Research, Charts & Company Announcements
Research Tree provides access to ongoing research coverage, media content and regulatory news on TELENOR ASA. We currently have 7 research reports from 1 professional analysts.
|13Dec16 06:45||GNW||Statement from the Board of Directors meeting in Telenor ASA|
|12Dec16 06:17||GNW||Regarding compliance cases handled by Telenor Group ASA and its subsidiaries|
|06Dec16 08:00||GNW||Telenor publishes Global Impact Report|
|26Oct16 06:00||GNW||Telenor reports third quarter results|
|19Oct16 04:00||GNW||Petter-B. Furberg appointed CEO of Grameenphone|
|10Oct16 10:48||GNW||Presentation of Telenor Group's third quarter 2016 results on 26 October 2016|
|16Sep16 07:00||GNW||Telenor announces pricing of its offering of VimpelCom ADSs|
Frequency of research reports
Research reports on
What future in India?
26 Oct 16
Q3 revenues have grown by 2% yoy at constant change, a slightly better performance than the poor growth of 1% recorded during H1. The increase was driven by the ARPU uplift in Bangladesh and Pakistan as well as continued growth in Myanmar. This was partly offset by lower outbound roaming revenues in the Scandinavian operations and still intense competition in Thailand and Malaysia. EBITDA was up by 5%, a solid performance but in line with expectations (and with the 5% recorded during H1). The margin improvement is a result of strong margins in Bangladesh as well as an improved performance in India. But there are questions surrounding the future of the Indian activities after the entry of Reliance Jio on the Indian mobile market. This is why the fair value of the licences in Telenor India has been assessed, resulting in an impairment loss of NOK4bn! The current full-year guidance is maintained (organic revenue growth in the range of 1% to 2%, with an EBITDA margin of around 35%). Following the announcement on 5 October 2015 of its intention to divest its stake in VimpelCom, in Q3, Telenor disposed of 163.9m VimpelCom ADSs (9.3% of its capital) for NOK4.6bn. After the disposal, the group’s ownership of VimpelCom reduced from 33% to 23.7%. A loss of NOK3.2bn was recognised in the income statement upon this disposal relating to the reclassification of translation differences previously recognised in other comprehensive income. During the first 9m, a total impairment loss of NOK0.6bn was recognised. Concurrently with the disposal of 163.9m VimpelCom ADSs, Telenor issued bonds of $1bn exchangeable into VimpelCom ADSs and having a maturity of three years. VimpelCom will continue to be classified as an associate company until a highly probable sale within 12 months of the remaining VimpelCom ADSs.
Improvement in the EBITDA margin but don't get too excited
19 Jul 16
Q2 revenues have increased by 0.6% yoy at constant currency. This clearly reflects the expected continuing growth slowdown for 2016 with only 1% yoy growth for H1 16 vs +7% in H1 15 and +3% in H2. In 2015, Telenor had already posted a pretty marked slowdown in growth in Malaysia, Bangladesh and Thailand (40% of Telenor’s revenues). Adjusted for the currency effects, the group had recorded only stable revenues in these countries whereas they had been growth engines in the past. This is quite a big question mark for the future. In Q2, in local currencies, revenues have declined by 10% yoy in Thailand and by 4% in Malaysia. Note, however, in Pakistan (+9%) and Bangladesh (+7%), the strong revenue growth continued during Q2 while Telenor has secured additional spectrum in Pakistan and completed a major 3G network expansion in Bangladesh. But the good news is that Q2 EBITDA grew by 5.6% yoy at constant currency. And although the group has cut its revenue growth guidance for 2016 from 2-4% to 1-2%, it has raised its EBITDA margin guidance from 34% to 35% (note we had already a 34.4% margin in our model). The EBITDA improvement is mainly driven by Myanmar, Pakistan, Bangladesh and India more than offsetting the tougher market conditions in Malaysia and a lower contribution from Norway. Remember, VimpelCom will continue to be classified as an associated company until a highly likely sale within the next 12 months.
Confirmation of slower growth
03 May 16
Q1 revenues have increased by 1.5% yoy at constant currency (vs +7% in H1 15 and +3% in H2). This clearly reflects the expected growth slowdown for 2016. In 2015, Telenor had already posted a pretty marked growth slowdown in Malaysia, Bangladesh and Thailand (40% of Telenor’s revenues). Adjusted for the currency effects, the group had recorded only stable revenues in these countries whereas they had been growth engines in the past. This is quite a big question mark for the future. In Q1, in local currencies, Asian revenues declined by 2.6% yoy: indeed they have declined by 6% yoy in Thailand and Malaysia while they have increased by 9% in Bangladesh. The Q1 EBITDA grew by 5.3% yoy at constant currency but by only 3.3% excluding a positive one-time effect related to a settlement in Norkring (in the Broadcast division). Telenor still expects fierce competition and headwinds in key markets such as Thailand and Malaysia in 2016. This will put pressure on EBITDA margin expectations. Based on this, the financial guidance for 2016 is unchanged with an expected organic revenue growth in the range of 2% to 4% and an EBITDA margin of 33-34% (vs 34.4% in our model). Remember, VimpelCom will continue to be classified as an associated company until a highly likely sale within the next 12 months.
