Telenor d.o.o. – Q3 Financial Results

October 25, 2007 - Telenor Serbia increased revenues by 13.41% in the third quarter of 2007 compared to the second one and posted total revenues of RSD 8,1 billion (NOK 810 million). The average revenue per user (ARPU) went up by 4%, while the average minute per user index (AMPU) recorded a 5.37% increase.

The company gained 118,000 new subscribers since the last quarter, adding to a customer base of 2.841,000. These figures include only revenue-generating subscribers in the last three months – a more conservative calculating method. The company’s postpaid ratio rose to 20.9%. The market share is 40,23 per cent.

“The revenue increase is a result of a steadily growing consumer base combined with increased average usage. Apart from being in line with our projections, these figures are a proof of a growing Serbian economy in a growing business environment and the country’s getting closer to the EU standards. With this quarter, Telenor’s overall capital investments in Serbia year to date amount to nearly 6 billion dinars. Let me stress that apart from these visible results, Telenor also hired more than 300 new employees since the start up and made considerable investments in the area of training, marketing, and organizational development,” said Stein-Erik Vellan, CEO of Telenor d.o.o.

At the global level, Telenor's underlying pro forma revenues increased by 12 per cent compared to the third quarter of 2006, reaching NOK 26.5 billion. Pro forma EBITDA before other income and expenses was NOK 9.4 billion. The pro forma figures include estimates for Kyivstar. Telenor's consolidated mobile operations added four million subscriptions during the third quarter. …

For more information, please visit www.telenor.rs/ and www.telenor.com/ir/reports/07q2.