Danish press is reporting that the nation’s largest operator TDC A/S (OMX: TDC) is dropping Nokia (OMX: NOK1V, NYSE:NOK) out of its stores altogether over a dispute regarding Nokia’s contribution toward marketing costs and phone subsidies. The source is an internal email that website mobilsiden.dk apparently got a hold off. The two companies refused comment. Other three major operators TeliaSonera (OMX: TLSN), Telenor (OSE:TEL) and 3 continue to carry Nokia phones. Ailing Finnish company has worked hard to improve its historically mixed operator relationships world over but its quick burn rate has forced the company to be more cash conscious in its operations and to try to find additional sources of liquidity.
***UPDATE Monday afternoon***
Following intense media speculation, the two companies quickly struck a deal and TDC will continue to offer Nokia's products
Showing posts with label TDC. Show all posts
Showing posts with label TDC. Show all posts
Monday, 8 October 2012
Monday, 2 July 2012
TDC finds new CEO from within
Danish telecommunications company TDC A/S (OMX: TDC) says Carsten Dilling will replace Henrik Poulsen whose imminent departure announced in April caused a small dent in the stock market price which has been recovered in full during June. Mr. Dilling is a 50-year old Business Administration graduate with almost 20 years of experience from IBM. His previous CEO experience is from solutions developer Columbus A/S (CPH: COLUM, then Columbus IT Partner A/S), where he worked for 3.5 years and left on good term when being replaced by a candidate from Microsoft as the company was revamping its strategy and then from another IT sector sales company Ementor A/S.
Since 2007 Mr. Dilling has been with TDC, first as senior EVP of TDC Fixnet and later that of TDC Operations and since last year as also as a COO. TDC’s Board said the company wanted to maintain solid development achieved during Poulsen’s reign but at the same time they say that the current strategic plan expires by the end of the year and that they will soon present results of strategic updates going towards 2015. For now Dilling will also continue as TDC Operations EVP. The stock is trading slightly in the red as investors feel some uncertainty from the strategy update in particular.
Since 2007 Mr. Dilling has been with TDC, first as senior EVP of TDC Fixnet and later that of TDC Operations and since last year as also as a COO. TDC’s Board said the company wanted to maintain solid development achieved during Poulsen’s reign but at the same time they say that the current strategic plan expires by the end of the year and that they will soon present results of strategic updates going towards 2015. For now Dilling will also continue as TDC Operations EVP. The stock is trading slightly in the red as investors feel some uncertainty from the strategy update in particular.
Thursday, 19 April 2012
TDC drops because President & CEO goes to DONG Energy
Danish telecommunications company TDC A/S (OMX: TDC) shed almost 4% in a flash after it became known that President & CEO Henrik Poulsen is leaving the company to accept a similar position at Danish government owned energy company DONG Energy. The Board of Directors will start to search for a successor immediately.
The question of who will take the position at DONG, which became open when Anders Eldrup was sacked over what were called unusual contract terms for some key employees, had been creating a lot of speculation. Poulsen’s contributions at TDC have been widely recognized and investors think this news added an element of uncertainty.
The question of who will take the position at DONG, which became open when Anders Eldrup was sacked over what were called unusual contract terms for some key employees, had been creating a lot of speculation. Poulsen’s contributions at TDC have been widely recognized and investors think this news added an element of uncertainty.
Monday, 6 February 2012
TDC tries to stay away from the competition
Danish telecommunications market has been hotly contested and the competition seems to work well with customers being able to switch to lower fixed price plans. Companies are of course not equally pleased and whispers of industry consolidation have been running wild.
The 2nd and third largest teleoperators in Denmark are TeliaSonera (OMX: TLSN) and Telenor (OSE: TEL). They have recently entered network sharing agreements and many experts see inevitable further actions one way or another on that front. TeliaSonera reported an EBITDA margin of under 10% from Danish operations in its Q4 report.
The largest telecommunications company in Denmark is the local incumbent TDC A/S (OMX: TDC). TDC is also active in broadband and pay-tv. The company reported quarterly earnings on Friday. They described fourth quarter and full year 2011 results as solid despite a challenging market sentiment.
Full-year revenue grew by half a percent and fourth quarter was 1.1% above last years’ level (26.3 and 6.66 billion DKK respectively). The company managed to maintain an EBITDA margin of over 40%. TDC said it has not responded to heavy promotion activities from its competitors but still maintained subscriber base on par with Q3 2011. Dividend for 2011 shall be 4.35 DKK, with 2.18 paid on August 10th.
TDC is guiding 2012 revenues in between 26 and 26.5 billion DKK with EBITDA before pension income of 10.3 to 10.5 billion. It currently estimates dividend per share from 2012 (pre buy-back) as per TDC’s dividend policy to grow to 4.5 DKK a share. Majority DPTG and TPSA dispute settlement proceeds will be distributed to shareholders via one-off share buy-back programme. Markets had been expecting slightly higher 2012 guidance and the stock was down by over 1.5% on Friday.
The 2nd and third largest teleoperators in Denmark are TeliaSonera (OMX: TLSN) and Telenor (OSE: TEL). They have recently entered network sharing agreements and many experts see inevitable further actions one way or another on that front. TeliaSonera reported an EBITDA margin of under 10% from Danish operations in its Q4 report.
