Telenor ASA — Earnings Release 2017

May 4, 2017

Telenor reports first quarter 2017 results

Telenor reports first quarter 2017 results

TELENOR REPORTS FIRST QUARTER 2017 RESULTS

"I'm pleased to see Telenor continuing to deliver organic

EBITDA growth, while revenues were stable in the first

quarter. Highlights were the strong data consumption in

emerging Asia and the solid fibre momentum in Norway as well

as Sweden. It has been a busy quarter, as we have introduced

new and improved mobile offers in several markets, with

encouraging customer reception. In Thailand and Malaysia,

this supported double-digit postpaid growth, and we are

actively working to mitigate the continued intense

competition in the prepaid market,'' says Sigve Brekke, CEO

of Telenor Group.

"As previously communicated, simplification and efficiency

improvements are on top of our agenda. Our announcement to

exit India, the continued sell-down in VEON and the launch

of our cluster organisation are all examples of these

efforts. Together with the company-wide initiatives to

improve profitability, we believe that we are laying a solid

foundation for Telenor's future," says Brekke.

FIRST QUARTER 2017 SUMMARY

* Total revenues decreased by 3% to NOK 30.5 billion, while

organic revenues remained at par with last year. Mobile

subscription & traffic revenues increased by 1% on an

organic basis.

* EBITDA before other items decreased by 1% to NOK 11.5

billion, corresponding to an EBITDA margin of 38%, an

increase of 1 percentage point from last year.

* Organic EBITDA increased by 3%. Adjusted for a one-time

positive effect from Telenor Broadcast during the first

quarter of 2016, the organic EBITDA growth was 5% year-on-

year.

* Capital expenditure excluding licences and spectrum was

NOK 4.5 billion, resulting in a capex to sales ratio of 15%.

* Free cash flow for the quarter was NOK 2.2 billion.

FINANCIAL OUTLOOK for 2017

The financial outlook for 2017 has been adjusted to reflect

the new Group structure with India presented as discontinued

operations. Telenor expects an organic revenue growth in the

range of 1% to 2% and an EBITDA margin of around 37%. The

capex to sales ratio excluding licences is expected to be 15

% to 16%.

Media Contact:

Meera Bhatia, mobile: (+47) 46 84 49 59,

meera.bhatia@telenor.com

Investor Relations Contacts:

Marianne Moe, mobile: (+47) 91 61 76 31,

marianne.moe@telenor.com

Helge Øien, mobile: (+47) 91 31 92 42,

helge.oien@telenor.com

Press and analyst presentation

In connection with the publication of the financial results,

a press and analyst conference will be held on Thursday 4

May at 09:00 hrs Norwegian time/CET. The presentation, which

will also be broadcast live via webcast, will be held in

Auditorium Voice, Telenor Expo Visitor Centre at Fornebu

near Oslo. CEO Sigve Brekke and CFO Jørgen C. Arentz Rostrup

will present the results. The presentation will be held in

English.

You may also call in and listen to the presentation over the

phone. This service allows you to ask questions during the

Q&A session at the end of the presentation. To participate

in the conference call, please register before the

conference starts by calling +47 21002610 and state the

confirmation code: 9702819

Material

The quarterly report and the presentation are available

here. http://www.telenor.com/investors/reports/2017/telenor-

groups-results-for-the-1st-quarter-2017/