[SatNews] In the first quarter of 2011, Telenor Group reported revenues of NOK 24,1 billion, representing an organic revenue growth of 7 percent.

EBITDA before other items was NOK 7.4 billion, EBITDA margin was 31 per cent, and operating cash flow was NOK 5 billion. Telenor's consolidated mobile operations added nine million subscriptions during the quarter. "The Telenor Group started 2011 with 7% organic revenue growth and healthy margins. We achieved percentn operating cash flow of NOK 5 billion, while most of the operations are going through significant network modernisation. Our mobile operations are continuing the strong subscriber growth seen in the last part of 2010, adding 9 million subscribers during the first quarter this year," said Jon Fredrik Baksaas, President and CEO of Telenor Group
"In the Nordic region, mobile voice usage is fairly stable while data continues to grow. In Norway and Denmark, there is increased price competition and more comprehensive measures on cost reductions are required. The network modernisation programmes in all three markets will significantly reduce network operations cost. Telenor Sweden acquired 800 MHz spectrum which will contribute to an efficient 4G network. In Central and Eastern Europe, Telenor Serbia confirmed the positive momentum with strong growth and improved margins while Telenor Hungary maintained stable underlying margins. On 15 April, VimpelCom completed the Wind Telecom transaction following the approval by a special shareholder meeting. Telenor opposed the transaction, but we will continue to work in the best interest of VimpelCom. In parallel, we have initiated arbitration proceedings to secure Telenor's shareholder rights," Baksaas said.

"The Asian operations were the main contributors to subscriber and revenue growth. Uninor in India continued the trend from second half of 2010, with subscriber growth of 5.2 million, reaching 17.4 million. Indian authorities continue their investigations of the 2G licence award process that took place early 2008, prior to Telenor's entry to Uninor. Telenor welcomes an early clarity on these issues. The four other Asian operations achieved 13 percent organic revenue growth in the quarter. Smartphone demand and data usage in Malaysia and Thailand continues the strong momentum. Customer growth in Grameenphone continued at high level and contributed to 21% revenue growth. With 26% cash flow margin we are on track to deliver good returns in Pakistan," Baksaas said. Based on the results and trends in the first quarter, Telenor maintains its outlook for 2011. To read the entire financial report, access this direct infolink.