Telia Company Ab · OMXSTO:TELIA
Telia Company Ab — Q1 2025 Earnings Presentation
25 slides from Telia Company Ab's earnings presentation, Apr 24, 2025
Slide 1: Telia Company Q1 2025
Telia Company Q1 2025 April 24, 2025
Slide 2: A solid start to the year
A solid start to the year New organization delivered Outcome meets expectations in the first full according to plan quarter with new, country-led operating model Agreement to divest Strategic milestone, full focus on our core TV & Media business Climate transition plan Path set to reach net-zero gre
Slide 3: Highlights
Highlights Service revenue: +1.8% Service revenue Like for like growth - Supported by Sweden, Baltics and Other operations - Mobile increased +0.9% and Fixed increased +1.3% 1.8% - Continued strong TV revenue growth in Sweden (+15%) 2025 outlook: ~2% Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Adjusted EBITDA: +6
Slide 4: Sweden
Sweden ARPU Commercial development on plan, with premium infra position confirmed by umlaut ranking Mobile postpaid Consumer +1.7% driven by fiber, a leading TV product and high pricing activity with effects from March. 2 11 Enterprise +3.5% due to non-subscription-based revenue. Customer activity i
Slide 5: Finland
Finland ARPU Continued drive towards a simpler and more profitable business Mobile postpaid Lower Consumer mobile customer losses, but not yet stable -16 -9 -19 -22 +1.4% Enterprise decline on macro headwinds and e-invoicing ramp-down. Positive customer growth in SME -25 EBITDA growth remained stron
Slide 6: Norway
Norway ARPU Ongoing efficiency measures and several recent management appointments to drive change Mobile postpaid Service revenue growth somewhat negative due to continued pressure on fixed (-4.1%) 5 0 -2 -6 +1.5% EBITDA remained somewhat negative from the reduction in service revenue -13 Expected
Slide 7: Lithuania
Lithuania ARPU Solid commercial development across both mobile, fixed broadband, TV and ICT Mobile postpaid Mobile service revenue growth of +7.0% driven both by subscriber base and ARPU 21 +2.2% TV growth improved with successful Netflix launch 10 14 9 10 Double digit EBITDA growth driven by servic
Slide 8: Estonia
Estonia ARPU Continued growth and high employer rating despite recent Change program Mobile postpaid Public sector IT business returning to growth 8 7 +1.4% EBITDA growth remained at a healthy level 0 2 -3 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Broadband Service revenue & adjusted EBITDA Adjusted EBITDA less
Slide 9: Telia Towers
Telia Towers Leading Nordic tower platform spanning three markets with Telia as majority owner (51%) Adjusted EBITDA Sweden and Finland accounts for the vast majority of revenue Reported SEK in billions, R12 Tenancy ratio of 2.28x and adjusted EBITDA growth of 8% Q1 2025 R12 EBITDA up >25% since 202
Slide 10: Financials
Financials @
Slide 11: Service Revenue & EBITDA
Service Revenue & EBITDA Service revenue Adjusted EBITDA Like for like growth Like for like growth 2.7% 6.7% 2.6% 1.7% 1.8% 4.1% 1.1% 2.9% 2.1% 1.0% Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Service revenue growth in-line with our full year ambition of ~2% EBITDA growth supported b
Slide 12: OPEX & CAPEX
OPEX & CAPEX OPEX CAPEX excluding spectrum Adjusted EBITDA less CAPEX Like for like growth Reported SEK in billions, R12, booked CAPEX Reported SEK in billions, R12, booked CAPEX excl. spectrum -3.2% 18.3 15.4 17.2 13.4 13.0 13.1 Q1 24 Resources Marketing Other Q1 25 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q1 Q2
Slide 13: Free Cash Flow
Free Cash Flow Reported SEK in billions Q1 2025 Q1 2024 Change Adjusted EBITDA 7.8 7.3 0.5 Profitable growth and Change program Restructuring and other adj. items -0.1 -0.3 0.2 Repayment of leasing liabilities -0.8 -0.7 -0.1 Cash CAPEX excl. licenses -3.7 -3.2 -0.5 Increased cash CAPEX due to phasin
Slide 14: Net Debt & Leverage
Net Debt & Leverage Leverage decreased to 2.18x (2.28x in Q4 2024) and net debt declined by SEK 1.4bn Net debt and leverage Continuing and discontinued operations, reported SEK in billions, leverage ratio − Profitable growth with EBITDA up SEK 0.8bn R12 − Solid cash flow generation − Other items was
Slide 15: Progress on value creation agenda
Progress on value creation agenda Grow FCF per share to Active portfolio Actively manage our Grow DPS and return cover the dividend management balance sheet excess cash to shareholders ‒ EBITDA growth of +6.7% and ‒ Agreement to sell TV and Media ‒ Net debt further reduced to ‒ Unchanged dividend of
Slide 16: Summary & Outlook
Overview Summary & Outlook
Slide 17: Summary & Outlook
Summary & Outlook A solid start to the year Executing first full quarter with country-led operating model Agreement to divest TV and Media 2025 outlook reiterated Service revenue Adjusted EBITDA Like for like growth Like for like growth ~2% >5% CAPEX* Free cash flow** SEK SEK <14bn ~7.5 bn * CAPEX e
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Slide 19: Thank you!
Overview Thank you!
Slide 20: Appendix
Appendix @
Slide 21: Our 2025-2027 financial ambitions
Our 2025-2027 financial ambitions Service revenue* Adjusted EBITDA* CAPEX** Free cash flow*** 2025-2027, CAGR 2025-2027, CAGR 2025-2027 by 2027 SEK SEK 2% 4% <14bn/year >10bn * Based on 2024 as starting point, like for like growth ** CAPEX excl. spectrum and leases (booked) *** Based on the assumpti
Slide 22: Our sustainability progress and ambitions
Our sustainability Net zero emissions in value chain by 2040 progress and ambitions Climate and Zero waste by 2030 circularity Q1 2025 Suppliers responsible for 62% of emissions have approved SBTi targets or equivalent 3 million individuals reached through digital inclusion initiatives by 2027 2.6 m
Slide 23: Our climate commitments
Our climate commitments 2022 2025 2026 2030 2040 100% renewable electricity in our Short term Science Based Achieve an A score in CDP’s Reduce GHG emissions in the Achieve Net Zero: own operations (achieved already Targets: external climate disclosure. value chain (scope 3) by at least in 2020). 50%
Slide 24: Our key sustainability ratings
Our key sustainability ratings MSCI ESG rating Ecovadis ISS ESG rating Global Child Forum “AAA” (highest) “Platinum supplier” rating -B (Prime status) No. 1 in Sweden, No. 14 among all companies assessed (1,802) CDP Climate Rating Sustainalytics FTSE4Good World Benchmark Alliance B Rated Included Jo
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