Press Release
April 13, 2007
TeliaSonera restates historical financial information and operational data for
the financial years 2006 and 2005 according to new organizational structure
TeliaSonera hereby presents, ahead of the interim report January-March 2007,
restated historical financial information and operational data (pro forma) for
the financial years 2006 and 2005 for the four business areas that operate under
the Group's new organizational structure.
For restated quarterly data see www.teliasonera.com/investorrelations
On January 1, 2007, TeliaSonera switched from a country-based organization to a
new structure, designed to capture the strong growth within mobility and
broadband services as well as managed services for enterprises and in addition
the high growth in the eastern markets. The new organization is aimed at
improving business focus and reducing complexity in order to boost profitable
growth and increase speed of implementation. TeliaSonera's operations are
divided into four business areas; Mobility Services, Broadband Services,
Integrated Enterprise Services, and Eurasia.
Consequently, TeliaSonera's financial reporting has been changed to reflect the
new structure. The restatement of historical financial information and
operational data for the financial years 2006 and 2005 will have no impact on
reported group numbers as published in the Annual Report 2006 or on the issued
outlook.
Mobility Services
The business area is responsible for personal mobility services for the consumer
and enterprise mass markets. Products and services in focus include mobile voice& data, mobile content, WLAN Hotspots, mobile over broadband, mobile/PC
convergence and Wireless Office. The operations comprise the mobile operations
in Sweden, Finland, Norway, Denmark, Lithuania, Latvia, Estonia and Spain and
have around 7,100 employees.
SEK in millions, except Pro forma Pro forma
margin and number of Jan-Dec Jan-Dec
subscriptions 2006 2005
Net sales 41,949 40,274
EBITDA excl. non-
recurring items 13,844 12,492
Margin (%) 33.0 31.0
Operating income excl.
non-recurring items 9,610 7,713
CAPEX 3,252 3,897
Number of
subscriptions, end of
period (thousands) 13,434 13,000
Broadband Services
The business area is responsible for mass market services for connecting homes
and offices and for home communications. Products and services in focus include
broadband over copper, fiber and cable, IP TV, voice over Internet, home
communications services, IP-VPN/Business Internet, leased lines and traditional
telephony. The business area operates the group common core network, including
the data network of the international carrier business. The business area
comprises operations in Sweden, Finland, Norway, Denmark, Lithuania, Latvia,
Estonia and international carrier operations and has around 14,600 employees.
SEK in millions, except Pro forma Pro forma
margin and number of Jan-Dec Jan-Dec
subscriptions 2006 2005
Net sales 40,880 41,399
EBITDA excl. non-
recurring items 13,629 13,604
Margin (%) 33.3 32.9
Operating income excl.
non-recurring items 8,295 7,281
CAPEX 4,605 4,584
Number of
subscriptions, end of
period (thousands)
Broadband 1,990 1,430
Fixed voice 6,497 7,064
Integrated Enterprise Services
The business area is responsible for the Nordic and Baltic business where
TeliaSonera is engaged in managing the internal IT and telecom infrastructure of
the enterprises. The business area also takes on responsibilities for
enterprises' total telecommunications needs. Customer offerings include
networked IT services, voice & data solutions, systems integration and
converging services as well as highly standardized solutions for the SME
segment. Example of services are management of LAN, servers, work stations, IP
PABXs and call centers, mobility and security solutions and horizontal standard
applications, e.g. e-mail services. The business area offers end-to-end
management solutions with service guarantees. Integrated Enterprise Services has
around 3,400 employees.
Pro forma Pro forma
SEK in millions, except Jan-Dec Jan-Dec
margin 2006 2005
Net sales 12,940 12,946
EBITDA excl. non-
recurring items 360 121
Margin (%) 2.8 0.9
Operating income excl.
non-recurring items 44 -181
CAPEX 324 373
Eurasia
The business area comprises the majority-owned Fintur operations in Kazakhstan,
Azerbaijan, Georgia and Moldova. The business area is also responsible for
developing TeliaSonera's shareholding in Russian MegaFon (44 percent) and
Turkish Turkcell (37 percent). The main responsibility is to create shareholder
value and to exploit penetration growth in the respective countries. The
business area has around 2,000 employees.
SEK in millions, except Pro forma Pro forma
margin and number of Jan-Dec Jan-Dec
subscriptions 2006 2005
Net sales 8,508 6,367
EBITDA excl. non-
recurring items 4,759 3,474
Margin (%) 55.9 54.6
Income from associated
companies, Russia 2,780 1,176
Income from associated
companies, Turkey 2,020 1,761
Operating income excl.
non-recurring items 8,527 5,647
CAPEX 2,699 2,449
Number of
subscriptions, end of
period (thousands)
Subsidiaries 7,352 6,146
Associated companies 67,149 53,196
TeliaSonera will present the interim report January-March 2007 on Tuesday April
24, 2007.
_____________________________________________
For further information journalists can contact:
TeliaSonera AB press service, +46-(0)8-713 58 30
Forward-Looking Statements
Statements made in the press release relating to future status or circumstances,
including future performance and other trend projections are forward-looking
statements. By their nature, forward-looking statements involve risk and
uncertainty because they relate to events and depend on circumstances that will
occur in the future. There can be no assurance that actual results will not
differ materially from those expressed or implied by these forward-looking
statements due to many factors, many of which are outside the control of
TeliaSonera.
TeliaSonera is the leading telecommunications company in the Nordic and Baltic
region, with strong positions within mobile communications in Eurasia, Turkey
and Russia. At the end of 2006, TeliaSonera launched mobile services in Spain.
We provide reliable, innovative and easy-to-use services for transferring and
packaging voice, images, data, information, transactions and entertainment. In
2006, TeliaSonera's net sales amounted to SEK 91 billion, and the company had a
total of 96 million customers in 15 countries. The TeliaSonera share is listed
on the Stockholm Stock Exchange and the Helsinki Stock Exchange, and the company
is included in the Dow Jones Sustainability Index. Simplicity and service are
important tools for us in creating profitable growth and value for our customers
and shareholders. Read more at www.teliasonera.com.
TeliaSonera restates historical financial information and operational data for the financial years 2006 and 2005 according to new organizational structure
| Source: Telia Company AB
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