TELNF - Telenor ASA (TELNY) Q1 2024 Earnings Call Transcript
2024-04-30 15:34:08 ET
Telenor ASA (TELNY)
Q1 2024 Earnings Conference Call
April 30, 2024 03:00 AM ET
Company Participants
Frank Maao - Head, IR and SVP, Capital Markets
Sigve Brekke - President and CEO
Tone Hegland Bachke - EVP and CFO
Conference Call Participants
Andrew Lee - Goldman Sachs
Ondrej Cabejsek - UBS
Maurice Patrick - Barclays
Jakob Bluestone - BNP Paribas
Nick Lyall - Bernstein
Keval Khiroya - Deutsche Bank
Ajay Soni - JPMorgan
Oliver Pisani - Carnegie
Usman Ghazi - Berenberg
Siyi He - Citigroup
Presentation
Frank Maao
Hi, everyone, and welcome to Telenor's First Quarter Results Call. I'm Frank Maao, Head of Investor Relations at Telenor and with me today, I have Sigve Brekke, our CEO; and our CFO, Tone Hegland Bachke.
I would like to note that within today's presentation, references to growth rates will be as usual on an organic like-for-like currency basis. On today's agenda, we'll kick off with Sigve's highlights of the quarter and then update on the progress in three of our business areas. Next, Tone will go through our financial results and outlook, before Sigve sums it all up. Then finally, as always, we will open up for questions.
Then let me turn it over to Sigve.
Sigve Brekke
Yes. Thank you, Frank and a very good morning to everyone. I am very pleased with our performance in this first quarter. We deliver high and profitable growth, we deliver a strong cash flow, and we continue to execute on a strategy that works.
At the Capital Markets Day back in 2022, we set out to reshape Telenor. And we outlined both the direction for operations, for organization, and the way we are looking at ownership, together with our financial ambitions through 2025.
We are now halfway there in the strategy period and the results we are announcing today are another demonstration that we are on track to reach our ambitions. We are showing strong and profitable growth in the Nordics with actually now all the business units in the Nordics contributing to both revenue and EBITDA growth.
And in Asia, the synergies are beginning to come true, both in Malaysia and in Thailand. Together, this will give us a strong foundation for our long-term value creation.
In Q1, we grew our service revenues with 6%. We achieved a 7% EBITDA growth. And in addition, we generated total free cash flow of NOK5.4 billion in the quarter. We did this by driving revenue growth and cost discipline in the Nordics and through our cash flow focus in Asia.
The Nordic operation delivered even stronger numbers in the first quarter than what we had expected. And in Asia, we are ahead of our plans in synergy realization in the two merged entities. With this, we are well on track with our full year and midterm financial ambitions.
Now, let me zoom in on the Nordics, our biggest contributor to the group top line and EBITDA growth, and you see that on this slide. Nordics had a very strong start of the year. Our ambition in this region is to generate profitable growth and focus on revenue, market share, and capital returns....
Telenor ASA (TELNY) Q1 2024 Earnings Call Transcript