Pressure on margins for 2016
10 Feb 16
Q4 revenues have increased by 2% yoy at constant currency (vs +7% in H1 and +4% in Q3). This is 2% below our expectations. Note, however, the group has recorded a correct 4.7% organic growth for the whole year. The Q4 EBITDA margin was slightly better than expected at 32.4% (vs 30.6% a year ago). But this performance is due to the fact that during Q4 14 the group had recorded losses related to the mobile launch in Myanmar and to the integration of Tele2-Sweden. The EBITDA margin for the full year was indeed at 34.5% in 2015, exactly as in 2014. But Telenor expects fierce competition and headwinds in key markets such as Thailand and Malaysia in 2016. This will put pressure on EBITDA margin expectations. Based on this, the financial guidance for 2016 is an expected organic revenue growth in the range of 2% to 4% (3.75% in our model) but a slightly disappointing EBITDA margin of 33-34% (vs 35-36% in our model).
The case of Vimpelcom
12 Nov 15
Telenor said on Wednesday it has suspended two executives, including its CFO, as part of a deepening corruption investigation into VimpelCom. The Russian telco (33% owned by Telenor) is under investigation by police in Norway, the Netherlands, Switzerland and the US over payments made in connection to securing a network operating licence in Uzbekistan. Telenor has hired the law firm arm of Deloitte to review its relations with Vimpelcom. The suspensions come after Telenor on Monday severed its consultancy agreement with its former CEO Jon Fredrik Baksaas, who stepped down in August after 13 years at the helm, and after its chairman of the Board Svein Aaser was forced to resign last month (the Norwegian government, which holds 54% of Telenor having lost faith in Aaser due to his handling of the Vimpelcom case). They come also after a similar corruption probe into the dealings of TeliaSonera in Uzbekistan. Remember that Telia’s CEO and chairman were ousted two years ago. Knowing what was coming down the line, Telenor said at the start of October that it would sell its stake in VimpelCom.
Q3 in line with expectations and sale of Telenor's shares in Vimpelcom
02 Nov 15
Q3 revenues have increased by 4% yoy at constant currency (vs +7% in H1). This is the expected number even if it is 1% below our expectations. Note management, which had revised upward the range of the outlook for 2015 from 4-6% to 5-7% just after the Q1 results, is now targeting only 5% growth for the whole year. The Q3 EBITDA margin remained stable at 37%. This performance is in line with our expectations. The EBITDA margin for the full year should be 35%, in the middle of the range given by management for 2015 (34-36%) after the Q1.
Making Mobiles Better
17 Jan 17
Mobile phones are increasingly the key connection for the modern world. This means that the performance of mobile phones, and their networks, is going to become more critical for all the apps and businesses that rely on them. New technologies such as VR, AR, and AV will need better, more reliable connections to really move into the mainstream. In this thematic piece we attempt to identify some of the most important issues facing mobile phone networks and their users, and start to identify solutions and enablers that will solve these problems and create value by doing so.
The Slide Rule
12 Jan 17
What is The Slide Rule? The Slide Rule has been designed to dramatically simplify the identification of the best companies in the UK small/mid-cap sector by making a quantitative assessment of the relative potential of each company. At its core, The Slide Rule aims to identify those companies that create genuine shareholder value through strong returns on capital and solid growth, but also present a value opportunity with the potential tailwind of earnings momentum. Companies are assessed within a Quality, Value, Growth and Momentum (QVGM) framework.
N+1 Singer - Morning Song 16-01-2017
16 Jan 17
As the birthplace of Stephenson, Armstrong and Swan, the North East of England has a proud history of industrial and technological innovation. Despite local economic challenges, the region’s industrial heritage lives on through continuing success in high end engineering and technology. The recent takeovers of private equity backed SMD (subsea robotics) and Nomad Digital (wi-fi on the railways) are testament to this. The North East has also emerged as a leader in genetics and genomics with an enviable life sciences and healthcare infrastructure. Against this backdrop, we expect the region to continue to throw up attractive IPO candidates to build on the six new listings in the past three years. We expect 2017 to be far kinder to the existing portfolio of North East plcs than 2016 (a year to forget) with recent management changes one important theme for the new year. Our top picks are Hargreaves Services, Quantum Pharma and Zytronic (all N+1 Singer Corporate clients) and we are Buyers of Northgate and Grainger.
Small Cap Breakfast
19 Jan 17
SuperAwesome — The London based specialist in e-compliance is considering an IPO in its home town according to City A.M. Eco (Atlantic) Oil & Gas—TSX-V listed oil and gas exploration has announced its intention to float on AIM. Assets in Guyana and Namibia. Proposed £2m-£3m fundraise. Diversified Gas & Oil—According to LSE website first day of trading on AIM now expected for 30 January
The Cybersecurity Rebellion: “No, I’m Spartacus!”
07 Jun 16
Steve “Woz” Wozniak, infamous co-founder of Apple, was the latest culprit to send shivers across the tech world by claiming Cybersecurity is the greatest threat the world has faced since the atom bomb. Mr Wozniak was alluding to the heightened sense of fear that recent high profile breaches have caused Cybersecurity to be put at the forefront of political, corporate and now it would appear, investor agendas. As the topic gains increasing awareness, it gives rise to a number of companies claiming to be a “thought leader” in the Cybersecurity space, holding the best IP and the best routes to market. With many companies singing from the same loss making hymn sheet it is making it ever difficult to spot the true “Spartacus” from the crowd.
Small Cap 2017 - The only certainty is uncertainty
18 Jan 17
AIM will turn twenty-two this June and it is fair to say it has had its fair share of ups and downs, with 2016 being a case in point. We ask what will the rest of 2017 hold in store? Arguably the US dollar, Brexit, bonds, and banks will be the four big themes for the new year.