Salem Radio Network News Monday, August 2, 2021

Science

Norway’s Telenor raises annual outlook despite quarterly profit slump

STOCKHOLM/OSLO (Reuters) – Telenor raised its full-year revenue outlook on Tuesday, despite the Norwegian telecoms operator posting a weaker-than-expected quarterly adjusted operating earnings.

Adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) for the April-June quarter fell to 12.35 billion Norwegian crowns ($1.38 billion), from 13.18 billion crowns a year earlier, and missed forecasts of 12.7 billion crowns in a company-compiled poll.

“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,” Chief Executive Signe Brekke said in a statement.

Negative currency effects, however, offset an underlying improvement by decreasing EBITDA by 1.6 billion crowns, Telenor said.

The company, which is selling its Myanmar telecom assets, now expects organic subscription and traffic revenue growth of 0-1% and organic EBITDA growth of 0-2%, up from a previous forecast of maintaining the 2020 level.

It kept its forecast for the capex-to-sales ratio unchanged at 15-16%.

($1 = 8.9672 Norwegian crowns)

(Reporting by Supantha Mukherjee in Stockholm and Nora Buli in Oslo; Editing by Niklas Pollard and Sherry Jacob-Phillips)

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