Company Note · 17 June 2026

Connection Without Coverage

Kyivstar has put everyday apps in orbit. With Starlink Light Data, a phone with no tower in range can now message, map, and stay reachable, and it points to where mobile networks are going next.
3-4 apps
Viber, WhatsApp, Maps via satellite
6m+
subscribers used satellite service
10m+
messages sent over satellite
~600k
messages near front lines, 30 days
Key takeaways
The service is live.
On 16 June 2026 Kyivstar launched Starlink Light Data nationwide, letting customers with a standard 4G smartphone use Viber, WhatsApp, and Google Maps through Starlink satellites when there is no terrestrial coverage. No special handset is required.
This extends a service millions already use.
It builds on satellite SMS launched in late 2025. More than 6 million Kyivstar subscribers have already used Starlink Direct to Cell, with over 10 million messages sent, including 1 million in the last 30 days, around 600,000 of them from areas near the front lines.
It matters most where it is needed most.
In a country where towers lose power in blackouts and infrastructure is damaged near the front, a phone that connects to the sky when the ground network is down is a public good, not a premium add-on.
Kyivstar is a connectivity trailblazer.
It was the first operator in Europe to activate Starlink Direct to Cell, and is now among the first anywhere to move from satellite text to satellite apps. The roadmap runs to voice, government services, and payments.
The bigger signal: hybrid networks are the future of mobile.
The model on display, terrestrial towers for capacity plus satellites for ubiquity, is where the whole industry is heading. Kyivstar is building that future under the hardest conditions on earth.

What was announced

On 16 June 2026, Kyivstar began offering Starlink Light Data across Ukraine. The service lets a customer with an ordinary 4G LTE smartphone keep using key apps when they move out of terrestrial coverage: the phone connects directly to Starlink satellites overhead, with no satellite dish, no special device, and no separate handset.

The first three apps are Viber, WhatsApp, and Google Maps. Through them a user can send and receive text, images, voice messages, and video clips, and navigate by map, even with no cell tower in range. The service runs on Android 4G devices at launch, with iOS support planned for the third quarter of 2026. More apps are planned as each is adapted to the technical requirements of satellite delivery.

Light Data is the next step in a deliberate sequence. Kyivstar launched satellite SMS through Starlink Direct to Cell in late 2025, the first such activation in Europe. That foundation has now been extended from text to data-light applications, with voice calls, government services such as Diia, and financial apps named as the stages to come. The company is also developing corporate satellite services and testing machine-to-machine SIM cards for device-to-device data across the country.

capability over time →1Satellite SMSFirst in EuropeLate 20252Light Data:apps + mapsLIVE NOWJun 20263Voice callsNext4Gov services(Diia)Planned5Financial apps& paymentsPlanned6M2M / B2BPlannedYOU ARE HERE
Kyivstar's satellite capability rollout
Source: Kyivstar and VEON announcements. Zero One Investment Research.

Why this matters for Ukraine

The value of satellite-to-phone connectivity is highest exactly where Ukraine needs it. Terrestrial networks depend on power and on physical sites, and both have been under sustained pressure: blackouts knock towers offline, and infrastructure near the front is damaged or destroyed. A network that falls back to satellites keeps people reachable when the ground layer cannot.

The usage data already shows this is not theoretical. More than 6 million subscribers have used Starlink Direct to Cell since the autumn launch, and over 10 million messages have been sent across the service. During the blackouts of January and February, more than 6 million messages moved over satellite. In the last 30 days alone, around 1 million SMS were sent, of which roughly 600,000 came from areas close to the front lines. These are people staying in contact with family, coordinating safety, and reaching help in places where the alternative is silence.

Light Data widens that lifeline from text to the apps Ukrainians actually live on. Viber and WhatsApp are the country's everyday messaging tools; Google Maps is how people navigate and route around danger. Extending these into no-coverage areas turns satellite connectivity from an emergency channel into something closer to normal service. The planned additions raise the stakes further: bringing Diia, the national digital-government platform, and financial apps onto satellite would mean citizens could access state services and move money even with no tower in range. For a country rebuilding while under attack, that is connectivity as critical infrastructure.

