent of the population will be back, and these are our digital customers. Thanks, Oleksandr.

And just in addition, we are also leading them in mobile, fixed, healthcare, right-hailing, so I'm in this leading advantage also. Thank you.

Thank you. Our next question will come from Nicholas Baton with Edison Group. Please unmute to ask your question. Hello, team.

Could you talk a little bit about the conversion from the earnings growth guidance you've given and the cash flow? How do you see the free cash flow moving over the next half and into 2027?

In this quarter, we directly generated $100 million cash generation, which is normal for us, for the following quarter, we also expect $30 million cash generation for the quarter.

And also just for the ending, if this quarter is, I mean, if our capex intensity is lower, this is totally seasonal thing, so we are going to keep our guidance for this capex intensity for the following quarter as well, to keep our guidance and also continue for this cash generation.

And a follow-up for Kaan. I mean, it's notable that the revenue guidance for Vyond is slightly above that for Kyivstar, but the EBITDA guidance is the same. How do you reconcile those two things?

Since the beginning of the year, we have raised our revenue and EBITDA guidance. The same thing is true for Kyivstar. This is their second time on both revenue and EBITDA guidance. I think reconciliation is not necessarily the way I look at it. I look at it as a portfolio of five different countries. We mentioned in the previous call Kazakhstan, Bangladesh in terms of expectations. So I would be looking at it from a portfolio perspective and I'm actually quite comfortable with where we are as it stands now.

Our next question will come from Jake Ng with Newstreet Research.

Please unmute, turn on your camera and ask your question.

I thank you. I just have two questions. I think first is considering guidance. So even considering your new acquisition, not fully accounted for in the first half, is this new guidance especially with regards to EBITDA, considering especially first half EBITDA performance? And secondly, may I know if you can share more on the decline in mobile customers, specifically in the double or multi SIM? Is it largely completed now or can we expect more to come? Thank you.

Let me start with the second question, James. We are not declining in the subscriber market share. We are stable in the subscriber market share. You see a certain decline in the number of active SIM cards across the market. and we are declining in line with the market. And there are a number of very clear reasons. The first one is decline of the second seam penetration into the customer base. The second reason is a price increase and related to this, decrease in the number of new gross acts. And the third one is the demographic dynamics across Ukraine.

These are the three main reasons of the overall active seems decline in Ukraine that we are facing as much as our competitors.

Okay? And then I will ask Taner to take the first part.

For the EBITDA House 2 expectation, in the Health Fund, you know that the impact is directly Euro year, I'm 3 months in, I'm 3 months in, 6 months in, So, I mean, in the first half, I mean, in the first half, I mean, in organic growth, I mean, in organic growth, then second half of the year, then second half of the year, in terms of Apple to Apple, I mean, comparison and growth for the open side. This is one of the major things, this is one of the major things that we should underline. And also, we have, I mean, to some of TSTAR TV, and also, and also, Thank you.

Our next question comes from Amin Mustafa with Anam. Please unmute, turn on your video and ask your question.

Hello, I have a question.

How should we think about learning and economic education and the expanded solar policy?

Ahmed, I couldn't quite hear you. Could you repeat that please?

Yes, you should.

I was asking how should we think about earnings contribution and economic hedge from the expanded solar portfolio.

Okay, solar portfolio. Let me start with the hedge. Okay, so our average annual price is around, let me calculate in my mind, but it is around 20 euro cents per kilowatt. with the current existing production to the state at around 11,000. So you can imagine that at least 30% of our demand is being hatched at this level. This is a way for us how we can at least manage the inflation. For us, the energy cost is the biggest single item in our operational expense and the fastest growing one. And for us, it's a clear way how we can hedge. This is not a limited. We want to develop. We see that we can actually go into the further elements of the energy business with the certain investments into the best.

And this is mainly focused on our own infrastructure, but this will let us further hedge our energy prices.

and the third one with the current demand we can consider ourselves with certain investments into the mentoring and to play a quite significant role as a potential trader on this market and this will be an extra step how we can manage the future These are three elements that we are very much focused on from the perspective of the overall operational efficiency improvement.

And I would like to add that these acquisitions, green energy, green investments, direct investments, direct consumption, and also we have a quite high MTA margin as well in terms of the contribution to our finances.

Thank you. Thank you.

We have completed our online questions, but I know there may be questions still in the room with the live audience. Would anyone like to ask one last question before we wrap up? Okay, we do have one. Okay, we do have one. and if there are any more afterwards, please come speak to us.

Matt Schessler from FNK. Matt Schessler from FNK, thank you. We can double click on Keepstar TV for a moment with exclusive rights for relevant content or even the bundling and broadband. How do you see the business developing over the medium and longer term? Maybe a sub-question on that. Maybe a sub-question on that with regards to content. What would be prospects for profitability trend?

Let me try to explain. We see the benefits of the live sport events.

It was our first experience.

And it definitely paid back. The result is better than our expectations. We need to be competitive with the share of key sport events, just to attract new audience to the application. We should be competitive in the overall context. With a certain focus on the Ukrainian content, and this is part of our strategy, we have exclusive rights for the major produced in Ukraine content, especially series and films. and the third one we should provide the best in-class experience for the customer Jordan, who is a wise mechanic in our service, with a suited gaming element in our service. So this is the overall winning formula. So we are very much dependent on the synergies between our telco business and the entertainment business. And I think that the next 20 years for us is to go outside from the Kyivstar perimeter with the other mobile operators. Thank you. Thank you very much.