IDS Ukraine increased its e-commerce sales volume by 49% in real terms in the first half of 2026, according to the group’s CEO, Marco Tkachuk.
However, online platforms and marketplaces currently account for only about 1% of the company’s total sales. A significant portion of online orders is processed through the online services of IDS Ukraine’s major retail partners.
Given the growth of this channel, the company estimates that online sales will account for 5–6% of total sales in the coming year.
At the same time, IDS Ukraine is developing its own B2B platform, e-Morshynska, for traditional retail. Currently, it serves approximately 21,000 retail outlets.
The platform already accounts for about 10% of IDS Ukraine’s sales in the traditional retail channel and allows stores to place orders independently without the involvement of a sales agent.
Digitalization has become one of the group’s largest areas of capital investment. Over the past four years, IDS Ukraine has allocated 363.4 million UAH to digital transformation and software. At the same time, the company is in the final stages of implementing an ERP system for inventory management and supply planning.
Generation Z may become the first generation in many decades to score lower on certain cognitive ability tests than its predecessors. This is indicated by studies in the U.S. and Europe, international educational tests, and data on the so-called Flynn effect reversal.
The debate has reignited following the publication of the article “Is Gen Z the First Generation Less Intelligent Than Their Parents?” by the popular science website RathBiotaClan. The author, Shibasis Rath, compiled research showing a decline in scores on specific measures—mathematical and verbal reasoning, attention span, memory, and problem-solving.
One of the catalysts for the article’s publication was a hearing held by the U.S. Senate Committee on Commerce, Science, and Transportation on January 15, 2026. Neurobiologist and education expert Jared Kuni Horvath presented data to senators showing that over the past two decades, a number of developed countries have seen stagnation or a decline in literacy, math skills, attention, and the ability to engage in complex reasoning.
For most of the 20th century, IQ test scores consistently improved from one generation to the next. This phenomenon became known as the Flynn effect. The increase was attributed to improvements in nutrition and healthcare, expanded access to education, smaller family sizes, and the growing complexity of the environments in which people grow up and work.
However, in some developed countries, this trend first slowed down and then reversed.
One of the most well-known studies was conducted by Norwegian scientists Bernt Bratsberg and Ole Røgeberg. In a paper published in the *Proceedings of the National Academy of Sciences* in 2018, they used data on military conscription and administrative records spanning several decades. By comparing brothers within the same families, the authors concluded that both the initial rise and the subsequent decline in outcomes were largely linked to environmental changes rather than genetic changes in the population.
In July 2026, Bratsberg and his colleagues published a new study in PNAS based on data from 579,379 Norwegian men born between 1967 and 1991. It showed that the expansion of secondary education may have masked a more general downward trend in cognitive test scores for a time. Once the growth in educational attainment slowed, the decline became more pronounced across various social groups.
American data yield a similar, albeit more complex, result.
Researchers at Northwestern University analyzed the results of 394,378 Americans who took online tests as part of the SAPA project between 2006 and 2018. Scores on verbal reasoning, matrix tasks, and number sequences declined over time. At the same time, spatial reasoning, on the contrary, improved.
That is why one of the study’s authors, Elizabeth Dvorak, cautioned against claiming that Americans are simply “getting dumber.” According to her, changes in test scores do not necessarily indicate a corresponding change in overall intellectual ability. It may reflect changes in skills, motivation, education, or the ability to perform a specific type of test task.
This is a fundamentally important caveat for evaluating Generation Z as well. Today’s young people may perform worse on some types of cognitive tasks and, at the same time, better on others—for example, when processing visual information or using digital tools.
Another major source of data is the OECD’s PISA program, which assesses the knowledge and ability to apply that knowledge among 15-year-old students.
Between PISA 2018 and PISA 2022, the average score in mathematics across OECD countries fell by a record 15 points, and in reading by 10 points. At the same time, science scores remained largely unchanged. The OECD emphasizes that the decline in reading scores began even before the COVID-19 pandemic, so it is impossible to attribute the entire trend solely to school closures in 2020–2021.
At the same time, the OECD itself does not attribute the problem solely to smartphones or computers. The organization notes that the reasons for the decline in educational outcomes are numerous, and that the competent use of digital technologies by teachers can, on the contrary, contribute to the development of digital literacy and the ability to critically evaluate information.
This is where the most controversial part of the discussion begins.
