Telenor Asa Ord (TELNF) Q1 2026 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good morning, and welcome to Telenor's first quarter results presentation for 2026. Joining me today are our CEO, Benedicte Schildberg-Sassmann, and our CFO, Torbjörn Wist. Before we start, a quick reminder. Unless we state otherwise, all revenue and EBITDA growth rates are organic and on a constant currency basis. And EBITDA refers to adjusted EBITDA. Today's agenda will follow our usual structure, and at the end of the presentation, we'll open the line for Q&A. To give everyone a chance, we kindly ask each of you to limit yourself to one question. And with that, Benedicte, over to you. Thank you so much, Frank, and good morning, everyone. In the first quarter, Telenor continued to execute on its strategy and deliver steady performance despite challenging external backdrops. The closure of the Strait of Hormuz pushed up consumer energy prices and created a new supply chain uncertainty, particularly across parts of Asia, including Bangladesh. We delivered service revenue growth of 1.6% and EBITDA growth of 3.1%. Free cash flow before M&A was 2.1 billion, a solid start to the year on cash generation. We also progressed well on our portfolio simplification, supporting our strategy to become a more Nordic-centric company over time. After divesting Tel Anor Pakistan at the end of 2025, we completed the sale of the 25% stake in True Corporation in March, receiving $30 billion in proceeds. The remaining 5% stake in True will be sold within two years. including the three proceeds, total free cash flow amounted to $32 billion in the quarter. Following these simplification milestones, we have a strong financial position. Leverage is at 1.2x, and we plan to commence our three-year $15 billion share buyback program after the AGM. In the Nordics, competition is still intense. bu...