Telenor nudges up 2010 revenue view

OSLO, NORWAY: Norwegian telecoms company Telenor ASA nudged up its 2010 revenue growth forecast as Asian economies recover and strong demand for mobile data in the Nordics, while slimming its capex plans on Wednesday.

Second-quarter reported earnings before interest, tax, depreciation and amortisation fell to 6.9 billion Norwegian crowns ($1.10 billion) from 7.9 billion a year ago, beating a forecast for 7.0 billion in a Reuters poll.

"The economic environment in Asia continued to improve, fuelling the revenue growth in our operations," chief executive Jon Fredrik Baksaas said.

"In the Nordic region, high demand for mobile data is contributing to solid growth in organic mobile revenues."

Telenor said it expected 2010 organic revenue growth of 3-5 percent, which it said was slightly higher than its previous view of growth in the "low single digits". Analysts polled by Reuters expected 2 percent revenue growth in 2010.

Telenor affirmed EBITDA margin of 28 percent and cut capex to 12-13 percent of revenues from its previous 13-14 percent.

Telenor also it would start buying back up to 50 million shares, half from the Norwegian government.