Telenor Broadcast sees fall in revenue

Telenor's Fornebu HQ

Telenor’s Fornebu HQ

Telenor Broadcast has seen a sharp reduction in revenue in the first quarter compared with 2016 thanks in large part to the one-off positive impact of a settlement related to transmission unit Norkring in Q1 2016. However, pay TV unit Canal Digital and Telenor Satellite Broadcasting also saw their revenues dip.

Overall, Telenor Broadcast posted sales of NOK1.488 billion (€158 million) for the quarter, down from NOK1.765 billion last year.

While NOK220 million of the decline was attributable to Norkring, Canal Digital saw revenues fall from NOK1.147 billion to NOK1.099 billion, with subscriber numbers continuing their long, slow decline. The pay TV unit lost 7,000 customers in the quarter, taking its total to 862,000.

Satellite Broadcasting posted sales of NOK227 million, down from NOK237 million. However, the satellite unit expects a NOK300,000 boost from a capacity deal in the second quarter.

Telenor Broadcast’s EBITDA for the quarter was NOK461 million, down from NOK732 million, with Norkring and Canal Digital accounting for the bulk of the decline.

Telenor’s fixed-line TV and internet revenues in Norway grew from NOK1.335 billion to NOK1.421 billion, helping offset declines elsewhere. Telenor Norway EBITDA declined from NOK1.767 billion to NOK1.473 billion as mobile and fixed voice subscriptions and revenues declined.

Fixed-line TV subscribers grew by 4,000 to reach 541,000.

In Sweden, internet and TV revenues dipped slightly to NOK619 million, with subscribers declining by 5,000 to 469,000.

Overall, Telenor’s revenues fell from NOK31.494 billion to NOK30.458 billion for the quarter, with EBITDA falling from NOK11.629 billion to NOK11.462 billion.