TeliaSonera writes down Norway, Lithuania operations

News Wireless Norway 12 JUL 2012
TeliaSonera writes down Norway, Lithuania operations
TeliaSonera has decided to take goodwill impairment charges on its Norwegian unit NetCom and Lithuanian operator Omnitel after recent impairment tests. For NetCom, the impairment charge will be SEK 2.752 billion. The charge primarily relates to the substantial goodwill created at the acquisition of the company in 2000, and the current assessment of the achievable long-term return on investment. The goodwill impairment charge at Omnitel of SEK 318 million is based on a decrease in the total value of the Lithuanian mobile market related to competition and price pressure. The total goodwill impairment charge of SEK 3.070 billion will be reported in TeliaSonera's Q2 financial statements, and classified as non-recurring items, with no effect on cash flow.

Categories:

Mobile

Companies:

Telia,  Omnitel

Countries:

Lithuania,  Norway

Tags:

Finance

Related Articles

SCANDINAVIA 31 JAN 2013

TeliaSonera Q4 net profit up 35%, organic sales rise 1.8%

TeliaSonera reported a strong improvement in net profit and cash flow for the fourth quarter, while underlying sales growth was better than its earlier guidance. Net profit jumped 34.9 percent to SEK 6.88 billion, helped by a profit from selling shares in the Megafon IPO, and free cash flow surged to SEK 2.93 billion from SEK 552 million a year earlier, thanks to lower capex and changes in working capital. Adjusted EBITDA was still down 3.2 percent to SEK 8.97 billion, and revenues fell 0.7 percent to SEK 2

NORWAY 24 JAN 2013

TeliaSonera writes down NetCom again

TeliaSonera has announced a number of one-time items expected in its fourth-quarter results, to be reported 31 January. These include a further writedown of its Norwegian unit NetCom of SEK 2.914 billion. This follows an impairment of SEK 2.752 billion on NetCom already in Q2 2012. In addition, the company will book a loss of SEK 1.550 billion on the sale of Norwegian subsidiary NextGenTel to Telio. On the positive side, TeliaSonera expects to realise a one-time gain of SEK 5.378 billion from selling shares

GLOBAL 23 AUG 2012

TeliaSonera to step up fight against censorship

TeliaSonera announced additional measures aimed at improving its work regarding privacy and freedom of expression issues at its EurAsia operations. In connection with a shareholders meeting on 23 August, CEO Lars Nyberg presented a host of new measures to further highlight these issues at group level. One of the changes is that group management will evaluate any authority's request to implement restrictions or any other major actions in TeliaSonera's network. The first action at group level will be to ensur

SCANDINAVIA 18 JUL 2012

TeliaSonera cuts FY outlook on mobile slowdown

TeliaSonera lowered its outlook for the full year due to a slowdown in key mobile markets. The operator now expects organic sales flat to 1 percent higher, versus an earlier outlook for 1-2 percent growth. Underlying sales growth slowed from 2.9 percent in Q1 to zero in the second quarter. On a reported basis, the mobile division posted sales down 2.3 percent to SEK 12.58 billion, and the broadband division dropped 0.8 percent to SEK 9.09 billion. The Eurasia activities continued to grow, up 18.9 percent to

LITHUANIA 8 MEI 2012

TeliaSonera doesn't plan Teo, Omnitel merger

TeliaSonera doesn't plan to sell Lithuanian fixed operator Teo after raising its stake in the operator, according to Per-Arne Blomquist, the CFO at TeliaSonera, reports Verslo Zinios. TeliaSonera also doesn't plan to merge Teo with its Lithuanian mobile operator Omnitel. TeliaSonera plans to raise its stake in Teo by 7.87 percent, to 76.16 percent, by acquiring the stake from East Capital.

LITHUANIA 20 APR 2012

Omnitel revenues down in Q1

Lithuanian mobile operator Omnitel reported that its revenues totaled LTL 121 million in Q1, down from LTL 131 million in Q1 2011. Mobile internet revenue grew due to an increase in the subscriber base of 12 percent, as well as data traffic growth of 41 percent. The EBITDA margin was stable at 28 percent, and the subscriber base totaled 1.947 million at the end of March.

NORWAY 19 MRT 2012

TeliaSonera Norway outsources consulting to Rejlers

Rejlers announced a three-year contract with TeliaSonera Norway to take over its consulting and service business for mobile phones. Under the terms of the agreement, less than 40 employees of TeliaSonera will become part of Rejlers from 1 May. The value of the contract is initially estimated at approximately NOK 60 million. After this, Rejlers will have approximately 60 employees in Norway, mainly in the telecom area.

NORWAY 11 APR 2011

TeliaSonera's Telebutikken stores renamed NetCom

TeliaSonera's subsidiary NetCom announced that the Telebutikken stores owned by TeliaSonera's wholly-owned Norwegian retail-chain ComHouse, the holding company of retail chains KlartSvar and Telebutikken, were renamed NetCom. A total of 55 NetCom stores will be launched during H1 under a new concept designed to meet the requirements for expertise and guidance in line with the explosive increase in sales of smartphones. TeliaSonera fully acquired ComHouse in 2008.

Just In

19 DEC 16:42

SLT-Mobitel launches 5G network in Sri Lanka

19 DEC 16:19

Dialog Axiata launches 5G network, connects 1.5 million subscribers

19 DEC 15:56

UK govt to ban AI-enabled nudification apps to protect women, girls

19 DEC 15:42

3 UK launches last-minute Christmas sale

Commentary

13:56

Video market set for slower growth ahead

11:38

Netflix buys Warner Bros to deepen content catalogue

11:11

KPN's mixed performance in Q3 raises questions for strategy day

15:26

Stock markets breaking records but what happened to Odido's IPO plans?

Background

01:04

The week in telecom: Wi-Fi bolt-ons take off to boost broadband growth, video market works on consolidation

01:39

The week in telecom: Netflix wins bidding for Warner Bros, Apple poaches new execs, Samsung debuts trifold

13:51

Proximus vs. Telenet: Proximus performs better in Q3 while Telenet uses up cash

14:16

Proximus Domestic still struggling with low margins

Complete profile

Before downloading the whitepaper, we would like to ask you to complete your profile with company and position. After confirming you will receive the white paper.