TDC: Interim Financial Report Q3 2019

HighlightsReported revenue declined by 2.8% in Q3 and organic revenue declined by 2.4% YTD. This decline was mainly driven by terminal sales, legacy drag from landline voice and continued pressure on TVReported EBITDA declined by 0.1%, and when adjusted for new lease accounting principles (IFRS 16) EBITDA decreased by 6.4%. This decline was driven primarily by costs related to the separation of TDC as well as investments in the new strategy. Organic1 EBITDA declined by 3.6% in Q3 and 3.0% YTD in line with our expectationsMobility services showed a continued solid performance in Q3 with YoY organic gross profit growth of 2.8% driven by higher ARPU in Consumer as well as Business’ increased customer base YoYTV gross profit decline of 12.8% in Q3 YoY driven by lower GP margin due to inclusion of SVoD services in TV packages, higher content supplier costs and build-up of own content. Loss of 19k Consumer TV customers vs Q2 2019. In Q3, Nuuday entered three new strategic TV partnerships (with TV2, Nordisk film & C More), constituting a significant investment in our flexible TV and streaming products of the future, which will secure flexibility and high-quality content. The Discovery contract will terminate as of 1 January 2020, as an agreement was not reached to include the Discovery channels in our TV offeringInternet & Network delivered YoY organic gross profit growth of 0.6% in Q3 driven by a value lift in Consumer ARPU partly offset by fewer customersResponsibility for managed service of our mobile network has now been successfully transferred to Ericsson, and the network is being prepared for 5G. Capex increased by 35% in Q3 YoY, driven by investments in TDC’s mobile and fibre networksTDC NetCo’s fibre rollout is continuing to accelerate, with ~15k homes passed in Q3The separation of TDC is progressing as planned, with full operational intercompany charging being implemented between all subsidiaries and ~90% of all employees moved to either Nuuday or NetCoAllison Kirkby has stepped down as President and Group CEO of TDC with immediate effect after accepting the position as President and CEO of Sweden’s Telia Company ABThe Board of Directors of TDC Group has appointed Michael Moyell Juul as CEO of Nuuday. He will take over the position from Jaap Postma, who has decided to relocate to the NetherlandsConference call detailsA conference call will be held on 14 November 2019 at 14:30 CET.Presentation material will be available prior to the conference call on www.tdcgroup.comDial-in details can be found at:
http://event.onlineseminarsolutions.com/r.htm?e=2110937&s=1&k=77920B8BAF414E371DFF5E12095F92DD
Webcast: https://edge.media-server.com/mmc/p/4qfn2t49
For investor enquiries: +45 66 63 76 80
For media enquiries: +45 70 20 35 10
AttachmentsTDC Q3 2019 Financial PresentationRelease 9 – 2019 Q3 – UKTDC ER_Q3_2019

Disclaimer & Cookie Notice

Welcome to GOLDEA services for Professionals

Before you continue, please confirm the following:

Professional advisers only

I am a professional adviser and would like to visit the GOLDEA CAPITAL for Professionals website.

Cookie Notice

We use cookies to improve your experience on our website

Information we collect about your use of Goldea Capital website

Goldea Capital website collects personal data about visitors to its website.

When someone visits our websites, we use a third party service, Google Analytics, to collect standard internet log information (such as IP address and type of browser they’re using) and details of visitor behavior patterns. We do this to allow us to keep track of the number of visitors to the various parts of the sites and understand how our website is used. We do not make any attempt to find out the identities or nature of those visiting our websites. We won’t share your information with any other organizations for marketing, market research or commercial purposes and we don’t pass on your details to other websites.

Use of cookies
Cookies are small text files that are placed on your computer or other device by websites that you visit. They are widely used to make websites work, or work more efficiently, as well as to provide information to the owners of the site.