Telenor Group revenue up 8% at NOK 25.1 billion in Q1 2012

Telecom Lead Europe: Telenor Group reported revenues of
NOK 25.1 billion for the first quarter of 2012, representing an organic revenue
growth of 8 percent as compared to NOK 24 billion for the same quarter of 2011.

The company’s CAPEX stood at NOK 2.68 billion for the
first quarter, as compared to NOK 2.61 for Q1 2011.


The company reported a 79.12 percent plunge in its first
quarter net profit at NOK 583 million due to a NOK 3.9 billion write-off in
India, where its unit has lost all telecom licenses.


The company’s net profit stood at 2.79 billion
kroner in the first quarter of 2011.


EBITDA before other items was NOK 7.7 billion, EBITDA
margin was 30.8%, and operating cash flow was NOK 5.3 billion. Telenor’s
consolidated mobile operations added more than five million subscriptions
during the quarter.


For its Norway business, the company posted revenues of
NOK 6.22 billion for Q1 2012, against NOK6.29 billion for Q1 2011. Total mobile
revenues stood at NOK 3.25 billion and revenue from fixed line recorded at NOK
2.4 billion. For Norway, the company’s CAPEX stood at NOK 975 million, against
NOK 845 million for Q1 2011.


For its Sweden business, the company posted revenues of
NOK 2.54 billion for Q1 2012, against NOK 2.50 billion for Q1 2011. Total
mobile revenues stood at NOK 1.9 billion and revenue from fixed line recorded
at NOK 0.62 billion. For Sweden, the company’s CAPEX stood at NOK 243 million,
against NOK 492 million for Q1 2011.


For India, the company’s revnue for the first quarter of
2012 stood at NOK 1 billion, as compared with NOK 548 million for the same
quarter of 2011. Telenor India’s CAPEX stood at NOK 142 million for Q 2012,
against NOK 320 million for Q1 2011. In 2011, Telenor India’s CAPEX was NOK 972
million.


I am pleased to present another quarter with strong operational
performance by the Telenor Group. We are maintaining the growth momentum from
2011 with organic revenue growth of 8%, margins in line with last year and
improved operating cash flow,” said Jon Fredrik Baksaas, President and CEO of
Telenor Group.


Based on the current group structure not including Uninor
and with currency rates as of 31 March 2012 Telenor expects organic revenue
growth above 4 percent.


Furthermore, the group expects capital expenditure as a
proportion of revenues, excluding licences and spectrum, in the range of 10 – 12
percent.


On revenues from India, Baksaas said, The recent
recommendation from the regulator on spectrum auction, following the Supreme
Court’s ruling to revoke all licences issued in 2008, has severe negative
impact on both the telecom industry in India and Uninor. If this should be
approved by the Department of Telecommunications, it will be almost impossible
for us to participate in the auction. We are working actively to safeguard our
investment and urge the Government of India to clarify a sound framework for
the industry.”


[email protected]

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