Telenor India Revenue Dips 18% In Second Quarter

Norwegian telecom operator Telenor India that has discontinued its operations under its own name and announced a merger with Bharti Airtel, has shown a 18% dip in its revenue for the second quarter ended June 30.

Telenor’s financial year is same as its calendar year and its books are audited from January.

As per the Q2 results of the company, Telenor India posted a revenue of 1267 million Norwegian Krone (NOK) in Q2 ended 30 June 2017 compared to 1551 million NOK for the same period a year ago.

On a half yearly basis too, the company showed decreased revenue. For half year 2017, Telenor posted revenues of 2575 million NOK for its Indian operations compared to 3070 million NOK the previous half year.

The operating profit is recorded at 12 million NOK for the second quarter of 2017 compared to a loss of 109 million NOK for the same period a year ago. However, if compared to its Q1 of 2017, the operating profit has decreased from 68 million NOK.

Telenor India had announced to get merged with Bharti Airtel in February this year. The closure, as per both the companies, will be done in a period of 12 months.

On a global term, the company has posted revenues of 31.5 billion NOK in the second quarter ended 30 June, 2017 compared to 31 billion NOK for the same period a year ago, showing a growth of 2%.

Telenor’s CEO Sigve Brekke attributed this performance to the increased revenues in Bangladesh and decreasing losses in Thailand and Sweden.

Seeing this performance during the half year, the company has also modified its guidance for the whole year.

“Based on the performance in the first half of 2017 and our current expectations for the remainder of the year, we revise the financial guidance for 2017. We lift the EBITDA margin guidance to 38–39%, from previously around 37%. We still expect an organic revenue growth in the range of 1% to 2% and capex to sales ratio excluding spectrum licences of 15% to 16%,” Telenor said.

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