Horvat attributes the decline in certain indicators to the rapid proliferation of laptops, tablets, and other digital devices in the education sector. In his written testimony to the Senate, he argues that excessive screen-based learning can impair concentration, the depth of information processing, and memory retention—especially if digital technology simply replaces traditional instruction without offering improved pedagogical methods.
However, based on the available data, it cannot be concluded that smartphones are the sole or even the proven primary cause of the Flynn effect reversal.
The results may be influenced simultaneously by the quality of school education, changes in curricula, the social environment, the pandemic, sleep, physical activity, nutrition, patterns of information consumption, and shifts in motivation to take standardized tests.
Therefore, it is more accurate to speak not of a proven “decline in the intelligence of Generation Z,” but rather of an observed decline in performance across a range of cognitive and educational indicators in several developed countries.
Even this more cautious phrasing has serious economic implications.
Skills such as reading complex texts, mathematical analysis, concentration, and solving non-standard problems directly impact human capital. As artificial intelligence becomes more widespread, the importance of these skills may not diminish but rather increase: people need not only to receive a ready-made answer from a machine but also to evaluate its correctness, spot errors, and formulate complex tasks on their own.
If the decline in certain cognitive indicators is indeed sustained, the consequences may manifest in labor productivity, the quality of vocational education, the ability to master complex professions, and the economy’s innovative potential.
But there is also the opposite possibility: the digital environment does not so much reduce intelligence as it changes the structure of skills, making certain forms of information processing less in demand while developing others. This is precisely the question that remains open today.
The RathBiotaClan article is useful primarily as a popular science overview that brings together in one place several studies and public presentations by Jared Kuni Horvath. RathBiotaClan positions itself as an Indian platform for science education and media, registered in India as a micro services enterprise under the MSME/Udyam system. The resource’s founder, Shibasis Rath, specializes in popularizing research in biology and related sciences.
RathBiotaClan is not a peer-reviewed scientific journal. Therefore, it is more appropriate to use this publication as a starting point rather than as standalone evidence that Generation Z has become less intelligent.
The most important primary sources for this topic are studies in PNAS and the journal Intelligence, OECD PISA statistics, and materials from U.S. Senate hearings. These sources make it possible to verify the main claims of the popular publication.
DIGITALIZATION, EDUCATION, Generation Z, intelligence, RESEARCH
Kyivstar, Ukraine’s largest mobile operator, increased its EBITDA by 21.1% in the second quarter of 2026 to 8.3 billion UAH, while revenue rose by 27% to 14.9 billion UAH, according to the company’s quarterly report released on Friday.
“Kyivstar has demonstrated another quarter of broad-based profitable growth, and we are once again raising our full-year forecast,” Kyivstar CEO and President Oleksandr Komarov is quoted as saying in the document.
He noted that digital technologies now account for more than one-fifth of the company’s revenue, which is 7 percentage points higher than a year ago.
“We remain focused on leading Ukraine’s digital future and ensuring sustainable returns for our shareholders,” Komarov added.
In U.S. dollars, Kyivstar now estimates revenue growth in the second quarter of this year at 19.3%—to $339 million—and EBITDA at 13.7%, to $188 million, resulting in a margin of 55.4%.
Kyivstar’s net income was $77 million, with earnings per share of $0.33. Revenue from digital services grew by 94.7% to 3.3 billion UAH, accounting for 21.7% of total revenue, or 83%, to $73.7 million.
The number of Kyivstar’s multiplay customers in the second quarter of 2026 grew by 23.6% to 8.1 million, representing 39.9% of the total number of active mobile customers during the month. Revenue from these services increased by 47.4% to $139 million (up 56.9% to 6.2 billion UAH), or 41.1% of total revenue.
ARPU (Average Revenue Per User) for this period rose by 11.2% to $3.9 (up 18.3% to 172.7 UAH).
The report also states that the total number of monthly active digital users for the quarter was 29.3 million. Specifically, the figure rose by 8.2% at Uklon—to 5.2 million; by 0.7% at Helsi—to 5 million; stood at 6.3 million at Tabletki; and increased by 47.7% at KyivstarTV—to 3.6 million.
The online taxi service Uklon, which was consolidated into Kyivstar’s financial statements in April 2025, generated 1.448 billion UAH in revenue, or $32.8 million, in the second quarter of 2026. Its EBITDA amounted to 554 million UAH, or $12.5 million. The number of booked trips during this period increased by 4.5% to 43 million, while the number of completed trips rose by 25.9% to 1.4 million.
