Telenor Group CEO Sigve Brekke (pictured) highlighted pressure on earnings from its Asia operations in Q4 2020 on intense competition and the continued impact of Covid-19 (coronavirus) restrictions, while its businesses in the Nordics remained resilient.

The Norway-based group reported a dip in revenue of almost 4 per cent year-on-year to NOK30.95 billion ($3.6 billion).

Net income was NOK7.7 billion, up from NOK1.8 billion in the same quarter of 2019. The jump was partly due to a NOK2.1 billion gain from divestment of digital identity platform Tapad in November 2020, and NOK1.2 billion from the sale of its head office, which it now leases.

In its earnings statement, Brekke said the company had delivered a “strong performance in the Nordics” pointing to increased service revenue in Norway offsetting a pandemic-fuelled drop in roaming, alongside solid 5G uptake in Finland.

However, Telenor’s business units in Asia fared less well during the global health crisis. The executive pointed to high levels of competition and more severe impacts from issues related to the pandemic in markets including Thailand and Malaysia pressuring its revenue in the region.

Looking ahead, Telenor warned its businesses outside of Europe would continue to be negatively impacted by the pandemic in H1 with a gradual recovery expected in the second half of the year. In Europe the largest impact from the pandemic is forecast to be due to reduced roaming revenue.

The group also noted it was concerned about the political situation in Myanmar, where it is the second-largest operator by GSMA Intelligence figures.

Yesterday (1 February) the country’s military declared a state of emergency, with its mobile network already affected by the unfolding situation.