Telenor Posts 3Q Net Profit Miss as Pandemic Impact in Asia Weighed

By Dominic Chopping

Norwegian telecoms provider Telenor ASA on Thursday posted a lower-than-expected third-quarter net profit as earnings were weighed by continued pandemic restrictions in Asia, but maintained its full-year guidance.

The company posted a third-quarter net profit attributable to shareholders of 2.64 billion kroner ($313.5 million) from NOK4.53 billion last year. Revenue fell 3.5% to NOK27.41 billion.

Analysts polled by FactSet had expected net profit of NOK3.3 billion and revenue of NOK27.64 billion.

The third-quarter mobile subscription base grew by 1.8 million compared with the second quarter to 172.1 million.

Telenor said the pandemic continues to affect its operations in Asia, but there are early signs of gradual recovery in the region. In the Nordics, the solid performance continued, it added.

For 2021, Telenor still expects organic subscription and traffic revenue growth of 0%-1% and organic earnings before interest, tax, depreciation and amortization growth of 0%-2%.

The capex-to-sales ratio is still anticipated at 15%-16%.

Write to Dominic Chopping at dominic.chopping@wsj.com

(END) Dow Jones Newswires

October 28, 2021 02:14 ET (06:14 GMT)

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