EPAM Assets Decrease By 17% In Belarus Over Year

The company is leaving our country.

The EPAM company has published its quarterly report, which shows that the amount of its assets in Belarus continues to decline, writes Office Life.

In particular, the report says that the company's assets in Belarus amounted to $53.5 million at the end of June. A year ago, they were estimated at $64.4 million. For comparison, EPAM assets in Belarus amounted to $75-78 million in 2020-2021.

Now EPAM's Belarusian business is in third place in terms of volume, ranking behind the Ukrainian office, where assets worth $67 million are concentrated, and the U.S. one($61 million).

The sum of all EPAM assets in all locations is estimated at $255.7 million. This figure has decreased by $18 million since the end of last year.

The company specifies that it has funds in several countries, including Ukraine, Belarus and Russia. As of June 30, the company had $50.9 million in cash and cash equivalents in Ukrainian banks, $38.5 million in Belarusian banks and another $24.8 million in Russian banks. Money in Ukraine and Belarus is used to meet the operational needs of local businesses, and the account balances are adjusted to meet anticipated operational needs.

"Certain of our customers have taken steps to block internet communications with Russia, Ukraine and Belarus to protect against potential cyberattacks or other information security threats, which has had a material adverse effect on our ability to provide services to these customers from these locations. Such significant adverse effects disrupt our service delivery and force us to relocate all or part of our work performed in the region to other countries, limit our ability to participate in certain projects in the region and serve certain clients, and could affect our people, operations, financial results and business prospects," the report said.

Revenue from the Central and Eastern Europe (CEE) region, which includes Belarus, Georgia, Kazakhstan, Russia, Ukraine and Uzbekistan, totalled $7.815 million or 0.7% of the company's total revenue for the second quarter of 2023.

Over the last three months, the company's net profit totalled $120 million. It grew 6.5 times by June 2022. The revenue for the last quarter is $1.17 billion (-2.4% to June 2022).