DNA revised upwards its guidance for 2017
DNA revised upwards its guidance for 2017 regarding profitability on 13 October, 2017. DNA's net sales are expected to remain at the same level and the comparable operating result is expected to improve substantially in 2017 compared to 2016. The Group's financial position and liquidity is expected to remain at a healthy level.
Previous guidance for 2017 (published on 31 January 2017):
DNA's net sales are expected to remain at the same level and the comparable operating result is expected to improve somewhat in 2017 compared to 2016. The Group's financial position and liquidity is expected to remain at a healthy level.
DNA's business has developed favourably for the beginning of the year. Especially the first half was strong. The demand for mobile communications services has been good throughout the year and profitability was fuelled by the growth in service revenue and the improved cost-efficiency of modern network platforms. Intense competition might affect DNA's CHURN rate during rest of the year.
DNA’s guidance on future outlook
DNA issues guidance on its net sales and profitability (operating result). Their development is assessed by means of verbal description in comparison to the reference period. The guidance on the financial outlook is based on the full-year forecast, which takes into account the prevailing business and market situation. Statements and estimates provided are based on the management’s view of the development of the Group and its business operations.
DNA’s has set the following mid-term financial targets:
- Revenue growth faster than average market growth;
- EBITDA margin of at least 30 per cent;
- Operative capital expenditure less than 15 per cent of net sales (excluding potential fees for spectrum licenses);
- Net debt to EBITDA less than 2.0, which can be temporarily exceeded in case of potential attractive bolt-on in-market M&A opportunities.