Telia Lietuva results for the three months of 2021

The Board of Telia Lietuva, AB (hereinafter “Telia Lietuva” or “the Company”) approved unaudited Telia Lietuva, AB Consolidated Interim Financial Statements, prepared according to International Financial Reporting Standards as adopted by the European Union, for the three months’ period ended 31 March 2021.

First quarter of 2021:
- Total revenue amounted to EUR 99.7 million, an increase by 8.2 per cent over the revenue of EUR 92.1 million for the first quarter of 2020.
- EBITDA was EUR 34.8 million, an increase by 6.1 per cent over EBITDA of EUR 32.8 million a year ago.
- Adjusted EBITDA (excluding non-recurring items) amounted to EUR 34 million and was 2.9 per cent higher than adjusted EBITDA of EUR 33 million during the first three months of 2020.
- Profit for the period was EUR 13.1 million, up by 4.4 per cent over the profit of EUR 12.5 million a year ago.
- Free cash flow amounted to EUR 22.4 million and was 3.8 per cent lower than for the first quarter of 2020 when it amounted to 23.3 million.

Management comment:
During the first three months of 2021 we continued to operate under second COVID-19 quarantine imposed in Lithuania since November 2020 with our retail outlets partially closed and providing only vital services that could not be offered online. Online sale and remote customer care became extremely important during the pandemic. Closed shops effected sale of mobile devises and cross-border travelling restrictions have a negative impact on revenue from roaming services.

Majority of the Company’s employees continue to work from home nevertheless we are preparing for the post-pandemic way of working by introducing the workcation – a possibility to work from any EU country up to one month per year.

The Bank of Lithuania forecasts that the country’s GDP during 2021 will increase by 2.9 per cent and during 2022 – by 5.1 per cent, while inflation in 2021 will amount to 1.6 per cent and in 2022 – to 1.9 per cent.

The pandemic revealed the importance of connectivity quality and speed. Our continuous investments into upgrade and expansion of both fixed and mobile networks reflects in growing number of customers and the highest average speed of mobile Internet in the country – 93.5 Mbps. In response to increased demand for IT services and solutions we expanded and modernised one of our data centre in Vilnius. EUR 2 million was allocated for this project.