Telia Earnings: Consensus Beat and Divestment of Denmark Business Send Shares Up

Telia’s shares are on the rise (up 7%) as the company beat revenue and adjusted EBITDA consensus expectations (company-provided) and announced the sale of its Danish business. Service revenue came in at SEK 19.4 billion (consensus of SEK 19.2 billion) while adjusted EBITDA reached SEK 7.26 billion (consensus of SEK 7.17 billion). The adjusted EBITDA growth trend has improved compared with last quarter, only declining by 0.8% year on year compared with a 2.0% decline in the fourth quarter of 2022. The easing in energy prices together with slight personnel reductions have helped EBITDA this quarter. We are maintaining our SEK 29 fair value estimate, with shares being fairly priced after the April 26 increases.