Telenor Group reports second quarter results
(Thomson Reuters ONE) -
"We are pleased to deliver strong results for the second quarter with an EBITDA*
of NOK 11.5 billion. The organic EBITDA growth exceeded 6 per cent, while
revenues were impacted by low device sales. We have taken several initiatives to
further strengthen our data position across our footprint, and we see
encouraging signs of data monetization in several of our markets. Digitizing our
core business, combined with efficiency measures, will be key to drive value
creation going forward,'' said Telenor Group Chief Executive Officer Sigve
Brekke.
Key Figures Telenor Group
+----------------------------------------------------+-------+--------+--------+
|(NOK in millions) |Q2 2016|Q2 2015*| 2015|
+----------------------------------------------------+-------+--------+--------+
|Revenues | 32 477| 31 406| 128 175|
+----------------------------------------------------+-------+--------+--------+
|Organic revenue growth (%) | 0.6| 5.7| 4.7|
+----------------------------------------------------+-------+--------+--------+
|EBITDA before other income/ expenses | 11 545| 10 695| 44 197|
+----------------------------------------------------+-------+--------+--------+
|EBITDA margin before other income/expenses (%) | 35.5| 34.1| 34.5|
+----------------------------------------------------+-------+--------+--------+
|Profit after taxes and non-controlling interests | 1 111| 3 456| 3 414|
+----------------------------------------------------+-------+--------+--------+
|Capex excl. licences and spectrum/Revenues (%) | 16.2| 21.4| 18.4|
+----------------------------------------------------+-------+--------+--------+
|Mobile subscriptions - Change in quarter/Total |3.4/211|-0.8/181|20.3/203|
|(million) | | | |
+----------------------------------------------------+-------+--------+--------+
*Re-presented
Highlights
Second quarter revenues were NOK 32.5 billion. Organic mobile subscription and
traffic revenues were up by 4%, while total revenues were impacted by lower
handset sales. EBITDA* was NOK 11.5 billion and the EBITDA margin improved by
more than one percentage point to 35.5%. EBITDA* less capex (excl. licences) was
NOK 6.3 billion. 3.4 million mobile subscribers were added during the quarter,
taking the total mobile customer base to 211 million.
In Norway, Denmark and Sweden, we have removed roaming barriers by introducing
new mobile offerings enabling our customers to use their voice and data packages
while travelling within the EU. While this is impacting our roaming revenues and
costs in the short term, we see solid uptake on our new tariffs. The number of
new high-speed broadband connections is also showing encouraging trends, both in
Sweden and Norway this quarter. To maintain our superior position in Norway, we
continue investing significantly in fixed and mobile networks, and we expect to
spend more than NOK 4 billion also in 2016.
In Bangladesh, Pakistan and India the strong revenue growth continued during the
quarter. We have secured additional spectrum in Pakistan and completed a major
3G network expansion in Bangladesh, facilitating continued growth in data
consumption. While market conditions remain challenging in Thailand and
Malaysia, we have succeeded in the contract segment. Both dtac and Digi reported
strong contract revenue growth and improving EBITDA margins this quarter.
In Myanmar, our investments remain high to secure service quality to our 17
million customers and pave the way for further expansion and growth. The strong
EBITDA* has already brought cash flow into positive terrain.
We recognize the significant operational and financial improvement delivered by
our Indian operation. We have however, after thorough consideration, decided not
to participate in the upcoming spectrum auction, as we believe the proposed
spectrum prices do not give an acceptable level of return. We will continue our
efforts to meet customer demands and grow the business based on the current
spectrum holding. As we evaluate our options in India, we will be disciplined on
capex.
Based on the performance in the first half of 2016 and the outlook for the
second half, we revise the financial guidance for 2016. We expect an organic
revenue growth in the range of 1% to 2% and an improved EBITDA margin of around
35%. Our expectation for the capex to sales ratio, excluding licences, is
lowered to around 17%.
*EBITDA before other income and other expenses.
Media Contact:
Atle Lessum, mobile: (+47) 41 50 56 45, al(at)telenor.com
Investor Contact:
Marianne Moe, mobile: (+47) 91 61 76 31, marianne.moe(at)telenor.com
Helge Øien, mobile: (+47) 91 31 92 42, helge.oien(at)telenor.com
Press and analyst conference
In connection with the publication of the financial results, a press and analyst
conference will be held on Tuesday 19 July at 09:00 hrs Norwegian time/CET. The
presentation, which will also be broadcast live via webcast, will be held in
Auditorium Voice, Telenor Expo Visitor Centre at Fornebu near Oslo. CEO Sigve
Brekke and acting CFO Morten Karlsen Sørby will present the results. The
presentation will be held in English.
Conference call and Q&A
You may also call in and listen to the presentation over the phone. This service
allows you to ask questions during the Q&A session at the end of the
presentation. To participate in the conference call, please register before the
conference starts by calling +47 2350 0486 and state the confirmation code:
2521474
Material
The quarterly report and the English version of the presentation will be made
available here.
This announcement is distributed by GlobeNewswire on behalf of
GlobeNewswire clients. The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and
other applicable laws; and
(ii) they are solely responsible for the content, accuracy and
originality of the information contained therein.
Source: Telenor via GlobeNewswire
[HUG#2029291]
Unternehmensinformation / Kurzprofil:
Datum: 19.07.2016 - 07:01 Uhr
Sprache: Deutsch
News-ID 483899
Anzahl Zeichen: 6919
contact information:
Town:
OSLO
Kategorie:
Business News
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