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Telenor treasure chest dented by India retreat

AFP
AFP - [email protected] • 8 May, 2012 Updated Tue 8 May 2012 13:52 CEST

Norwegian telecoms operator Telenor reported on Tuesday a plunge in quarterly net profit owing to a big write-down in India where the group has lost its licences for mobile services.

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In the first quarter, net profit amounted to 583 million kroner ($100.5 million) from nearly 2.8 billion kroner at the same time last year.

Telenor, the biggest telecom operator in the Nordic region, made a write-down of 3.9 billion kroner as announced on April 30th, after the Indian Supreme Court withdrew the firm's licences to operate mobile services, judging that they had been sold under irregular procedures.

The value of Uninor, the Indian subsidiary in which Telenor had invested at least 17 billion kroner, now stands at zero in the group's accounts.

But operating results rose. Earnings before interest, tax, depreciation and amortisation rose by 5.2 percent to 7.7 billion kroner from slightly less than 7.4 billion kroner.

Sales rose to 25.1 billion kroner 24.2 billion kroner.

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AFP 2012/05/08 13:52

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