Strong year for Telenor; continued transformation top priority in 2018

Press release
7 minute read
“In 2017, Telenor delivered a solid set of results due to strong execution from across the company and continued follow-through on efficiency measures and our strategy. We met our financial targets and reported strong financial results for the past year, marked by a 1% organic increase in revenues and total net cost reductions of NOK 1.6 billion, leading to increased profitability and cash flow of NOK 25 billion.

During the fourth quarter, we saw continued subscription and traffic revenue growth and solid EBITDA uptake, on an organic basis. We achieved cost savings of NOK 0.6 billion during the final three months of the year, reported an EBITDA margin of 37% and added two million new mobile customers.

We enter 2018 with clear priorities to deliver on our digital transformation agenda, to continue to seek efficiency gains and revenue growth, while simplifying our portfolio and way of work across the company. Change starts with people, and in order to succeed with our transformation, we will continue to invest in our teams. We seek to personalise our customers’ experience and improve satisfaction based on their needs and preferences.

Telenor aims to create value by becoming even more efficient in how we operate, how we deliver our services and how customers experience us through the digitalisation of IT and technology and our customer journeys.  We are proud to connect our 178 million customers to what matters most to them. We truly believe that connected societies are empowered societies,” said Telenor Group CEO Sigve Brekke.

NOK (in millions) Q4 2017Q4 2016FY 2017FY 2016
Revenues32 09331 727124 756125 395
Organic revenue growth (%)(0.5)
Organic subscription and traffic revenue growth (%)
EBITDA before other income and other expenses11 83510 64948 99245 966
EBITDA before other income and other expenses/Revenues (%)36.933.639.336.7
Net income attributable to equity holders of Telenor ASA2 2262 28611 9832 832
Capex excl. licences and spectrum/Revenues (%)17.121.314.617.4
Capex/Revenues (%)19.221.317.120.2
Free cash flow3 3271 50924 86710 300
Mobile subscriptions - Change in quarter/Total (mill.)2.04.0178170

With effect from the first quarter 2017, Telenor India is treated as an asset held for sale and discontinued operations in Telenor’s financial reporting.

 Fourth quarter 2017 summary

  • Total reported revenues increased by 1% to NOK 32.1 billion. On an organic basis, revenues dropped 0.5%, while subscription and traffic revenues rose by 3%, positively impacted by a negative one-time item in Sweden last year.

  • Currency adjusted opex decreased by NOK 0.6 billion, or 5%.

  • EBITDA before other items was NOK 11.8 billion, corresponding to an EBITDA margin of 37%, an increase of 3 percentage points from last year.

  • Net income attributable to equity holders of Telenor ASA was NOK 2.2 billion, or NOK 1.49 earnings per share. Adjusted for impairment in Tapad of NOK 1.7 billion and reversal of impairment of NOK 1.2 billion in Denmark, net income was NOK 2.6 billion.

  • Capex excluding spectrum and licences was NOK 5.5 billion, resulting in a capex to sales ratio of 17%.

  • Free cash flow for the quarter was NOK 3.3 billion.

Shareholder remuneration

  • Based on the performance during the year, the Board of Directors proposes a dividend of NOK 8.10 for 2017, to be declared by the Annual General Meeting (AGM) on 2 May 2018. The dividend shall be split into two tranches of NOK 4.20 and NOK 3.90 per share, to be paid in May and November 2018, respectively.

  • The 2017 buyback programme is expected to be completed by the end of February 2018. The company plans to ask the AGM for a new buyback mandate to secure flexibility for additional shareholder remuneration.


  • For 2018, we expect an organic subscription and traffic revenue growth of 1-2%, an organic EBITDA growth of 1-3% and capex excluding licences and spectrum of NOK 18-19 billion.


Media Contact
Meera Bhatia, mobile (+47) 46 84 49 59,

Investor Relations Contacts
Marianne Moe, mobile: (+47) 91 61 76 31,
Helge Øien, mobile: (+47) 91 31 92 42,

Press and analyst presentation
In connection with the publication of the financial results, a press and analyst conference will be held on Wednesday 31 January at 09:00 hrs Norwegian time/CET. The presentation, which will also be broadcast live via webcast, will be held in Auditorium Voice, Telenor Expo Visitor Centre at Fornebu, near Oslo. CEO Sigve Brekke and CFO Jørgen C. Arentz Rostrup will present the results. The presentation will be held in English.

You may also call in and listen to the presentation over the phone. This service allows you to ask questions during the Q&A session at the end of the presentation. To participate in the conference call, please register before the conference starts by calling:
+47 2100 2610 (Norway)
+46 (0) 8 5033 6574 (Sweden)
+44 (0) 330 336 9105 (UK)
+1 323 794 23 (US)

Please state the confirmation code: 2705989

The quarterly report and the presentation are available here.