TDC Group Annual Report 2011(6,4MB) - TDC Annual Report 2011

Guidance 2011
TDC published financial guidance for 2011 for the TDC
Group in the TDC Annual Report 2010 on 8 February 2011.
This guidance implied revenue level with 2010, EBITDA
growth of approximately 2% compared with 2010 and a
capex-to-revenue ratio of approximately 13%. Following the
Onfone acquisition on 11 May 2011, TDC's 2011 guidance
was adjusted to growth of 0-1% on revenue and approx. 2%
on EBITDA compared with 2010. These adjusted
expectations were confirmed in the third Quarterly Report
on 3 November 2011.
TDC Group Annual Report 2011
Guidance 2011 was achieved on all parameters although
Q4 was slightly below expectations, due mainly to lower
traffic than anticipated. Furthermore, TDC experienced
some signs of the macroeconomic headwinds in Q4, i.e.
customers were even more cautious, and businesses and
public-sector accounts were extraordinarily circumspect in
terms of investments and procurement decisions. In
general, 2011 was characterised by fierce price
competition, especially on mobility services due to a much
tougher mobile price competition than anticipated at the
beginning of 2011. The EBITDA growth target was achieved
through accelerated cost savings, including significant
savings on SAC and SRC.
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