ELMUF - Elisa Oyj (ELMUF) Q1 2024 Earnings Call Transcript
2024-04-19 17:58:07 ET
Elisa Oyj (ELMUF)
Q1 2024 Results Conference Call
April 19, 2024 05:00 AM ET
Company Participants
Vesa Sahivirta - Head, Investor Relations
Topi Manner - CEO
Jari Kinnunen - Chief Financial Officer
Conference Call Participants
Sami Sarkamies - Danske Bank
Artem Beletski - SEB
Felix Henriksson - Nordea
Kimmo Stenvall - OP Markets
Andrew Lee - Goldman Sachs
Oscar Rönnkvist - ABG Sundal Collier
Nick Lyall - Bernstein
Jakob Bluestone - BNP Paribas Exane
Ondrej Cabejsek - UBS
Usman Ghazi - Berenberg
Siyi He - Citi
Presentation
Vesa Sahivirta
Good morning, everyone, and welcome to Elisa's First Quarter 2024 Interim Report Analyst Meeting and Conference Call. I'm Vesa Sahivirta, Head of Investor Relations. And now we have a new team here, and I'm happy to introduce our new CEO, Topi Manner, who will call highlights of the Q1 report. And then, of course, we have CFO, Jari Kinnunen, and Jari will elaborate more on the financials. But now we are ready to start, so I give word to Topi. Please go ahead.
Topi Manner
Thank you. Thank you, Vesa, and good day, everybody, both here in the room and for those who are participating remotely, welcome to this quarterly earnings call of Elisa also on my behalf. As Vesa was alluding to, I have now been the CEO of Elisa for seven weeks. And prior to that, I served three years as a Board member of Elisa. And of course, in that capacity, I have been participating in the strategy formation of the company and looking at the company from the Board vantage point.
Before this job, I spent five years in aviation and 20 years in financial industry needing to deal with all kinds of ups and downs. And the common denominator for all of the roles that I have had in these different industries has been that they have all had a significant technology components and they have all in their own ways dealt with digital services. Now when I have been spending the seven weeks in Elisa on the ground to meeting a lot of people, I must say that I'm really impressed by the culture of the company, the continuous improvement culture and the capabilities of our people. I have been participating in the strategy formation as a Board member, as I said. So together with the entire Elisa team, I'm committed to continue down the lane of long-term value creation that Elisa is known for. I think Elisa has a distinct strategy in many ways.
And as stated, there will be a lot of continuity. But having said that, I do see further profitable growth potential both in our home markets in Finland and in Estonia and also internationally in the digital service space. And more broadly speaking, these growth areas, in my view, are related to the international software business that we are currently growing, but they are also related to IT services in our home market, cybersecurity, AI, clearly being on the rise. And I think that there's an opportunity to increase the share of wallet of Elisa in our Consumer Customer base with all kinds of value-added services centered around home in our customer base.
So with that short introduction, let's look into the highlights of Q1. The headline revenue of Elisa during Q1 decreased by 1% or EUR5 million and this was predominantly due to business disposals. Decrease in equipment sales contributed with some EUR7 million and also the interconnection revenue needs to be taken into account. The business disposals, namely divestment of Videra and the discontinuation of Viaplay cooperation and then a very small increase coming from a Romaric acquisition. The net disposals amounted to some EUR8 million. So eliminating that, we saw a small increase in revenue....
Elisa Oyj (ELMUF) Q1 2024 Earnings Call Transcript