Telenor Pakistan’s Revenue Increased by 6.7% to Rs. 30.11 Billion in Q3 2024

Telenor Pakistan posted revenue growth of 6.7 percent on a year-on-year basis during the third quarter of 2024, taking the revenue to Rs. 30.11 billion compared to revenue of Rs. 28.2 billion posted in the same quarter of 2023. The company returned to solid EBITDA growth under tough macro conditions while undergoing a divestment process in Q3 2024. In its third quarter 2024 report, Telenor said that in Asia, Telenor Pakistan showed continued growth in service revenues, with organic growth at 8 percent, mainly driven by the continued monetization strategy offsetting the 3 percent decrease in subscription base. The report noted that the political and economic situation in Pakistan may increase the risk of civil unrest, security concerns and financial instability. Telenor Pakistan ARPU increased by 11 percent year over year primarily as a result of monetization efforts. Opex increased less than expected at 6 percent mainly due to the reversal of energy accruals. The sale of Telenor Pakistan to Pakistan Telecommunications Company Ltd. was announced in December 2023. Telenor Pakistan remains part of business area Asia until the necessary approvals are secured to close the transaction. Excluding the effects of these reversals increase in opex is still lower compared to the trends seen in previous quarters this year, mainly due to lower fuel tariffs. Solid top-line growth, combined with a lower inflation rate and accrual reversals leading to lower opex, resulted in a solid 9 percent EBITDA growth for Telenor Pakistan. Total service revenues for Asia declined by 1% where growth in Telenor Pakistan was more than offset by the decline in Grameenphone (Bangladesh). EBITDA for Asia is also affected by the top-line decline, resulting in an organic decline of 3 percent.