This morning the VEON Ltd (NASDAQ:VEON) stock has been one of the notable movers in the market after it managed to clock gains of as much as 16% amidst heavy interest. It seems the rally in the stock has been brought about by the announcement that VEON made last Friday with regards to a trading update for the eight months of this year so far.

The company is involved in providing converged connectivity and related services in its capacity as a worldwide digital operator. The company announced that in the first eight months of the year, it had managed to boost its revenues by as much as 3.1% year on year in reported currency. In local currency terms, the revenues had actually gone up by as much as 6.5%.

VEON noted that in five out of the seven countries in which it operates, it had managed to record double-digit revenue growth in local currencies. On the other hand, the reported currency service revenues had moved up by as much as 4.3% year on year and on the other hand, the same overhead under a local currency basis had moved up by 7.8% year on year. In this regard, it should be noted that EBITDA went up by 3.9% year on year and by 7.9% year on year in local currency terms.

In addition to that, the company also announced that back on August 5, 2022, it had also been able to sell off its stake in Djezzy, an Algerian operator with VEON’s partner FNI. VEON managed to get $682 million in sales. At the end of the eight-month period, the company reported a cash balance to the tune of $3.2 billion. As can be seen from the numbers, the company had performed strongly and the rally in the stock is a show of optimism from investors.

By Bina Murarka

I am Nitin Harlalka, and I have been a passionate writer for close to a decade. I have a graduate degree in Economics and have worked as a business writer for a range of publications. Over the past couple of years, I have also started working on emerging industries like the cannabis industry and blockchain.

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