ARPU

ARPU and EBTDA do not reflect the economic growth and profitability of operators of telecommunication communication

Indicators, such as ARPU (average revenue counting on the subscriber) and EBITDA (a profit before taxes and depreciations), not fully reflect the economic growth and profitability of operators of telecommunication communication.

The performance indicators which are widely applied in the industry, such as net gains and average revenue counting on the subscriber (ARPU), are not sufficient for justification of investments before board and investors. From operators of telecommunication communication the proof of efficiency of a business model, sustained economic growth in previous periods and the feasible actions plan providing reliable profitability is required now. ^[1]

Besides, as many new connections are result of use by the subscriber of several SIM cards, connections of the enterprises, cars (machine-to-machine) to networks of mobile communication now, there is a blur a concept of net increase. The specified new types of connections have very excellent structure of training and a margin in comparison with a traditional subscriber base.

Adrian Bashnonga, the leading analyst of the International center Ernst & Young for rendering services to the companies of the communications industry speaks: "In the future success of the company will be defined by capability to sell new more expensive services to the available clients in private and corporate sectors. Operators of wire communication already successfully use such indicators as generating revenue of unit (RGU) counting on the subscriber – operators should look for new methods of informing on benefit of expansion of a service portfolio".

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