Telenor Posts 9% Revenue Growth During Q2 2016

Telenor Pakistan posted a revenue growth of 9% during Q2 2016 — as compared with same duration last year — as it generated Rs. 26.53 billion during the reported period.

Telenor said that increase in revenues was mainly supported by strong subscription growth, continued growth in financial services and higher incoming international traffic.

EBITDA in local currency increased by 46% through rationalization of commissions and market spend in addition to positive contribution from the abolishment of SIM activation tax from 1 July 2015.

The EBITDA margin increased by 11 percentage points.

Capital expenditure (excluding licences) was prioritized towards network roll-out and expansion of 3G network coverage and capacity. At the end of the quarter, the 3G population coverage was 58%.

The number of subscriptions increased by 1.2 million during the quarter and the subscription base was 20% higher than at the end of second quarter last year.

Telenor said that its subscribers reached 37.91 million at the end of reported period, out of which 290,000 subscribers were postpaid subscriptions while remaining were prepaid.

ARPU in local currency decreased by 3% and reached Rs. 212. ARPU was stabilized during recent months after it had increased due to disconnection of unverified and inactive SIM cards last year.

Subscription and traffic revenues in local currency increased by 11%.

In June, Telenor Pakistan acquired 2×10 MHz spectrum in the 850 MHz frequency band for the base price of USD 395 million.


Tech reporter with over 10 years of experience, founder of ProPakistani.PK