“I think I’ve said for many quarters now that this cannot continue, but it does,” said Group CEO Sigve Brekke during the company’s financial results presentation. “One-and-a-half years into operation … [Telenor Myanmar] is now cash-flow-positive for the first time.”
Telenor Myanmar’s operating cash flow margin came to 10pc, according to the results.
“And despite the aggressive rollout I expect them to be able to stay in the positive territory,” Mr Brekke said.
Meanwhile, the company’s margin on earnings before interest, taxes, depreciation and amortisation – or operating profitability – reached 42pc. Revenues for the quarter came to NOK 1.7 billion (US$211.9 million), up 15pc from Q4 2015 and 124pc from Q1 2015.
Average revenue per user (ARPU) has been decreasing since Q3 2015, down from K6633 to K5692 this past quarter. This trend may reflect Telenor’s further penetration into rural areas.