Telenor reaches 179 million global subscribers

Nordic operator Telenor added a further five million mobile subscribers during the first quarter of 2010, to reach a consolidated subscriber base of 179 million. Revenues were down slightly year-on-year to NOK 23.952 billion (US$3.86 billion) from NOK 24.614 billion a year earlier. Meanwhile net profit was NOK 1.038 billion, a decline of 36 per cent from NOK 1.622 billion in the first quarter of 2009.

Group chief executive Jon Fredrik Baksaas said current trends for the Oslo-based company in the Asian and Nordic regions were positive in the first quarter, and he expected a rebound in organic revenue growth. He attributed the operating cash flow of NOK 5 billion to a combination of strong financial results and good capital discipline.

Mobile operations in the Nordic region were driven by an increased demand for smartphones, pushing up mobile data usage and revenues. The company has planned upgrades of mobile networks in all its Nordic markets to accommodate future growth in this area.

In regards to Telenor’s recently launched Indian operation ‘Uninor’, Baksaas stated that rollout activities have continued at a fast pace.

“Network quality is already high in the circles where we have launched, and 180,000 points of sale and around 2,500 employees are in place to support Uninor’s development in the market. In this initial phase, we are experiencing some challenges. To secure healthy pick-up of quality subscribers, we are continuously working on developing the distribution system,” Baksaas added.

The global telecoms group spans 14 markets: Norway, Denmark, Sweden, Finland, Hungary, Montenegro, Serbia, Ukraine, Russia, Pakistan, Bangladesh, Thailand, Malaysia and India.