Strong cash flow and financial position


(Fornebu, May 3, 2022) In the first quarter, the mobile business performed well while the whole quarter was impacted by our strategic journey of investing in modern networks and structural transactions in Asia. Growth was held back by the Norwegian landline business and increased competition in Thailand.

Service revenue remained stable and EBITDA was negatively impacted by the copper dismantling in Norway which is in its final year. In addition, higher energy prices and planned merger-related activities in Thailand and Malaysia negatively impacted EBITDA. This resulted in an organic change in EBITDA of -2%. Free cash flow remained robust at NOK 3.6 billion during the quarter, further strengthening our financial position.

“I am particularly pleased with the growth in mobile service revenues and ARPU in the Nordic operations. This confirms that delivering quality networks and services in the world’s most advanced telecommunications markets creates opportunities for growth. In Asia, we are seeing solid growth in Bangladesh and Pakistan and M&A deals in Thailand and Malaysia are progressing through the necessary stages.The sale of Telenor Myanmar was completed during the last days of the quarter, concluding a difficult process in a very difficult situation,” said Sigve Brekke, President and CEO of Telenor Group.

Telenor will host a Capital Markets Day on September 20, 2022.

NOK in millions 2022 2021 2021
Revenue 27,009 27,518 110,241
Organic revenue growth (%) 0.5 (0.6) 1.2
Service revenue 20,879 21,236 84,828
Services revenue organic growth (%) 0.3 (3.2) (0.1)
EBITDA before other income and other expenses 11,660 12,209 49,162
Organic EBITDA growth (%) (2.5) (0.8) (0.2)
EBITDA before other income and other expenses/Revenue (%) 43.2 44.4 44.6
Net income attributable to shareholders of Telenor ASA 6,570 (3,889) 1,528
Capex HT licenses and spectrum 4,183 3,685 17,942
Total investments 5,268 4,224 22,345
Free cash flow before M&A 2,434 2,992 11,015
Total free cash flow 3,589 3,834 12,668
Mobile subscriptions – Evolution of the quarter/Total (mill.) 0.8 3.0 172.2

Summary of the first quarter of 20221)

  • The strengthening of the Norwegian krone against all relevant currencies during the quarter had a negative impact of NOK 0.6 billion on total revenues, NOK 0.4 billion on services revenues and NOK 0.2 billion NOK on EBITDA before other items.
  • Total reported revenue was NOK 27.0 billion, a decrease of NOK 0.5 billion due to negative currency movements. Services revenue remained stable on an organic basis.
  • Reported operating expenses increased by NOK 0.2 billion. Organic opex increased by NOK 0.4 billion, or 5%.
  • Reported EBITDA before other items was NOK 11.7 billion, down 4.5%. Organic EBITDA decreased by 2.49%.
  • Capital expenditure excluding licenses and spectrum fees amounted to NOK 4.2 billion, representing a capital expenditure to sales ratio of 15%.
  • Net profit attributable to shareholders of Telenor ASA amounted to NOK 6.6 billion for the quarter.
  • Total free cash flow was NOK 3.6 billion for the quarter.
  • During the quarter, the Group finalized the sale of Telenor Myanmar and non-strategic fixed assets in Sweden.
  • Leverage decreased to 1.9x from 2.1x at the end of the previous quarter.
  • Starting this quarter, financial and operational information from Telenor’s Nordic towers business is included in the report as supplementary information, see page 31.

1)Please refer to page 24 for definitions and descriptions of alternative performance measures.

Press contacts:
David Fidjeland, Director of Media Relations, Telenor Group
+ 47 934 67 224 |

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