The largest telecommunications company in Denmark is the local incumbent TDC A/S (OMX: TDC). TDC is also active in broadband and pay-tv. The company reported quarterly earnings on Friday. They described fourth quarter and full year 2011 results as solid despite a challenging market sentiment.
Full-year revenue grew by half a percent and fourth quarter was 1.1% above last years’ level (26.3 and 6.66 billion DKK respectively). The company managed to maintain an EBITDA margin of over 40%. TDC said it has not responded to heavy promotion activities from its competitors but still maintained subscriber base on par with Q3 2011. Dividend for 2011 shall be 4.35 DKK, with 2.18 paid on August 10th.
TDC is guiding 2012 revenues in between 26 and 26.5 billion DKK with EBITDA before pension income of 10.3 to 10.5 billion. It currently estimates dividend per share from 2012 (pre buy-back) as per TDC’s dividend policy to grow to 4.5 DKK a share. Majority DPTG and TPSA dispute settlement proceeds will be distributed to shareholders via one-off share buy-back programme. Markets had been expecting slightly higher 2012 guidance and the stock was down by over 1.5% on Friday.
Saturday, 14 January 2012
TPSA and DPTG reach a settlement, GN Store Nord to receive 3.1 billion DKK
Long standing litigation over what Telekomunikacja Polska (TPSA) owes to Danish Polish Telecommunications Group (DPTG) for data traffic volumes over NSL fiber-optic transmission system installed 20 years ago in Poland was finally settled. Previously it had been ruled that TPSA had improperly calculated how to measure the traffic volumes over the network and thus what DPTG was owed. That ruling was pertaining to phase 1 of the dispute over a period of 1994-2004. DPTG had initiated enforcement action to try to receive the cash compensation where as TPSA was complaining over the ruling.
This settlement now reached calls for TPSA to pay DPTG a total of 550 million Euros in order to resolve the dispute once and for all, also including the second phase of the litigation involving the 2004-2009 period. Half of the cash has already been received by DPTG and the other half is in an escrow account and will be released upon the termination of ongoing enforcement proceedings.
Danish GN Store Nord A/S (OMX: GN) owns 75% of DPTG and is thus entitled to receive around 3.1 billion DKK. TDC A/S (OMX: TDC) owns the remaining 25%. GN Store Nord’s portion of the initial amount awarded to DPTG in a 2010 ruling from Arbitration Tribunal in Vienna for phase 1 was around 2.2 billion (including interest payments). GN’s share from DPTG’s claim against TPSA regarding Phase two was nearly 2 billion, where as initial estimates by GN concerning what TPSA might owe to it for 2004 to 2009 contract period had been in over 1 billion range.
Despite the final settlement falling somewhat behind highest estimates, for the matter to be finally closed was viewed as a major positive for GN and it seems markets weren’t terribly disappointed about the amount to be received either. TPSA had earlier set aside a provision of nearly the entire amount now agreed upon. GN said in the aftermath of the deal that it is initiating a 1.3 billion DKK share buyback program and its stock reacted positively to the news.
This settlement now reached calls for TPSA to pay DPTG a total of 550 million Euros in order to resolve the dispute once and for all, also including the second phase of the litigation involving the 2004-2009 period. Half of the cash has already been received by DPTG and the other half is in an escrow account and will be released upon the termination of ongoing enforcement proceedings.
Danish GN Store Nord A/S (OMX: GN) owns 75% of DPTG and is thus entitled to receive around 3.1 billion DKK. TDC A/S (OMX: TDC) owns the remaining 25%. GN Store Nord’s portion of the initial amount awarded to DPTG in a 2010 ruling from Arbitration Tribunal in Vienna for phase 1 was around 2.2 billion (including interest payments). GN’s share from DPTG’s claim against TPSA regarding Phase two was nearly 2 billion, where as initial estimates by GN concerning what TPSA might owe to it for 2004 to 2009 contract period had been in over 1 billion range.
Despite the final settlement falling somewhat behind highest estimates, for the matter to be finally closed was viewed as a major positive for GN and it seems markets weren’t terribly disappointed about the amount to be received either. TPSA had earlier set aside a provision of nearly the entire amount now agreed upon. GN said in the aftermath of the deal that it is initiating a 1.3 billion DKK share buyback program and its stock reacted positively to the news.
Sunday, 7 August 2011
Uneventful numbers from TDC
TDC A/S (OMX: TDC ), the former Danish telecom monopoly, reported quarterly earnings this Thursday. The company was satisfied with its “solid performance in a challenging market”. Markets weren’t as satisfied, TDC was down 3% on Thursday but only slightly on Friday correcting for ex-dividend.
Revenue was pretty much flat and profits up slightly compared to 2010. The company said that it endured fierce price completion in all segments, particularly in mobility services. Full year guidance is unchanged: revenue growth of 0-1% and EBITDA growth of ~2%. At current stock price, expected dividend yield for 2011 is around 10%.
Revenue was pretty much flat and profits up slightly compared to 2010. The company said that it endured fierce price completion in all segments, particularly in mobility services. Full year guidance is unchanged: revenue growth of 0-1% and EBITDA growth of ~2%. At current stock price, expected dividend yield for 2011 is around 10%.
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