Telenor delivers “solid results” in Q4
February 6, 2025
Telenor Group has reported “solid results” in the fourth quarter, and a stronger cash flow than previously indicated.
The Norweigian multinational telco says its strategic direction remains firm, with continued growth and transformation efforts, combined with reduced capital expenditure in 2025. The Board of Directors of Telenor proposes a dividend of NOK 9.60 (€0.82) per share for 2024.
Q4 and full year 2024 highlights:
- Nordic mobile service revenues grew 4.6 per cent for the full year, and total service revenues grew 3.6 per cent to NOK 44.7 billion
- EBITDA before other items of NOK 35 billion for the full year
- Free cash flow before M&A of NOK 11.4 billion for the full year, of which NOK 3.1 billion in Q4
During the fourth quarter, Telenor Group delivered organic service revenues growth of 1.1 per cent, and organic EBITDA growth of 2 per cent. EBITDA before other items ended at NOK 8.5 billion in the quarter.
“It has been a pleasure joining Telenor and getting to know the people, customers and the business. For my part, it is important to get a good understanding of Telenor, and to use our collective knowledge to set the right course for the future. I am proud of the results the team has achieved in 2024,” said CEO Benedicte Schilbred Fasmer, who took on the role in December 2024.
Solid in the Nordics, Challenging in Bangladesh
In the Nordics, Telenor delivered 2.3 per cent organic growth in service revenues in the quarter, while organic EBITDA growth ended at 6 per cent due to efficiency initiatives.
“Telenor has a solid market position in the Nordics that we continue to strengthen. We serve as our customers’ safety net, ensuring that they receive greater value for their money. Our Nordic revenues are outpacing the general inflation, demonstrating strong performance in offering more-for-more to our customers. A special recognition goes to Finland, as the growth winner in the quarter, but most importantly we deliver solid results across all the Nordic markets,” commented Fasmer.
Bangladesh’s economic recovery has been slow following the severe unrest in the summer of 2024. Telenor’s team has shown tremendous resilience in a challenging situation. Telenor Pakistan shows impressive performance despite challenging macroeconomic conditions.
Strong Cash Flow
Free cash flow before M&A and potential items reached NOK 3.1 billion in the fourth quarter. For the entire year, free cash flow before M&A totaled NOK 11.4 billion, well above the outlook for the year. M&A income also contributed positively with NOK 1.9 billion, for a total free cash flow including M&A of NOK 13.3 billion. The strong cash flow is primarily due to EBITDA growth in the Nordics and reduced working capital.
Telenor’s ambition for the current year is a free cash flow of around NOK 13 billion, before M&A and any potential items.
“Setting financial targets always involves some level of risk. However, we believe that visibility has significantly improved, giving us greater confidence that our goals for 2025 are within reach. For the year ahead, we have two main priorities. First, we must deliver on our strategy. Second, we need to continue evolving as a future-oriented, customer-centric and technology-driven company, and continue to develop a winning culture at Telenor. This will be key to driving earnings growth and return on capital, while delivering on our dividend commitment, in the years ahead,” concluded Fasmer.
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