TeliaSonera Q4 up 35%
January 31, 2013
Swedish telco TeliaSonera has reported a 35 per cent rise in fourth-quarter net profit, driven by one-off gains, including from the initial public offering of Russia’s second largest mobile operator MegaFon.
The company said it expects growth in revenues in local currencies in 2013 to remain flat at the 2012 level, but that currency fluctuations may have a material impact on reported figures in Swedish krona. In 2012, net sales in local currencies rose 1.2 per cent, a tad above the company’s guidance for flat to 1 per cent growth.
CEO Lars Nyberg said the company is on track with plans to fundamentally change its business and cut costs by SEK2 billion net over the coming two years, including previously announced personnel reductions of 2,000 employees. He said the total cost of 1,800 personnel cutbacks in 2013 are estimated at SEK1.7 billion.
Nyberg also reiterated that TeliaSonera is confident that allegations related to its mobile licenses in Uzbekistan are legally unfounded and that it awaits the results of an independent as well as legal review.