Profit Mail.Ru Group fell for the first time after the IPO

Internet holding Mail.Ru Group in 2015 compared to 2014 has reduced net profit by 13.6% from 11.5 billion to 9.9 billion rubles, follows from the financial report of the company for the year 2015. Thus annual profit Mail.Ru Group decreased for the first time since the release of the company on the London stock exchange in the fall of 2010. In the report Mail.Ru Group results financial performance without taking into account recruitment portal Headhunter, which the holding was sold in February 2016 for 10 billion rubles a group of investors led by Fund “Elbrus Capital”. However Headhunter the company’s net profit in 2015 fell by 11.5% to RUB 11.1 billion, followed from the preliminary results Mail.Ru Group.

Revenue Mail.Ru Group without regard to Headhunter by the end of 2015 increased 11% to 36.3 billion rubles From the most active segments during the reporting period, grew revenue from mobile advertising (accounting for 40.3% of the income of the holding) — 19.4%, to 14.6 billion rubles of Income Mail.Ru Group from mobile games (almost 25% of revenue) in 2015 increased by 6.3%, to almost 9 billion rubles, from built-in app and game purchases (34.4% of total revenues) — 5.4%, to 12.5 billion rubles.

The fastest growing asset in the portfolio Mail.Ru Group remains a social network “Vkontakte” — the year 2015 was the first, when the holding is fully consolidated finances of the social network in their reporting. Revenue “Vkontakte” in the last year increased by 44.2% to 6,23 billion rubles, reported Mail.Ru Group at the end of February in the preliminary results.

By the end of 2016 in Mail.Ru expect Group revenue growth to 8-14%, profitability on EBITDA — on 47 to 49%, said General Director of holding Dmitry Grishin.

The economic crisis and the contraction of the advertising market has not only affected the business Mail.Ru Group. The second largest Russian Internet company “Yandex” — in 2015 compared to 2014 also for the first time since listing on the stock exchange showed a reduction in annual profits. “Yandex” has held an IPO on the Nasdaq in the spring of 2011. The company’s net profit in 2015 decreased by 43% to 9.7 billion rubles (adjusted net profit cleared of “paper” and monetary factors index by 11%, to 12.2 billion rubles). Main article foreign exchange costs for both companies — rent, salaries and marketing promotion. Proceeds of “Yandex” in 2015, increased by 18% compared to 2014 year — on-year to 59.8 billion rubles.