VEON 2Q25 Earnings Release: Direct Digital Revenues Up 57% YoY. Solid Execution, Strong Results
Dubai, August 7, 2025
VEON 2Q25 Highlights
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Total revenue growth of 5.9% YoY to USD 1,087 million (11.2% YoY in local currency terms).
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EBITDA growth of 13.2% YoY to USD 520 million (19.6% YoY in local currency terms).
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Direct digital revenue growth of 56.6% YoY to USD 180 million (+62.4% YoY in local currency terms), representing 16.5% of revenues for the quarter.
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Total cash and cash equivalents and deposits amounting to USD 1,283 million, with USD 206 million at headquarters (“HQ”); and gross debt standing at USD 4,627 million (increased by USD 250 million QoQ), with net debt excluding lease liabilities at USD 1,962 million (increased by USD 152 million QoQ).
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LTM Equity Free Cash Flow of USD 611 million, with CapEx of USD 231 million.
VEON Ltd. (Nasdaq: VEON), a global digital operator, has announced its selected financial and operating results for the second quarter ending June 30, 2025. For this period, VEON’s revenues grew by 5.9% year-on-year, amounting to USD 1,087 million when reported in USD. When considering local currency rates, this growth jumps to an impressive 11.2% YoY. This increase indicates VEON’s adeptness in implementing fair pricing and capturing a larger share of consumer spending, especially when juxtaposed against an average inflation rate of 8.6% across its operational regions in the same quarter.
One of the standout achievements this quarter was VEON’s direct digital revenue growth. This segment soared by 56.6% YoY in reported currency and an even more remarkable 62.4% YoY when translated into local currency terms. Further emphasizing this growth, direct digital revenues accounted for 16.5% of total revenues in 2Q25, signifying a major jump from just 5.4% one year prior. Such a shift underscores VEON’s strategic pivot towards enhancing its digital services and capturing new growth avenues.
EBITDA for the quarter reached USD 520 million, representing a growth of 13.2% year-on-year in reported currency and a robust 19.6% in local currency terms. This EBITDA performance not only highlights the company’s operational efficiency but also showcases its ability to expand businesses financially.
In terms of capital expenditure, VEON invested USD 231 million in 2Q25, which results in a capex intensity of 21.3% for the quarter and an increased LTM capex intensity of 21.4%. These investments were primarily directed towards enhancing network quality and bolstering VEON’s digital transformation initiatives. As of June 30, 2025, the company reported total cash, cash equivalents, and deposits of USD 1,283 million, which includes USD 326 million associated with customer deposits from banking operations in Pakistan. VEON’s gross debt, meanwhile, remained substantial at USD 4,627 million, with a net debt to EBITDA ratio, excluding lease liabilities, standing at 1.32x.
Outlook for 2025
Looking ahead, VEON has revised its outlook for 2025, anticipating local currency revenue growth between 13% to 15% YoY and local currency EBITDA growth between 14% to 16% YoY. The company projects that its capex intensity for the year will likely remain in the range of 17% to 19% as they continue to invest in their services and infrastructure.
Moreover, VEON has recently completed the third and final phase of its previously announced share buyback program, which commenced on June 17, 2025. As of August 1, 2025, the company successfully acquired 722,588 American Depository Shares (ADSs) for a total consideration of USD 35 million. This completion brings VEON’s total share buyback amount, announced on August 1, 2024, to USD 100 million, reflecting the company’s commitment to enhancing shareholder value.
Management Commentary
In discussing the results, VEON Group CEO Kaan Terzioglu stated, “VEON has continued its strong momentum into the second quarter of 2025, delivering solid results that reflect both disciplined execution and strategic clarity. We are making rapid progress in our digital operator strategy.”
He added, “The integration of Uklon into the VEON family in April marked a strategic milestone, expanding our digital services footprint and unlocking new growth opportunities. We’re committed to delivering innovative and locally relevant digital services that enhance our customers’ lives every minute of the day. These strategies position VEON as a frontrunner in digital transformation across frontier markets.”
“Looking ahead, our teams continue to execute with discipline, and the underlying demand across our markets remains robust. We are confident in our revised outlook for 2025, focusing on disciplined execution and innovation to deepen customer impact and enhance long-term shareholder value creation.”
Conference Call and Additional Information
VEON will host a results conference call with senior management at 16:00 GST (14:00 CET, 8:00 EST) today. Interested parties can [register here](https://veon-2q-2025-trading-update.open-exchange.net/) to access the event. Following registration, you will receive confirmation and details for both the webcast and dial-in options.
For those interested in participating in the Q&A session, please select the ‘Yes’ option when prompted about asking questions during the call. A link will guide you to a virtual room where you can join the discussion.
About VEON
VEON is a digital operator that provides converged connectivity and digital services to nearly 160 million customers across six countries. These regions collectively represent over 7% of the global population. VEON is committed to transforming lives through technology-driven services that empower individuals and facilitate economic growth. The company is publicly traded on NASDAQ, and more information can be found on their official website: www.veon.com.
Disclaimer and Forward-Looking Statements
The financial information presented in this document is prepared in accordance with International Financial Reporting Standards (IFRS). It should be noted that all figures and statements are preliminary and subject to change. As such, readers are encouraged not to place undue reliance on this information, as actual results may differ materially due to various factors, including market volatility, regulatory changes, and the ongoing geopolitical situation in Ukraine.
For further inquiries, please contact VEON Investor Relations.
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