STOCKHOLM (dpa-AFX) - Swedish telecom company Telia Co. (0H6X.L, TLSNY.PK) reported Friday that its first-half net loss was 883 million Swedish kronor, compared to last year's profit of 3.46 billion kronor. The latest results were hurt by an impairment of 3.49 billion kronor related to the proposed sale of stake in Turkcell Holding.
Adjusted operating income fell 15.4 percent to 5.61 billion kronor from prior year's 6.63 billion kronor.
Net sales, however, rose 5.2 percent to 44.20 billion kronor from last year's 42.03 billion kronor. Like for like net sales fell 4 percent.
In the second quarter, adjusted EBITDA increased 3.6 percent year-over-year to 7.74 billion kronor and the adjusted EBITDA margin increased to 35.5 percent from 35.2 percent last year.
COVID-19 had an estimated impact on adjusted EBITDA of 0.5 billion kronor.
Second-quarter net sales rose 2.7 percent to 21.77 billion kronor. Like for like net sales fell 5.9 percent. Service revenues declined on a like for like basis 5.6 percent, with traditional telecom revenues stable.
Looking ahead, Allison Kirkby, President & CEO, said, 'Our second quarter results were better than our expectations, as a result of proactively addressing our cost base, but still clearly impacted by the COVID-19 pandemic... we face tougher comps in the second half of the year, and the impacts from COVID-19 still remain. We therefore expect the adjusted EBITDA generation in the second half of the year to be similar to the level reported in the first half.'
Further, the company said its Board of Directors have concluded that it is too early to decide on any potential additional dividend during the autumn, and maintained the previously communicated dividend of 1.80 kronor per share.
Copyright RTT News/dpa-AFX
© 2020 AFX News
