TDC delivers solid interim results

TDC’s revenue increased by 0.4% to DKK 13.2bn in H1 2011 compared with H1 2010. Income before depreciation, amortisation and special items (EBITDA) rose to DKK 5.3bn, up by 1.6% in the same period. This is revealed in TDC’s financial statements for the first half of 2011 published today.

”Yet again, TDC has delivered solid results in a challenging market. I am pleased that we have been able to gain market shares in a severely pressured mobile market. We achieved this through organic growth in our own mobile brands both in the residential and the business markets, and through the acquisition of Onfone,” says Henrik Poulsen, TDC’s President and CEO.

The CEO is referring to the achievements of TDC’s three mobile brands, M1, Telmore and TDC, which despite the so-called mobile price war managed to strengthen the Group’s position and increase its subscriber base by 67,000 compared with H1 2010. A further 193,000 subscribers were gained through TDC’s acquisition of Onfone. With the promising TDC Rate launch in June, which will open up for instalment plans for the most expensive mobile phones, and the new mobile portfolio presented in July, TDC has created a strong platform for its brand in the rapidly growing smartphone segment.

TDC is experiencing continued growth in the TV market, with an aggregate increase in the TV business of 11.7%, while activities within Hosting and in Sweden, Norway and Finland continue to progress. TDC Nordic’s revenue was up by 12.3% to DKK 2.2bn. Growth in these areas was offset by lower revenue and earnings in the domestic landline business driven mainly by continued migration from landline to mobile telephony.

Equity free cash flow was up by as much as 12.9% in H1 2011. TDC’s ability to continue delivering a high cash flow creates a strong foundation for the dividend policy. As announced earlier, on August 10, TDC’s shareholders will receive dividend of DKK 2.18 per share equalling half the expected dividend for 2011 of DKK 4.35 per share.

TDC’s 2011 guidance remains unchanged with revenue to grow by 0-1% compared with 2010, and EBITDA to grow by approximately 2%.

For more information:
TDC Press, tel. +45 70 20 35 10
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