Kyivstar Group, Ukraine’s leading telecom operator, reported revenue of $349 million in the third quarter of 2026, representing 17.5 percent annual growth, supported by higher average revenue per user (ARPU), expanding broadband services and strong demand for digital platforms.
Kyivstar Q3 2026 result report indicated that the company increased its full-year 2026 revenue growth forecast to 15–17 percent in US dollar terms, compared with its previous guidance of 14–16 percent.
Kyivstar’s telecommunications and infrastructure revenue increased 8.4 percent to $273 million, while digital revenue surged 68.9 percent to $76 million, accounting for 21.7 percent of total group revenue.
The results highlight Kyivstar’s strategy of combining mobile connectivity, fixed broadband, satellite communications, cloud infrastructure and artificial intelligence services while maintaining network operations amid Ukraine’s continuing war.
Kyivstar Capex Reaches $66 Million in Q3 2026
Kyivstar invested $66 million (UAH 3 billion) in capital expenditure during the third quarter of 2026, compared with $89 million in the corresponding quarter of 2025, representing a decline of approximately 25.8 percent.
Capex intensity reached 19 percent of quarterly revenue.
Over the trailing 12 months, Kyivstar’s capital expenditure totaled $320 million (UAH 13.8 billion), with capex intensity declining to 24 percent from 29 percent.
Kyivstar expects full-year 2026 capex intensity of 21–24 percent, indicating continued investment discipline as the operator balances network requirements with digital expansion.
Kyivstar Mobile Subscribers Decline to 21.7 Million
Kyivstar reported 21.7 million mobile subscribers at the end of September 2026, compared with 22.5 million in the third quarter of 2025.
The subscriber base declined 3.4 percent year on year and approximately 100,000 sequentially from 21.8 million in the second quarter of 2026.
The operator’s mobile subscriber base has gradually declined from 22.4 million in the fourth quarter of 2025 to 22 million in the first quarter of 2026, followed by 21.8 million in the second quarter.
Despite the reduction in mobile connections, Kyivstar improved customer monetization through higher ARPU and increased adoption of bundled digital services.
Kyivstar Churn Rate Improves to 11.7 Percent
Kyivstar reported an annualized mobile churn rate of 11.7 percent during Q3 2026, compared with 14.2 percent in Q2 2026 and 9.9 percent in Q3 2025.
Churn declined by 2.5 percentage points sequentially but increased by 1.8 percentage points year on year.
The operator’s churn had reached 16.2 percent in the first quarter of 2026 before improving during the subsequent two quarters.
Kyivstar’s multiplay strategy is contributing to customer retention. Multiplay customers recorded a monthly churn rate approximately 0.4 times that of the overall mobile customer base.
Kyivstar ARPU Increases 16.9 Percent to $4
Kyivstar’s monthly mobile ARPU increased to $4 in Q3 2026, compared with $3.7 in Q3 2025, representing 8.6 percent annual growth in US dollar terms.
In Ukrainian currency, monthly ARPU increased 16.9 percent to UAH 179 from UAH 153.
ARPU also improved sequentially from UAH 173 in the second quarter of 2026 and UAH 166 in the first quarter.
Kyivstar’s multiplay customers generated ARPU approximately 1.5 times higher than the average mobile customer.
The operator reported 8.1 million multiplay customers, an increase of 23.2 percent from 6.6 million in the corresponding quarter of 2025.
Multiplay customers represented 40.3 percent of Kyivstar’s monthly active mobile customer base, demonstrating growing adoption of bundled telecommunications and digital services.
Kyivstar Broadband Subscribers Grow 11.3 Percent to 1.3 Million
Kyivstar’s fixed broadband customer base reached approximately 1.3 million in the third quarter of 2026, representing 11.3 percent annual growth.
The broadband business maintained its expansion from approximately 1.2 million subscribers in the third quarter of 2025.
The company reported that 48.7 percent of fixed broadband subscribers also used Kyivstar TV, compared with 47.1 percent in Q3 2025.
Kyivstar is pursuing fixed broadband market-share expansion through organic growth and acquisitions.
In February 2026, the company announced the acquisition of internet service provider Shtorm, supporting its strategy to expand fixed broadband coverage and customer reach.
The presentation does not disclose a separate fiber broadband subscriber count, fiber route length or fiber-to-the-home coverage figure.
Kyivstar 5G Network Strategy
Kyivstar identified technological enhancements, including Direct to Cell connectivity, as priorities for sustaining mobile ARPU growth and improving its telecommunications offerings.
The company did not disclose 5G coverage, 5G subscriber numbers, 5G base-station deployments or a specific 5G capex allocation in its third-quarter results presentation.
Kyivstar Digital Revenue Jumps 68.9 Percent to $76 Million
Kyivstar’s digital revenue reached $76 million in Q3 2026, increasing 68.9 percent year on year in US dollar terms and 81.8 percent in Ukrainian currency.
Digital services represented 21.7 percent of group revenue.
The company’s digital platforms recorded 29.5 million quarterly active customer counts across its services, although users accessing multiple platforms may be counted more than once.
Kyivstar’s digital businesses reported the following customer and revenue figures:
My Kyivstar: 8.9 million digital customers.
Uklon: 5.4 million customers and $33.5 million revenue.
Tabletki: 6.6 million customers and $8.1 million revenue.
Helsi: 5.2 million customers and $2.5 million revenue.
Kyivstar TV: 3.5 million customers and $14.1 million revenue.
Kyivstar TV customer numbers increased 32.3 percent year on year, while its reported revenue grew 316.3 percent in US dollar terms, with the comparison affected by a change to gross revenue recognition from September 2025.
The company’s digital enterprise division generated $17.7 million in revenue, increasing 17.8 percent year on year.
Digital enterprise active contracts increased 23 percent to approximately 2,500, supported by demand for cloud, big data and identity-management services.
Kyivstar Expands AI and Cloud Business Through GigaCloud
Kyivstar announced an agreement on October 27, 2026, to acquire Ukrainian cloud services provider GigaCloud for total consideration of up to $50 million.
The transaction includes an acquisition price of $41 million and additional components linked to debt, performance and capital investment.
GigaCloud serves more than 1,800 enterprise customers and generated approximately $14 million in revenue during 2025.
The operator’s existing digital enterprise business provides cloud services to 643 business customers, while its ADWISOR platform has more than 4,300 registered clients.
Kyivstar Raises 2026 Revenue Forecast
Kyivstar revised its 2026 revenue growth guidance upward to 15–17 percent in US dollar terms, from the previous forecast of 14–16 percent.
In Ukrainian currency, the company now expects revenue growth of 22–24 percent, compared with its earlier projection of 21–23 percent.
The revised outlook reflects stronger telecommunications ARPU, continued broadband subscriber growth and expansion of digital services.
Kyivstar expects capex intensity to remain within 21–24 percent for 2026 as it continues investments in network connectivity, broadband expansion and digital infrastructure.
BABURAJAN KIZHAKEDATH
