The Norwegian mobile operator Telenor has raised its medium- and long-term financial ambitions. The company released this information ahead of its capital markets day, which takes place on Tuesday.
In the Nordic region, Telenor expects organic service revenue growth to remain at low single-digit levels, while EBITDA is projected to increase by low to mid-single-digit figures, driven by stable or declining costs. Investments are anticipated to decrease to below 13 percent of sales by 2028 and to 11-12 percent by 2030.
At the group level, Telenor forecasts free cash flow before acquisitions of NOK 12-13 billion in 2028 and NOK 14-15 billion in 2030, corresponding to annual growth at mid-single-digit levels. Return on capital employed is expected to rise from 8.6 percent to over 12 percent by 2030.
The company's dividend policy of annual increases and its target leverage ratio of 1.8-2.3 times EBITDA remain unchanged.
Telenor also announced plans to continue simplifying its group portfolio and to expand in the Nordic region. The ambition is to become even more focused on the Nordics over the medium to long term.
The company believes it will achieve its targets for the 2022-2025 period. A new strategy for 2025-2030 is being launched, focusing on growth through customer-centricity and service innovation, technology-driven transformation, and the streamlining of operating and investment costs.
