"Halfway into 2018, Telenor continues to attract customers and deliver solid performance. In the second quarter we saw robust operations in Scandinavia, particularly in the mobile market in Norway. In Malaysia, we achieved revenue growth for a second consecutive quarter as a result of our determined repositioning efforts. In Pakistan and Bangladesh, we grew the subscriber base and strengthened our positions in rapidly developing markets. Telenor added two million mobile subscriptions in the quarter, and now connects 172 million customers.
Our operation in Thailand continues to deliver robust results, while transforming the business and building a solid platform for the future.
Across our operations, we continue to execute on simplification and increasing efficiency, while maintaining market positions. These efforts are generating good results, with savings now of a more structural nature. Year to date, opex has been reduced by close to NOK 1 billion.
Going forward, we will build on the good momentum and continue to create value by focusing on growth, efficiency and simplification," said Telenor Group President & CEO Sigve Brekke.
Key Figures
NOK (in millions) | Q2 2018 | Q2 2017 | First half year 2018 | First half year 2017 | Year 2017 | First half year 2018 (IFRS 15) |
Revenues | 27 485 | 28 332 | 54 597 | 55 928 | 112 069 | 54 653 |
Organic revenue growth (%) | -1.0 | 2.1 | -1.2 | 1.1 | 0.5 | |
Subscription and traffic revenues | 21 445 | 21 966 | 42 602 | 43 143 | 86 314 | 42 353 |
Organic subscription and traffic revenue growth (%) | 0.4 | 3.0 | 0.7 | 2.1 | 2.4 | |
EBITDA before other income and other expenses | 11 300 | 11 605 | 22 608 | 22 110 | 44 694 | 22 677 |
EBITDA before other income and other expenses/Revenues (%) | 41.1 | 41.0 | 41.4 | 39.5 | 39.9 | 41.5 |
Net income attributable to equity holders of Telenor ASA | 2 688 | (167) | 7 642 | 4 001 | 11 983 | 7 637 |
Capex excl. licences and spectrum/Revenues (%) | 12.4 | 14.6 | 11.9 | 15.2 | 15.4 | 11.9 |
Capex/Revenues (%) | 13.3 | 19.0 | 15.3 | 17.5 | 18.1 | 15.3 |
Free cash flow | 3 012 | 9 947 | 5 587 | 12 113 | 24 867 | 5 587 |
Mobile subscriptions - Change in quarter/Total (mill.) | 2.1 | 2.0 | 172 | 164 | 170 | 172 |
Discontinued operations: Telenor India, Hungary, Montenegro & Serbia and Bulgaria, Telenor Common Operation, Telenor Microfinance Bank and Telenor Banka.
Second quarter 2018 summary
Shareholder remuneration
Outlook
Media Contact
Atle Lessum, mobile (+47) 415 05 645, atle.lessum@telenor.com
Investor Relations Contacts
Marianne Moe, mobile: (+47) 916 17 631, marianne.moe@telenor.com
Håkon Hatlevik, mobile (+47) 901 46 070, hakon.hatlevik@telenor.com
Press and analyst presentation
In connection with the publication of the financial results, a press and analyst conference will be held on Tuesday 17 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 CFO Jørgen C. Arentz Rostrup will present the results. The presentation will be held in English.
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 0296(local Norway)
+46 (0)8 5065 3942 (local Sweden)
+44 (0)330 336 9411 (local UK)
+1 929-477-0448 (local US)
Please state confirmation code 1927188.
Material
The quarterly report and the presentation are available here. https://www.telenor.com/investors/reports/2018/telenor-groups-results-for-the-2nd-quarter-2018/