RESULTS FOR THE 9 MONTHS OF 2018
Telia Lietuva, AB Group
TELIA LIETUVA PROVIDES TELECOMMUNICATION, IT & TV SERVICES IN LITHUANIA FROM A SINGLE POINT
TELIA LIETUVA MEANS:
Wide range of services
The most developed networks
Modern data centres
Everything from a single point
TELIA LIETUVA MEANS:
Customer care 24/7/365
Quality of operations' management confirmed by ISO certificates
Team of almost 3,000 professionals Sustainable and responsible business
WE ARE PART OF TELIA COMPANY GROUP
OUR PURPOSE: BRINGING THE WORLD CLOSER – ON THE CUSTOMER'S TERMS
We dare to: We care for: We simplify:
- our customers
- each other
-
our world
-
execution
- teamwork
- our operations
TELIA LIETUVA GROUP
| Telia Customer Service LT, UAB |
100% |
| UAB Verslo Investicijos |
100% |
| Všļ Numerio Perkėlimas |
50% |
| UAB Mobilieii Mokėjimai |
33.3% |
- Telia Lietuva provides integrated mobile and fixed communication and IT services
- Telia Customer Service LT remotely takes care of Telia Lietuva customers and provides Directory Inquiry services 118
- Verslo Investicijos implements an investment project in Vilnius, at Lvovo str. 21A
- Numerio Perkėlimas administers the central database to ensure telephone number portability in Lithuania (Tele2 and Bitė Lietuva owns 25% each)
- Mobilieji Mokėjimai creates a platform for instant payments (Tele2 and Bitė Lietuva owns 33.3% each)
- On 1 June 2018, Telia Global Services Lithuania was sold by Telia Lietuva to Telia Company. Prior to that, 196 employees of Telia Lietuva were moved to Telia Global Services Lithuania and it became a Vilnius based services center of Telia Group
HIGHLIGHTS OF Q3 2018
- On 4 July 2018, Dan Strömberg stepped in as a new CEO of Telia Lietuva following the resignation of Kęstutis Šliužas
- In August, Telia Lietuva brought an award-winning series and movies from HBO to Lithuania
- From August, renewed pre-paid mobile communication service "Ežys" offers simplified payment plans
- Mobile instant payment platform MoQ, created by 3 Lithuanian telco operators, was launched in August
- In September, the Company terminated provision of digital terrestrial television (DVB-T) service
- Almost 25 thousand customers already have used the unique in the market converged offer "Telia One"
OPERATING FIGURES
NUMBER OF EMPLOYEES
ELECTRONIC COMMUNICATIONS MARKET OF LITHUANIA
WE ARE OPERATING IN GROWING TELCO MARKET (EUR million)
+1.3%
BREAKDOWN OF THE TELECOMMUNICATIONS MARKET REVENUE BY OPERATORS FOR Q2 2018 (%)
TELIA LIETUVA MARKET SHARES IN TERMS OF REVENUE (%)
MARKET: THE FASTEST GROWTH IN USAGE OF DATA
Increasing usage of mobile data
(uploaded/downloaded 68,694 million MB of data per quarter)
Growing number of FTTH/B connections
(accounts for 72% of all fixed Internet connections)
Growing number of IPTV users
(accounts for 34% of all pay-TV service users)
MARKET PENETRATION PER 100 INHABITANTS
mobile communications subscribers
fixed telephony lines (households)
broadband Internet access
pay-TV subscribers (households)
OPERATING AND FINANCIAL RESULTS
CONTINOUS GROWTH IN NUMBER OF IPTV AND FTTH USERS
Number of TV service users (thousands)
Number of broadband Internet users (thousands)
NUMBER OF MOBILE POST-PAID SERVICE USERS IS GROWING
Mobile communication users (thousands)
Number of fixed telephone lines (thousands)
REVENUE, EBITDA & NET PROFIT (EUR million)
NOTES:
* Financial data for 2017 is recalculated due to introduction of IFRS 15 from 1 January 2018
** Reported financial data for Q2 2018 is recalculated due to changed treatment of revenue related to subsidiary's disposal
DYNAMICS OF MAIN FINANCIAL INDICATORS (EUR million)
9 MONTHS OF 2018 REVENUE BREAKDOWN
REVENUE BY SERVICES (EUR million)
NOTE. Financial data for 2017 is recalculated due to introduction of IFRS 15 from 1 January 2018
OPERATING EXPENSES (EUR million)
- During January-September 2018, total assets decreased by 1.7%
- Non-current assets amounted to 76.7% of total assets (30-09-2018)
- Cash alone amounted to 3.8%
- Return on capital employed: 13.5%
- Return on average assets: 10.9%
NOTE. Financial data for 2017 is recalculated due to introduction of IFRS 15 from 1 January 2018
EQUITY AND LIABILITIES (EUR million)
- Shareholders' equity amounted to 54.8% of the total assets (30-09-2018)
- Total borrowings amounted to EUR 168.2 million (30-09-2018)
- Gearing ration: 48.1%
- Debt to equity: 55.0%
- Return on equity: 18.2%
