Q2 2023 Highlights:


-Net revenue adj. NOK 376m (-10% YoY) and EBIT adj. NOK 106m (-24% YoY).

-2% volume growth YoY in Norway driven by growth in number of deliveries. 26%
volume decrease in the Nordic segment due to fixed price exposure phase-out.

-EBIT adj. improvement of NOK 25m YoY in the Nordic segment following the
phase-out of legacy fixed price contracts.

-Successful migration of mobile customer portfolio to Telia's network. Migration
related churn of 15 thousand subscriptions - in line with expectations.

-Cost efficiency programme on track.

-Proceeds from Telia transaction (NOK 115m) received and dividend of 1.5 per
share (NOK 163m) distributed.

-QoQ reduction in NWC and NIBD by NOK 350m and NOK 355m respectively.



Significant YoY improvement in the Nordic segment and strong cash flow


In the second quarter of 2023, net revenue adjusted was NOK 376m and EBIT adj.
was NOK 106m. The decrease from second quarter 2022 was primarily driven by
product mix changes in the Consumer segment, as the market is converging towards
spot-based products. Over the last twelve months the percentage of variable
contracts in the consumer segment has been reduced from 27% to 7%.

The Nordic segment improved significantly compared to second quarter last year -
in fact, the EBIT adj. of NOK 18m is the second-best quarterly result since the
acquisition of Switch Nordic Green in 2020. The majority of legacy fixed price
contracts with price and volume risk have now been phased out, and the focus
going forward is to improve profitability
and growth in the segment.

The Telia transaction was completed in April, and the proceeds from the
transaction of NOK 115m were received. The migration of the customer base to
Telia's network is the largest of its kind in Norwegian telecom history and was
successfully completed in the quarter. The migration related churn has been in
line with expectations. Through improved
terms from Telia, the mobile business will positively impact the profits in the
New Growth Initiatives segment from Q3 2023.

The cost efficiency program is progressing as planned and is one of the Group's
main priorities in 2023. Due to the reduction in net working capital and the
results generated in the period, net cash from operating activities was NOK 417m
and net interest-bearing debt decreased by NOK 355m.


Please find attached the quarterly report and quarterly presentation.

Results Presentation: Time: 17 August 2023 at 08.00 CET 

The presentation will be webcasted live at:
https://channel.royalcast.com/landingpage/hegnarmedia/20230817_10/


For further information, please contact: Morten A. W. Opdal, Head of Group
Accounting, Reporting and IR, +47 970 62 526