Telenor Group has completed its exit from Pakistan, finalising the divestment of Telenor Pakistan on December 31, 2025, and booking a net loss of NOK 3.044 billion ($310 million), largely driven by accumulated foreign exchange translation losses, the Norwegian telecom operator said in its fourth-quarter and full-year 2025 results.
Following the transaction, Telenor Pakistan has been classified as discontinued operations from the fourth quarter of 2025, with prior financials restated accordingly. The impact weighed on group earnings, pushing net income attributable to shareholders to a loss of NOK 761 million in Q4, despite stronger operating performance in Telenor’s remaining markets.
Under the deal, Telenor received NOK 1.582 billion net of tax from the sale of its shares. In addition, the buyer paid NOK 2.335 billion directly to Telenor Pakistan as a shareholder loan, which was used to settle internal debt owed to Telenor ASA. The Pakistani business was transferred to the new owner together with its liabilities.
While the accounting loss was significant, Telenor said the cash impact was more balanced. Telenor Pakistan generated NOK 407 million in free cash flow during 2025, and total cash flow from discontinued operations linked to Pakistan reached NOK 4.37 billion for the year, supported by sale proceeds, deconsolidation effects and financing inflows.
In the fourth quarter alone, discontinued operations delivered NOK 4.33 billion in cash, mainly reflecting transaction proceeds and the settlement of intercompany balances. Operating cash flows, however, were partly offset by higher income tax payments related to the forgiveness of intercompany receivables.
Telenor said the exit from Pakistan significantly reduces its exposure to regulatory, spectrum and corruption-related risks, allowing the group to sharpen its focus on becoming a more Nordic-centric telecom operator. The move follows earlier exits from India in 2018 and Canal Digital in 2020, and comes alongside the group’s announced sale of its stake in Thailand’s True Corporation.
For the full year 2025, Telenor reported free cash flow of NOK 17.26 billion, with its leverage ratio improving to 2.2 times, remaining within the company’s target range. Excluding discontinued operations such as Pakistan, the group posted solid growth in service revenues and EBITDA across its continuing markets, the company said.
