VEON (NASDAQ:VEON) Posts Quarterly Earnings Results, Misses Estimates By $2.18 EPS

VEON (NASDAQ:VEON) announced its quarterly earnings data on Friday. The Wireless communications provider reported ($0.39) earnings per share (EPS) for the quarter, missing the consensus estimate of $1.79 by ($2.18), Zacks reports. VEON had a return on equity of 58.72% and a net margin of 15.26%.The business had revenue of $1.17 billion during the quarter, compared to analyst estimates of $1.12 billion.

Here are the key takeaways from VEON’s conference call:

• VEON delivered strong 2025 results with $4.4bn revenue (+9.9% YoY) and $2.01bn EBITDA (+18.8%) with margins expanding to 45.7%, signalling significant operational leverage.
• Digital services accelerated sharply—$759m of digital revenue (+62%+) representing 17% of group revenue, with $207m digital EBITDA at a 27.3% margin and >200m three‑month active digital users.
• Management executed an asset‑light strategy and strengthened the balance sheet via tower sales and deconsolidations, ending 2025 with $1.73bn cash and net debt (ex‑leases) of $1.75bn (leverage 1.09x).
• Capital allocation priorities emphasize annual share repurchases of at least $100m (shares to be cancelled) and disciplined M&A, while management says it will address 2027 bond maturities ahead of November — supportive but subject to refinancing/timing uncertainty.
• 2026 outlook shows potential margin pressure—guidance of revenue growth 9–12% vs EBITDA 7–10% and management flags inflationary headwinds (oil/pricing) plus geopolitical uncertainty (Ukraine) that could weigh on near‑term profitability.

VEON Trading Up 14.2%

VEON stock traded up $6.29 during midday trading on Friday, reaching $50.60. The stock had a trading volume of 687,574 shares, compared to its average volume of 90,787. VEON has a twelve month low of $34.55 and a twelve month high of $64.00. The company has a debt-to-equity ratio of 2.45, a current ratio of 0.95 and a quick ratio of 0.94. The firm has a market cap of $3.49 billion, a price-to-earnings ratio of 5.75 and a beta of 1.59. The firm’s fifty day simple moving average is $53.67 and its two-hundred day simple moving average is $52.51.

Key Stories Impacting VEON

Here are the key news stories impacting VEON this week:

• Positive Sentiment: VEON reported strong fourth‑quarter results that investors interpreted positively — management pointed to broad revenue and EBITDA growth driven by digital services, which helped trigger the rally. VEON surges after strong fourth quarter results
• Positive Sentiment: Company press release: digital revenues jumped ~84% and now make up ~20.1% of total revenues; this segment drove ~17% revenue growth and ~29% EBITDA growth in 4Q25 — a structural improvement in mix that supports higher margins going forward. VEON Delivers Record Digital Growth
• Positive Sentiment: Core profit (adjusted) rose ~19% year‑on‑year as digital adoption increased; management flagged expansion of the Starlink partnership (next market: Bangladesh), which signals growth opportunities and new revenue streams. Veon’s core profit rises on digital services
• Positive Sentiment: VEON gave FY‑2026 revenue guidance above street expectations (guidance range implies revenue growth vs. consensus), signaling confidence in recurring digital momentum and underlying operations. VEON Delivers Record Digital Growth
• Positive Sentiment: Local operator Kyivstar (Ukraine) beat estimates in 4Q as its digital push accelerated growth, supporting consolidated results. VEON’s Kyivstar beats estimates
• Neutral Sentiment: Market context: broader market moves (e.g., commodity and index swings) accompanied the session — Benzinga noted crude oil gains and mixed U.S. equities while VEON shares spiked higher, indicating some macro correlation. Crude Oil Gains Over 1%; VEON Shares Spike Higher
• Neutral Sentiment: The full earnings call transcript is available for investors who want detail on one‑offs, FX effects and capex plans; review it to separate sustainable earnings drivers from timing items. VEON Q4 2025 Earnings Call Transcript
• Negative Sentiment: GAAP EPS missed consensus materially (reported ($1.12) vs. $1.79 expected) — likely reflecting non‑cash/one‑time items, FX and accounting timing that investors should vet in the transcript and slide deck. VEON Q4 earnings and materials

Analyst Ratings Changes

A number of analysts recently weighed in on VEON shares. Benchmark restated a “buy” rating on shares of VEON in a report on Friday. Wall Street Zen raised VEON from a “hold” rating to a “buy” rating in a report on Saturday, January 10th. Zacks Research upgraded VEON from a “strong sell” rating to a “hold” rating in a research report on Thursday, January 8th. Finally, Weiss Ratings restated a “hold (c)” rating on shares of VEON in a report on Monday, December 29th. One equities research analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating and two have given a Hold rating to the company’s stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $60.00.

VEON announced that its Board of Directors has approved a stock buyback plan on Monday, November 17th that permits the company to repurchase 0 shares. This repurchase authorization permits the Wireless communications provider to reacquire shares of its stock through open market purchases. Stock repurchase plans are often an indication that the company’s board believes its shares are undervalued.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the business. Wellington Management Group LLP raised its position in VEON by 66.5% during the fourth quarter. Wellington Management Group LLP now owns 977,400 shares of the Wireless communications provider’s stock valued at $51,382,000 after buying an additional 390,294 shares during the period. Millennium Management LLC grew its stake in VEON by 2.4% during the 4th quarter. Millennium Management LLC now owns 136,701 shares of the Wireless communications provider’s stock valued at $7,186,000 after acquiring an additional 3,223 shares in the last quarter. Schonfeld Strategic Advisors LLC purchased a new position in VEON during the 4th quarter valued at about $1,608,000. J. Goldman & Co LP acquired a new position in shares of VEON in the 4th quarter valued at about $2,103,000. Finally, Solus Alternative Asset Management LP lifted its position in shares of VEON by 3.6% in the fourth quarter. Solus Alternative Asset Management LP now owns 887,002 shares of the Wireless communications provider’s stock worth $46,630,000 after purchasing an additional 30,900 shares in the last quarter. Hedge funds and other institutional investors own 21.30% of the company’s stock.

VEON Company Profile

VEON Ltd (NASDAQ: VEON) is a global telecommunications and digital services provider headquartered in Amsterdam, the Netherlands. Originally founded as VimpelCom in Russia in 1992, the company rebranded to VEON in 2017 to reflect its transformation into a technology-driven operator. VEON operates as a holding company with direct investments in mobile and internet service providers across multiple emerging markets, delivering voice, data and digital services to individual and enterprise customers.

Through its operating subsidiaries, VEON offers a broad portfolio that includes 2G/3G/4G mobile access, fixed broadband, digital lifestyle applications and mobile financial services.