Telenor returned to growth in the second quarter. The growth was driven by
strong performance in the Nordics combined with a growing subscriber base and
increased data consumption in the Asian markets. Subscription and traffic
revenues increased by 2%. Combined with progress on the modernisation agenda
this resulted in an EBITDA uplift of 4%.
In Norway, the decline in fixed legacy revenues are offset by growth in fibre
and fixed wireless accesses and mobile service revenues. Improved subscription
development in Sweden contributed positively towards stabilisation of the
subscription and traffic revenues. Furthermore, Finland and Denmark continued
its strong performance, delivering both revenue and EBITDA growth in the
In Asia, Telenor aims to strengthen the position in our markets and be better
positioned for future growth. The merger agreement with Celcom in Malaysia was
signed in Q2 and marks the next step towards creating a leading operator in the
country. We have an ambition to serve the data revolution in the region and the
demand for data contributes to the revenue development in Bangladesh and
Pakistan. Domestic market performance in Thailand has stabilised the top-line
despite impact from the third wave of the pandemic.
On July 8, Telenor Group announced an agreement to sell Telenor Myanmar. The
situation in the country has over the past months deteriorated, posing
challenges related to people security, the regulatory environment and
compliance. It has not been an easy decision. The commitment to Telenor's values
and responsible business conduct is the reason why we believe this sale is the
best possible solution in this situation.
With the first half of 2021 behind us, and a strong set of numbers for the
second quarter, we adjust our expectations for the full year 2021. We now expect
organic subscription and traffic revenues growth of 0-1%, organic EBITDA growth
of 0-2% and a capex to sales ratio of 15 - 16%.
Øystein Myrvold, mobile: +47 99230460
Håkon Hatlevik, mobile: +47 90146070
Kristine Devold, mobile: +47 90050780
Tormod Sandstø, mobile: +47 90943215
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