CASH FLOW & NET DEBT (EUR million)
CAPEX & CAPEX BREAKDOWN FOR 9 MONTHS OF 2018
Capex
DIVIDENDS
- Earnings and dividends till 2014 were allocated to 776,817,518 shares, from 2014 – to 582,613,138 shares
- On 17 November 2014, shareholders got 0.072 euro per share payment due to reduction of authorized capital
- The Board set a target to maintain the Company's net debt to EBITDA ratio not higher than 1.5 and to pay out up to 80 per cent of free cash flow as dividend
- According to the Law, dividends should be paid from retained earnings of the Parent company
- As of 31 December 2017, audited retained earnings of the Parent company amounted to EUR 116.7 million
- On 25 April 2018, the Annual General Meeting of Shareholders decided to pay-out EUR 40.8 million or EUR 0.07 per share of dividends for the year 2017
SHARES AND SHAREHOLDERS
SHAREHOLDERS
- Telia Company AB (Sweden) is the largest shareholder of Telia Lietuva, AB
- The Company's share capital consist of 582,613,138 ordinary registered shares of EUR 0.29 nominal value each
- On 24 October 2014, authorized capital was reduced by LTL 194 million (EUR 56.2 million) and accordingly number of voting shares was reduced from 776,817,518 to 582,613,138
- The total number of Telia Lietuva shareholders exceeds 11 thousand
Shareholders as of 30-09-2018
|
Part
of shares and votes |
| Telia Company AB |
88.15% |
| Other |
11.85% |
SHARES
- Since June 2000, the Company's shares are listed on Nasdaq Vilnius stock exchange (ticker: TEL1L)
- Since January 2011, the Company's shares were included into the trading lists of a few German stock exchanges (ticker: ZWS)
- Turnover on Nasdaq Vilnius stock exchange during January–September of 2018: 6.1 million of shares or EUR 6.7 million
- Share price on Nasdaq Vilnius:
|
EUR |
| 01-01-2018 |
0.966 |
| High |
1.170 |
| Low |
0.956 |
| 30-09-2018 |
1.130 |
Market capitalization (EUR million)
TRADING IN THE COMPANY'S SHARES ON NASDAQ VILNIUS STOCK EXCHANGE IN 2018
THE COMPANY SHARE PRICE AND NASDAQ VILNIUS INDEXES COMPARISON
Source: Nasdaq Vilnius
CORPORATE GOVERNANCE
GOVERNING BODIES
- The Annual General Meeting of Shareholders was held on 25 April 2018
- The Board consist of 6 members elected for the 2 year term
- Stefan Block, Ole Stenkil, Inga Skisaker and Rolandas Viršilas resigned from the Board as of 24 April 2018
- Agneta Wallmark, Hannu-Matti Mäkinen, Tomas Balžekas and Mindaugas Glodas were elected to the Board for the current term of the Board
- Henriette Wendt will resign from the Board as of 8 November 2018, and Emil Nilsson is proposed for election to the Board at EGM on 9 November 2018
- 3 members of the Board comprise Audit and Remuneration Committees
- UAB Deloitte Lietuva is the Company's independent auditor for the year 2018 and 2019
- The Board elects and recalls CEO
BOARD
Henriette Wendt (born in 1969), Chairwoman of the Board till 8 November 2018, represents Telia Company AB, Chairwoman of the Remuneration Committee
Hannu-Matti Mäkinen (born in 1970), Member of the Board, represents Telia Company AB
Agneta Wallmark (born in 1960), Member of the Board, represents Telia Company AB, Chairwoman of the Audit Committee
Tomas Balžekas (born in 1977), Independent member of the Board, Member of the Audit Committee
Claes Nycander (born in 1963), Member of the Board, represents Telia Company AB, Member of the Remuneration Committee
Mindaugas Glodas (born in 1972), Independent member of the Board, Member of the Audit and Remuneration Committees
• Members of the Board have no direct interest in the share capital of Telia Lietuva
GOVERNING STRUCTURE OF TELIA LIETUVA VALID FROM 1 OCTOBER 2018
MANAGEMENT TEAM
Dan Strömberg, CEO
Ramūnas Bagdonas, Head of Human Resources
Mindaugas Ubartas, Head of B2B, acting Head of B2C
Giedrė Kaminskaitė–Salters, General Counsel & Head of Public Affairs, Chiefs Analytics Officer
Andrius Šemeškevičius, Head of Technology
Vaida Jurkonienė, Head of Marketing & Communication
Laimonas Devyžis, Head of Finance
Vytautas Bučinskas, Head of Operational Excellence
PRINCIPLES THAT WE FOLLOW
Anti-bribery and corruption Freedom of
expression
Customer privacy Occupational health and safety
Responsible procurement
Environmental responsibility
Children safety online
ALL IN APPROACH
Connecting the unconnected
A healthy and safe society
Education for all Digital
entrepreneurship and innovation
#VISAKOTINKLAS