Asian operations accounted for over 50% of Q4 revenues
Norwegian telecommunications group Telenor ended 2015 with 203 million subscribers in the 13 European and Asian markets in which it operates. At the end of 2014, the telco had 186 million mobile subscribers.
Telenor Group said it has added 6.6 million subscribers in the last quarter of 2015. In Norway, Tenor ended 2015 with 3.16 million subscribers in the mobile segment, down from 3.21 million subscribers at the end of 2014.
“We are entering 2016 with increased competition in some of our key markets, and it will be my key priority to secure focus on profitable growth and cost efficiency,” Telenor’s CEO Sigve Brekke said.
Telenor Group’s six Asian operations generated over 50% of the group’s total revenues in Q4 and Norway and the rest of Europe about 20% each. In Asia, the European telecoms firm operates in India, Pakistan, Bangladesh, Malaysia, Thailand and Myanmar. In Europe, Telenor has mobile telephony operations in Norway, Denmark, Sweden, Hungary, Montenegro, Bulgaria and Serbia.
Telenor generated revenues of 33.48 billion Norwegian krone ($3.92 billion) in the fourth quarter of 2015, up compared to 30.44 billion Norwegian krone in the same quarter the previous year.
The telco’s net loss for the period reached 2.1 billion Norwegian krone, compared to a net profit of 496 million krone in the year-ago period.
Telenor’s capital expenditures totaled 7.42 billion Norwegian krone in the quarter, up compared to 6.75 billion in the year-ago period. In Q4, capital expenditures accounted for 19.5% of total revenues. The operation in Norway accounted for 21% of Telenor’s total quarterly capex.
“Capital expenditure in Norway was driven by continued 4G network expansion and fixed high-speed broadband roll-out,” Telenor said in a statement.
The company said that for full 2016, capital expenditures excluding licenses and spectrum will represent 17% to 19% of Telenor’s overall revenues.
The operator has 4G LTE operations in all of its European units. In Asia, the telco offers 4G LTE services in Malaysia and Thailand.
Saudi telcos negotiate creation of tower unit joint venture
In other EMEA news, Saudi Arabian telecoms operators Saudi Telecom Company (STC), Mobily and Zain are having negotiations to spin off their mobile tower assets into a new company, Reuters reports citing Saudi Arabian financial news site Maaal.
However, it is unclear whether the new company would be owned by the three telcos, or whether they would sell it off to a third party.
