Telecom network operator MTS has revealed the company’s Capex (capital expenditure) during the first half of 2016.

The Capex of MTS was nearly RUB 40 billion, lower than its Capex in first half 2015 but in line with its guidance of RUB 85 billion for the year.

MTS has reduced its investment as it shifted focus to making incremental investments in more developed data markets and have completed launch of core 3G network in Ukraine.

MTS revenue in Q2 rose 5.3 percent to RUB 108.1 billion.

“Growth drivers were 3G strategy, strong retail sales, stable service revenue, growth in B2C home internet and pay-tv markets and growth in Ukraine through adoption of 3G data services,” said Andrei Dubovskov, president and chief executive officer of MTS.

Debt of MTS stood at RUB 276 billion.

MTS is looking for revenue growth of 2 percent or 3 percent. The marginal revenue growth reflects the exclusion of UMS and consideration of other factors, like the subscriber growth in Russia, recent data usage and sustaining data reduction in Russia and Ukraine, increased sales of handsets in Russia and rising share in Moscow with B2G and Pay-TV markets.