Ukraine's officials describe the launch in the same terms. Stanislav Prybytko, deputy minister at the Ministry of Digital Transformation, framed the stakes plainly: “Throughout the full-scale war, we have learned that the most important message in the world can be just a single symbol, a plus sign in a messenger. When enemy attacks cut off electricity and disable communication towers, the ability to send that plus to your mother or share your location with your brothers-in-arms or rescuers becomes, quite literally, a matter of life and death.” Liliia Malon, chair of the national communications regulator, made the same point about resilience: “It does not matter where the signal comes from, whether from a base station or from space. What matters is that it works when it is needed most.”

6M+subscribers have usedsatellite Direct to Cell10M+messages sentover satellite6M+messages during theJan-Feb blackouts~600Kmessages near frontlines (last 30 days)
The lifeline in numbers: satellite usage to date
Source: Kyivstar and VEON announcements. Zero One Investment Research.

The trailblazer point: where mobile networks are going

Step back from the war and the announcement reads as a preview of the industry's direction. For a century, mobile coverage has meant building more towers. That model leaves permanent gaps: oceans, mountains, rural expanses, and any place where it is uneconomic or impossible to put steel in the ground. Direct-to-cell satellite connectivity closes those gaps by adding a layer above the towers that any ordinary phone can reach.

The future network is therefore hybrid. Terrestrial sites carry the capacity and the dense urban traffic; satellites carry ubiquity, reaching the phone wherever the towers do not. Operators worldwide are moving toward this architecture, but most are doing it in calm markets as a coverage upgrade. Kyivstar is building it as a survival system, which has pushed it to the front of the global field. It was first in Europe to switch on satellite SMS, and it is now among the first anywhere to carry real apps over the same link, while publishing usage at a scale few peers can match.

That hard-won lead is itself an asset. The operational know-how of running a hybrid terrestrial-satellite network at national scale, under stress, is a capability the rest of the industry will increasingly need over the coming decade. Kyivstar is accumulating it now. The same satellite layer that keeps a message moving during a blackout today is the layer that will define seamless coverage everywhere tomorrow, and Kyivstar is demonstrating, under the most demanding conditions imaginable, that it works.

Satellite layer reaches the phone anywhereTerrestrial towercities · capacityStill connectedcoverage gap · blackout · remoteTower downblackout · damageTerrestrialSatellite
The hybrid network: towers for capacity, satellites for ubiquity
Zero One Investment Research.

Conclusion

Kyivstar's Starlink Light Data launch does two things at once. In the near term, it strengthens a connectivity lifeline for Ukrainians precisely where and when the ground network fails, and it sets a path toward satellite voice, government services, and payments. In the longer term, it positions Kyivstar at the leading edge of the shift to hybrid networks, where towers and satellites combine so that a phone is reachable anywhere. Connection, increasingly, no longer requires coverage. Kyivstar is proving it first.

