TeliaSonera today said its Q1 2014 revenues dipped 2.5 percent to $3.64 billion (SEK 23,972 million), while net income dropped 4 percent to $599 million (SEK 3,945 million).
TeliaSonera said its Capex (capital spending) decreased to SEK 2,581 million (2,719) and the Capex-to-sales ratio decreased to 10.8 percent (11.1). The CAPEX-to-sales ratio, excluding license and spectrum fees, increased to 10.8 percent (10.4).
Group outlook for both revenue and Capex for 2014 is unchanged, said TeliaSonera. However, the telecom operator sees slightly increased risk to reduced revenues related to low margin equipment sales.
Johan Dennelind, president and CEO of TeliaSonera, said: “We stay focused on upgrading our customers’ internet experience through further investments in 4G and fiber. In Sweden, our 4G coverage has approached 90 percent of population and we remain committed to reach 99 percent by the end of this year.”
TeliaSonera said its mobility services revenue decreased 3.5 percent, while broadband services revenue dropped 2.3 percent. TeliaSonera added 8.5 million subscribers to 190.6 million till the end of March 2014.
New Strategies
On April 1, it implemented a new country based operating model with strengthened commercial and technology functions on group level.
TeliaSonera is following a three-pronged strategy. It wants to strengthen and develop core business in the Nordic and Baltic region, take Eurasia to the next level by monetizing on the data opportunity and examine possible income opportunities in closely related adjacent industries.
The telecom operator said it is concerned about the vote in the European parliament, particularly related to the area of net neutrality.
