Síminn hf. - Results for the fourth quarter of 2023 and for the year 2023 - Seite 2

The efforts of recent years in investments resulted in improved customer service and record utilization of the company's products. Multiple reforms were undertaken in Síminn's operations, such as the updating of various internal systems and the continued development of the 5G system in collaboration with Míla. According to a recent study by a German measurement company commissioned by the Telecommunications Agency, Síminn offers the best mobile network in Iceland. Internet quality was also improved in homes and companies, as well as investing heavily in TV content that Icelandic consumers appreciate. Síminn also recently acquired three companies that work in the field of environmental advertising, which will greatly strengthen the company's product offering in the field of advertising.

Investments are now rapidly decreasing again and will be significantly lower than depreciation in the years 2023 and 2024. That development strengthens cash flows and capital formation. Low leverage has allowed Síminn to direct funds to the purchase of its own shares, while there is a lack of external growth opportunities. Despite the high level of interest rates in Iceland, Síminn has been able to finance itself with methods that are well suited to the development of the company's operations. We use bonds, notes and bank loans on terms that are among the best available in Iceland.

Síminn continued to increase its lending to individuals through the revolving card Léttkort. Loans amounted to three billion ISK at the end of the year and they continue to grow. An electronic order book for purchasing authorization is now offered for purchases between companies, which customers have received very well. This service is based on the issuance of a new credit card for businesses, which is expected shortly.

Popularity of Síminn‘s TV service has never been higher and over million orders were made each week throughout last year. In particular, we are proud to support Icelandic productions, but Síminn premiered four national TV series of the six that were produced nationwide. This year, six of the eleven seriesin Iceland will be produced by Síminn. It should be noted that Síminn itself does not benefit from any state subsidies, but the company's main competitors in this field are state-owned companies on the one hand and state-subsidized private companies on the other.