Feb 22 (Reuters) - Swedish video streaming company Viaplay on Thursday reported a 3.4% increase in its organic sales for the fourth quarter, aided by continued growth in the group's total sales even as revenue in the Nordic region, its main market, declined slightly.

Under pressure to stabilise its business as rising living costs dent consumer demand, Viaplay earlier this month completed a 4 billion Swedish crown ($387 million) recapitalisation.

"The recently completed recapitalisation is part of the retransformation of Viaplay Group, which is work in progress and will take time," CEO Jorgen Madsen Lindemann said in a statement.

The group, which competes with Netflix and Disney+, reported an operating loss before associated company income and items affecting comparability of 230 million crowns for the last three months of 2023, compared with a loss of 284 million a year earlier. ($1 = 10.3319 Swedish crowns) (Reporting by Marta Frckowiak in Gdansk; editing by Milla Nissi)