New Indian player Sistema Shyam Teleservices has posted a nearly fivefold increase in second quarter losses, despite a threefold rise in revenue.
The operator, a joint venture between Russia's Sistema and India's Shyam Group, reported a loss of $106.6 million for the quarter, compared to its loss of $22.9 million in Q2 last year.
But revenue grew to $23.1 million from $7.2 million over the same period, India's Business Standardreported.
The company, which is aiming to break even by mid-2013, operates CDMA services under the MTS brand.
Since its launch in March last year, the company has attracted more than 6 million customers across 12 telecom circles so far.
Sistema Shyam is 73.7% owned by Sistema – close to the maximum a foreign company can legally hold in an Indian operator.
The Russian government recently agreed to by 20% of the operator for $600 million, in a deal valuing the company at $3 billion.