Telia CEO Patrik Hofbauer says the telecom operator has made strong progress in 2024, delivering on its strategic and financial commitments while implementing a new country-led operating model to enhance execution capabilities.
Revenue grew by 0.6 percent to SEK 89.1 billion, with like-for-like growth of 1.3 percent. Service revenue rose by 1.2 percent to SEK 76.6 billion, with telco operations achieving a 2.0 percent increase. Adjusted EBITDA grew by 3.6 percent to SEK 31.3 billion, with a like-for-like increase of 4.3 percent.
The company reported a significant improvement in total net income, reaching SEK 7.8 billion compared to SEK 897 million the previous year. Operational free cash flow declined to SEK 4.4 billion, but the structural component increased slightly to SEK 7.5 billion. The leverage ratio remained within the target range at 2.28x, and the Board proposed a dividend of SEK 2.00 per share.
Sweden’s Consumer business saw growth, particularly in fixed-line services and TV, which increased by 20 percent due to the company’s aggregator strategy combining streaming and linear channels. Mobile services faced challenges in the premium segment, and Enterprise growth was weak, although momentum improved by year-end.
Finland maintained stable service revenue, with mobile growth in both Consumer and Enterprise segments, driven by higher ARPUs. Consumer broadband was a strong performer, growing by 9 percent, while regulatory factors affected fixed-line Enterprise revenue. EBITDA growth in Finland reached 7 percent, aided by lower personnel and energy costs.
Norway experienced mobile revenue growth but faced challenges in fixed-line services. Multiple initiatives are in place to improve momentum in 2025, including price adjustments for consumer mobile services, which had minimal impact on churn.
Lithuania saw renewed service revenue growth of 7 percent, leading to a 9 percent increase in EBITDA, with Enterprise benefiting from strong contract wins.
Estonia showed more modest growth, accelerating towards the end of the year, supported by all segments. 5G coverage exceeded 90 percent, and Telia Estonia received recognition for the highest-quality mobile network. The company also launched Green Week instead of Black Week, doubling sales of refurbished phones.
TV and Media saw an acceleration in improvements, despite industry-wide declines in linear advertising. Streaming customers increased by 45,000, and digital consumption rose by 18 percent. The exit from UEFA Champions League rights had less revenue impact than expected, while improving EBITDA due to lower content costs.
Sustainability remained a priority, with supply-chain emissions covered by science-based targets increasing to 62 percent from 52 percent a year earlier.
Telia surpassed its digital inclusion target, reaching 2.3 million people, and was ranked in the top 1 percent globally for sustainability performance, earning the EcoVadis Platinum Medal for the third consecutive year.
Financially, Telia met all its full-year targets, with service revenue growth of 1.8 percent and EBITDA growth of 4.3 percent. Capex and cash flow remained within planned levels, and vendor financing was reduced to SEK 5.6 billion, less than half of the previous year’s level.
The company actively managed its asset portfolio, divesting copper-related real estate in Sweden for SEK 0.2 billion and selling a 9.6 percent stake in Marshall Group for SEK 1.2 billion.
Looking ahead to 2025, Telia reaffirmed its outlook of approximately 2 percent service revenue growth, at least 5 percent EBITDA growth, CAPEX below SEK 14 billion, and free cash flow of around SEK 8 billion.