It is noted that as of the end of the second quarter of 2026, the Helsi healthcare information system had 109,000 paid subscribers; its revenue increased by 44.6% compared to the same period in 2025—to 105 million UAH—or by 35.9%—to $2.4 million. The service’s clients have access to 1,800 healthcare facilities. The number of patient visits reached 2.4 million.
Tabletki.ua, which was acquired in February of this year for $160 million, generated 342 million UAH, or $7.8 million, in the second quarter. EBITDA amounted to 274 million UAH, or $6.2 million. The average monthly number of orders reached 15 million, and gross merchandise value (GMV) reached $376 million.
Revenue for the Kyivstar TV platform in the second quarter of 2026 reached 614 million UAH, or $13.9 million, as the number of user sessions grew by 34.2% to 931 million.
The report specified that capital expenditures, excluding licenses and assets in the form of rights of use, amounted to $59 million. The company emphasizes that the capital expenditure intensity in the second quarter of 2026 was 17.3% and 26.6% over the past 12 months, which is 3.3 percentage points lower than the 29.9% recorded in the first quarter.
It is noted that going forward, the group expects revenue growth in dollar terms of 14–16% (previously projected at 11–14%) and EBITDA growth of 9–12% (previously indicated as 7–10%), while the capital expenditure rate will remain unchanged at 21–24%, assuming an average UAH/USD exchange rate of 44.5.
Free cash flow to shareholders, after accounting for lease and license expenses, increased by 32.2% to $104 million. Additionally, as of June 30, 2026, cash, cash equivalents, and deposits totaled 16.4 billion UAH, or $364 million.
Kyivstar added that more than 6 million of its customers currently use the Starlink Direct-to-Cell service, which during the reporting period also expanded its capabilities beyond messaging to include data transmission via specific apps—such as Google Maps, Viber, and WhatsApp—in areas without terrestrial coverage.
Among other things, during the second quarter of this year, the group acquired six solar power plants in the Lviv region (105 MW in total for $80.8 million), expanding its renewable energy portfolio nearly ninefold—to approximately 30% of expected energy needs—and strengthening its energy resilience.
The Uklon service launched the Uklon Store, signed an agreement to acquire E-wings, and conducted Ukraine’s first real-time testing of autonomous vehicles.
The group also signed a memorandum of understanding with the Ministry of Economy to explore the possibility of establishing an AI-ready data center, as well as a memorandum with the National Securities and Stock Market Commission of Ukraine to examine the possibility of providing domestic investors with access to the group’s Nasdaq-listed shares through established brokerage channels.
As reported, in the first quarter of 2026, Kyivstar increased its EBITDA by 28.5% to 7.5 billion UAH, while revenue grew by 31.3% to 13.9 billion UAH
In 2025, the company increased its EBITDA by 30% to 27 billion UAH, with revenue growing by 30.3% to 48.2 billion UAH; including in the fourth quarter, when EBITDA increased by 23.1% to 7.2 billion UAH, with revenue growing by 30.1% to 13.5 billion UAH.
DIGITALIZATION, EBITDA, KYIVSTAR, REVENUE, telecommunications
According to the results of the first half of 2026, the distribution system operators (DSOs) of DTEK Networks continue to expand the automated commercial electricity metering system (ACEMS), which allows for real-time monitoring of electricity consumption.
“During the first half of 2026, specialists installed nearly 136,000 smart meters in Kyiv, Kyiv, Odesa, and Dnipropetrovsk regions, which is 37% more than during the same period last year,” the operating holding reported on Wednesday.
The pace of smart meter installation continues to grow, and currently, one in three customers in Kyiv, Kyiv, Odesa, and Dnipropetrovsk regions is already using them.
It is noted that smart meters are part of the ASKOE system. They automatically transmit readings to the distribution system operator (DSO), which simplifies the process of accounting for electricity consumption and allows utility companies to more quickly obtain information about the state of the grid and analyze consumption.
As explained by DTEK Networks, for customers, the installation of these meters means less hassle with regularly submitting meter readings and more accurate tracking of electricity consumption.
The implementation of the ASKOE system is taking place as part of an investment program approved annually by the energy regulator, the NEURC.
“You can find out if a meter replacement is scheduled for your home this year on your distribution system operator’s website,” the company explained to consumers.
The installation of smart meters is part of the “Network of the Future” project aimed at modernizing energy infrastructure and implementing Smart Grid technologies.
