TDC : Financial Statement 2016

Q4 highlights

• EBITDA decline of 10.4% YoY driven by the development in Denmark (-13.3% YoY); Norway

   up 4.5% YoY

• Revenue and GP growth in mobility services; Consumer mobile ARPU up by

   DKK 5 (4.5%) YoY

• Loss of 16k broadband customers vs. Q3 in Consumer and Business due to pressure from

   competing infrastructure, loss of large customers as well as clean-up

• TDC repurchased bonds and thereby reduced gross debt by EUR 350m (DKK 2.6bn);

   positive impact on cash interest from 2017

• TDC Business acquired another cloud-based communications provider and launched new

   broadband portfolio with improved flexibility and functionalities

2016 FY performance

• Better financial performance than expected with EBITDA (DKK 8,488m > DKK 8,400m) and

   EFCF (DKK 2,082m > DKK 1,700m)

• Strong EBITDA growth in Norway driven by Get (10.1% YoY)

• Reported GP trend improved during 2016 in Denmark (-7.6% Q1 YoY and -5.0% Q4 YoY),

   driven by mobility services

• Group opex up by 2.4% due to strategic investments (TDC and YouSee brand, IT merger and

   B2B simplification)

• Strategy execution well underway: brand merger, TDC Sweden divestment, new TV set-top

   box, TDC Skype for Business and gigaspeed roll-out

• Customer satisfaction has been flattish by a year with many changes; Telmore is back at

   delivering best in class customer experience

2017 guidance and 2018 ambitions

• 2017: EBITDA > DKK 8.3bn; EFCF: Stable or moderate growth; DPS: DKK 1.05

• 2018: ambitions unchanged on cash flow and customer satisfaction

         TDC A/S
         Teglholmsgade 1
         0900 København C
         tdc.dk

Vedhæftede filer:

TDC Fact Sheet 2016.xlsx

TDC Q4 CC.pdf

TDC_ER_Q4_2016.pdf