Slide 1: First Quarter 2025
• First Quarter 2025 April 23, 2025 Information Classification: Internal
Slide 2: 2025: a transformation year for Tele2
• Our objective is to build a faster and more agile Tele2 – less complex, more resilient • We will deliver this objective by embracing Tele2’s original challenger culture: • Simplifying our organisation structure • Applying stricter prioritisation and cost-control • Focusing on investments that make
Slide 3: Highlights
• 1% organic growth in end-user service revenue • 6% organic growth in underlying EBITDAaL as transformation gain speed • Strong equity free cash flow of 2.0bn • 2025 guidance reiterated • Strengthened own sales channels online and stores • Tele2 on CDP’s Climate ‘A List’; Equileap’s Top gender equa
Slide 4: Transformation starting to pay off
• Transformation starting to pay off 4 1) Organic growth rate • 2) Excluding spectrum and leases Sweden Business in Q1 • EUSR growth of 1% • Solid RGU intake in Mobile • Continued growth in Solutions The Group in Q1 • EUSR growth of 1% driven by the Baltics • Underlying EBITDAaL growth of 6% driven
Slide 5: Sweden
• sweden Information Classification: Internal
Slide 6: Sweden Consumer: Growth in connectivity, decline in TV
• Mobile prepaid Fixed broadband EUSR SEKm, YoY growth Digital TV EUSR SEKm, YoY growth Mobile postpaid Sweden Consumer: Growth in connectivity, decline in TV Mobile EUSR SEKm, YoY growth Q1 highlights • Mobile end-user service revenue (EUSR) grew 1% due to 3% postpaid growth partly offset by contin
Slide 7: Sweden Consumer: Volume drop in TV due to migration
• Q2 ’24 Q3 ’24 Q4 ’24 Q1 ’25 Q1 ’24 Sweden Consumer: Volume drop in TV due to migration RGU base & QoQ (‘000s) Fixed broadband RGU & ASPU Digital TV RGU & ASPU ASPU growth YoY Mobile postpaid RGU & ASPU Q1 highlights • Mobile postpaid volume impacted by seasonality and slow handset market. ASPU gro
Slide 8: Sweden Business: Topline growth despite headwinds
• Fixed Solutions Mobile Mobile ASPU YoY growth (excl. IoT) End-user service revenue SEKm, YoY growth Sweden Business: Topline growth despite headwinds Mobile RGU & net intake Base & QoQ excl. IoT (‘000s), YoY growth Q1 highlights • Mobile EUSR growth of 1% driven by IoT and solid RGU growth, partly
Slide 9: Business Sweden financials: Solid EBITDAaL growth
• Consumer Underlying EBITDAaL & margin SEKm, YoY growth Operating cash flow and cash conversion, LTM, SEKm Business Sweden financials: Solid EBITDAaL growth End-user service revenue SEKm, YoY growth Q1 highlights • EUSR remained stable as Consumer continued to be impacted by Boxer migration • Under
Slide 10: Baltics
• Baltics Information Classification: Internal
Slide 11: Baltics financials: Double-digit EBITDAaL growth
• Underlying EBITDAaL & margin SEKm, YoY growth Operating cash flow and cash conversion, LTM, SEKm Latvia Baltics financials: Double-digit EBITDAaL growth End-user service revenue SEKm, YoY growth Lithuania Q1 highlights • Continued solid EUSR growth of 7% driven by both ASPU and postpaid volume acr
Slide 12: Baltics operational highlights: Broad-based ASPU growth
• RGU base & QoQ (‘000s) Latvia – Mobile RGU & ASPU ASPU growth YoY Baltics operational highlights: Broad-based ASPU growth Estonia – Mobile RGU & ASPU Q1 highlights • The overall Baltic mobile postpaid customer base continued to increase supported by all markets • Mobile prepaid in Lithuania declin
Slide 13: Financial overview
• Financial overview Information Classification: Internal
Slide 14: Group results
Group results • Group results Comments • Underlying EBITDA grew mainly driven by end-user service revenue growth in the Baltics and sharp cost control across operations • Items affecting comparability were mainly driven by redundancy costs related to workforce reductions • Net interest and other fin
Slide 15: Group cash flow
Group cash flow • Group cash flow 15 Comments • Amortisation of lease liabilities decreased • mainly due to 90m reclassification from working capital • Capex paid decreased due to lower investments • Changes in working capital were mainly impacted by elevated redundancy provisions related to workfor
Slide 16: Leverage at 2.2x
Leverage at 2.2x • Leverage at 2.2x Comments • Economic net debt decreased by SEK 2.2bn compared to year-end 2024 due to the cash generated in the business • Leverage of 2.2x was below the lower end of the target range of 2.5-3.0x • Q1 ’24 Q2 ’24 Q3 ’24 Q4 ’24 Q1 ’25 Economic net debt to underlying
Slide 17: 2025 guidance reiterated
• 2025 guidance reiterated End-user service revenue1 Underlying EBITDAaL1 Capex to sales2 2025 guidance Low single-digit Mid- to high single-digit ~13% 1) Organic growth rate • 2) Excluding spectrum and leases 17 Information Classification: Internal
Slide 18: Natural Born Challengers
• Natural Born Challengers At Tele2, we are not afraid to make bold moves. The constant drive to shake things up defines us. We always try to find new ways to deliver better value, higher quality, and more fun – for both customers and all Tele2’ers. Information Classification: Internal