“DTEK Networks” operates in the business of electricity distribution and power grid operation in Kyiv, as well as in the Kyiv, Dnipropetrovsk, Donetsk, and Odesa regions. The company’s distribution system operators serve 5.1 million households and 150,000 businesses.
Ukrnafta specialists have developed and implemented their own software suite, WellWorkoverSupervisor, for planning and managing well workovers.
“This solution was developed in-house based on the practical experience of the company’s specialists, taking into account international best practices,” the company announced on Tuesday.
Ukrnafta explained that well workovers are one of the most complex production processes, as working with equipment at depths of several thousand meters requires precise engineering calculations, high-quality preparation, and strict adherence to safety requirements.
Previously, the company did not have a single standardized software tool for such calculations. Some of the work was performed manually or using outdated software, which took more time and increased the risk of errors.
However, engineers from the Well Repair Supervision Division of the Production and Technology Department have developed their own software product that meets the company’s actual production needs.
“Digital transformation is not just about purchasing off-the-shelf IT solutions. It also involves developing our own engineering expertise and creating tools that directly improve production efficiency,” said Bogdan Kukura, Chairman of the Board of JSC “Ukrnafta.”
According to him, the use of WellWorkoverSupervisor has already made it possible to reduce the time required to prepare work plans, minimize the risk of errors in calculations, and improve production safety.
WellWorkoverSupervisor includes over 30 specialized modules and allows users to automate key technical calculations, create graphs and engineering diagrams, generate ready-to-use PDF reports, and utilize a built-in reference guide for pipes, threaded connections, and equipment.
In terms of functionality, the software suite is on par with expensive foreign counterparts, Ukrnafta added.
JSC “Ukrnafta” is Ukraine’s largest oil production company, carrying out a full cycle of activities in the field of extraction: exploration, oil and gas production, the provision of oilfield services, as well as the management of UKRNAFTA, the largest network of gas stations in Ukraine.
The company’s balance sheet includes over 1,106 oil wells and 131 gas wells.
The shareholders of JSC “Ukrnafta” are NJSC “Naftogaz of Ukraine” and the Ministry of Defense of Ukraine. Since 2022, the company has been under state management and is implementing a large-scale business transformation.
By the end of 2025, “Ukrnafta” had become the leader in the extraction industry with a turnover of 99.6 billion UAH, as reflected in Opendatabot’s Index of Top Companies.
The UKRNAFTA gas station network is the largest in Ukraine, comprising nearly 700 stations and ranking among the top three in terms of fuel sales volume. The UKRNAFTA brand now unites networks that previously operated under the Glusco, Shell, and U.Go brands.
Metinvest Digital LLC, the IT expertise center of Ukraine’s largest mining and metallurgical holding, Metinvest, reported a net profit of UAH 4.505 million in January–March of this year, compared to a net loss of UAH 13 million during the same period last year.
According to the company’s interim report, which is available to the agency “Interfax-Ukraine,” revenue from ordinary activities for this period increased by 13.2% to UAH 197.735 million.
Retained earnings as of the end of March amounted to UAH 64.058 million.
In 2025, the LLC reduced its net profit by 5.3 times compared to the previous year—to UAH 6.494 million from UAH 34.142 million, while revenue from ordinary activities for this period increased by 0.8%—to UAH 807.236 million from UAH 801.016 million.
The LLC ended 2023 with a net loss of UAH 9.525 million.
The number of employees as of the end of 2025 was 700, and as of the end of 2024, it was 764.
Metinvest Digital is a Ukrainian IT company specializing in the digital transformation of large businesses and implementing projects in Ukraine, Europe, and North America. The company develops, implements, and supports comprehensive IT solutions for building technological infrastructure, developing information systems, strategic outsourcing, data migration, system integration, cybersecurity, and information security. Metinvest Digital is the IT business partner of the Metinvest Group, serving over 30 of the holding’s enterprises worldwide. The company is a certified partner of Microsoft (Gold Certified Partner) and SAP (Silver Partner).
Metinvest Holding LLC owns a 100% stake in Metinvest Digital LLC.
The LLC’s authorized capital is UAH 78.740 million.
Metinvest is a vertically integrated group of mining and metallurgical enterprises. Its enterprises are located in Ukraine—in the Donetsk, Luhansk, Zaporizhzhia, and Dnipropetrovsk regions—as well as in European countries. The holding’s main shareholders are the SCM Group (71.24%) and Smart Holding (23.76%). Metinvest Holding LLC is the management company of the Metinvest Group.
