Tele2 Group CEO Kjell Johnsen (pictured) pointed to improvements in business areas most hampered by Covid-19 (coronavirus), as the operator group reported increased profit in Q2 and an improved outlook for the rest of the year.
In the company’s Q2 results statement, Johnsen noted it had been a positive period as pandemic-related headwinds began to ease. The executive cited a stabilisation in earnings from prepaid mobile and broadcast services, alongside an improvement in roaming.
Johnsen added although society was still in “pandemic mode” with few visitors to retail outlets and many businesses maintaining a largely home-based workforce, he expected increased commercial momentum in H2 as society gradually returns to normal.
The company is also in the process of increasing a push of converged services in its home market of Sweden following the rebranding of fixed and broadcast business Com Hem, a business it bought in 2018.
Tele2’s medium-term aim is to become the largest provider of IoT and enterprise communications services in Sweden alongside being the “leading telco in the Nordic and Baltic region”.
Currently the vast majority of its revenue comes from its Swedish business, though it booked a 13 per cent year-on-year increase in Q2 revenue from its Baltics division.
Across the group revenue increased 1 per cent to SEK6.6 billion ($763.4 million) with net profit of SEK1.1 billion up from SEK826 million in Q2 2020.
Aside from the easing of pandemic headwinds, the company attributed the improved financial performance to cost savings, lower commercial spend and a boost in earnings from its operations in the Baltics.Subscribe to our daily newsletter Back