Peer comparison

Where Kyivstar trades against a basket of emerging- and developed-market mobile operators on current valuation and profitability. Kyivstar carries a sector-leading EBITDA margin of 56% and trades at 5.0x EV/EBITDA, around 30% below the 7.1x peer median. Its reported PER, ROE and ROA are depressed by a US$162m non-recurring charge in FY2025 net profit; on an adjusted basis (net profit of US$286m), the PER falls to about 11x, below the peer median, while return on equity and assets more than double, as shown in the adjusted line below.
CompanyTickerMkt Cap (US$m)PERPBVPSEV/EBITDAEBITDA marginROEROA
Magyar TelekomMTELEKOM HB8,09411.4x2.5x2.5x6.4x43.0%14.0%13.4%
Hellenic Telecom (OTE)HTO GA8,91012.0x3.4x2.1x5.8x39.5%22.7%10.0%
Orange PolskaOPL PW5,49023.4x1.4x1.5x6.4x31.7%6.3%2.8%
Koninklijke KPNKPN NA19,00219.5x5.9x2.8x8.6x46.9%31.6%6.8%
Orange BelgiumOBEL BB1,68035.1x1.4x0.7x5.6x31.2%4.2%1.0%
MaxisMAXIS MK6,57316.6x4.3x2.5x8.1x40.6%26.7%7.0%
Saudi Telecom (stc)STC AB59,68115.0x2.6x2.8x9.2x31.7%16.9%9.3%
Etihad Etisalat (Mobily)EEC AB12,91413.5x2.4x2.4x6.8x39.3%18.5%8.6%
SafaricomSAFCOM KN9,86813.4x6.4x3.0x7.3x51.5%50.5%18.5%
Millicom (Tigo)TIGO US15,2059.0x4.9x2.4x8.4x47.9%37.8%8.5%
Telkom IndonesiaTLKM IJ16,50617.9x2.2x2.0x4.8x48.3%11.6%6.2%
IndosatISAT IJ3,36810.5x1.6x1.0x4.1x47.3%15.7%4.7%
Advanced Info Service (AIS)ADVANC TB32,72221.0x8.8x4.7x9.8x54.2%48.1%11.2%
True CorpTRUE TB14,866n.d.5.9x2.6x9.2x50.9%18.0%1.4%
Median15.0x3.0x2.5x7.1x44.9%18.3%7.7%
KyivstarKYIV US3,24426.2x2.5x2.8x5.0x56.0%9.5%5.8%
Kyivstar (adjusted)¹KYIV US3,24411.3x2.5x2.8x5.0x56.0%22.0%13.5%
¹ Kyivstar ROE and ROA are computed on FY2025A period-end common equity (US$1,299m) and total assets (US$2,122m) from the financial-forecasts tables, using reported attributable net profit of US$124m and, on the adjusted line, US$286m excluding a US$162m non-recurring charge booked in FY2025. Adjusted PER restates the reported multiple for the same add-back. Peer ROE and ROA are current Bloomberg. Zero One estimates.
Source: Bloomberg, Zero One Investment Research. Current / trailing-twelve-month metrics; market data as at 18 June 2026.

Financial forecasts

Zero One Investment Research forecasts. FY2024-2025 actuals; FY2026E-FY2028E are Zero One estimates, consistent with our most recent Kyivstar results note.
Consolidated Income Statement Forecast
US$mFY24AFY25AFY26EFY27EFY28E
Revenue9191,1571,3731,5881,843
Revenue growth YoY0.4%25.9%18.6%15.7%16.1%
Cost of goods sold(100)(123)(178)(206)(240)
Depreciation and amortisation(166)(205)(229)(246)(268)
Gross profit6538299651,1361,335
Gross margin71.1%71.7%70.3%71.5%72.4%
SG&A(305)(393)(453)(524)(608)
EBITDA515648741857995
EBITDA margin56.0%56.0%54.0%54.0%54.0%
EBIT348435512612727
Net interest expense(82)(75)(47)(29)(11)
FX gain / (loss)39(12)000
Profit before tax347360464583716
Income tax(64)(74)(91)(114)(140)
Attributable NPAT283124374469576
Net margin30.8%10.7%27.2%29.5%31.3%
Shares outstanding (mn)n.d.216231231231
EPS (US$)n.d.0.571.622.032.49
Consolidated Balance Sheet Forecast
US$m (period-end)FY24AFY25AFY26EFY27EFY28E
Cash and equivalents6744565997941,111
Accounts receivable4037445159
Inventory33233
Other current assets397197209241280
Total current assets1,2086928541,0891,453
Property, plant and equipment6248499109941,066
Intangible assets and goodwill297363363363363
Other non-current assets80216216216216
Total non-current assets1,0011,4301,4911,5751,647
Total assets2,2092,1222,3452,6643,100
Accounts payable132141167194225
Short-term debt66922929(171)(371)
Other current liabilities86128151174202
Long-term debt225287287287287
Other non-current liabilities1738383838
Total liabilities1,129823672522381
Total equity1,0801,2991,6732,1422,718
Consolidated Cash Flow Statement Forecast
US$mFY24AFY25AFY26EFY27EFY28E
Attributable NPAT283124374469576
Add back: Depreciation and amortisation168205229246268
Change in working capital and other(21)229311012
Cash flow from operations430558634725857
Capex(162)(247)(290)(330)(340)
Acquisitions and other(101)97000
Cash flow from investing(132)(150)(290)(330)(340)
Net ST debt changen.d.0(200)(200)(200)
Net LT debt change(29)(699)000
Equity issued / (repaid)n.d.132000
Dividends paidn.d.0000
Cash flow from financing(37)(626)(200)(200)(200)
Ending cash6744565997941,111
Source: Zero One Investment Research financial model; FY2024-2025 actuals per company filings.

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