#1Telia Q1 2023 26 April 2023 Telia Company#2Full focus on strategy execution and capital allocation Solid Q1 financial and operational performance across all Telco business units Service revenue growth accelerated Mobile growth improved (+2.6%), fixed services remain solid (+2.3%) Enterprise growth particularly strong (+3.4%) EBITDA growth improved (+1.6%) Group EBITDA relatively stable despite challenges in TV & Media Operational free cash flow impacted by vendor financing phasing, as expected Q1 strategy highlights confirm network and sustainability leadership 5G population coverage increased to 77% Opensignal awarded Telia Finland with the best quality network in the world Ranked 1st by the FT among Europe's Climate Leaders Reaffirming full year outlook; continue to expect all metrics to improve Agreement signed to sell Telia Denmark to Norlys; EV DKK 6.25bn (~SEK 9.5bn) 2 +2.4% Service revenue growth (Telco operations, LFL) +1.6% Adjusted EBITDA growth (Telco operations, LFL) 0.7bn Structural part of OFCF (SEK in billions)#3Telia Denmark announcement Our strategy is focused on winning in markets with a clear path to a leading position Multiple combinations have been considered over many years to resolve our Danish position Combination with Norlys creates a new, national challenger with committed long-term owners Good for our customers and the Telia Denmark team Valuation at DKK 6.25bn (SEK ~9.5bn), corresponds to 8.9x 2022 reported EBITDA Subject to final and binding agreements, and customary regulatory approvals, with closing expected Q1 2024 at the latest Proceeds to be used for deleveraging purposes 3 SORS#4Four key priorities to drive sustainable growth 1 Restore growth by inspiring our customers 2 Lead the build out of digital infrastructure that connects everyone 4 3 Transform to become a more digital telco 4 Build the capabilities to deliver sustainably and responsibly#5Telco operations#6Sweden financials Service revenue Reported currency, in SEK millions, like for like growth +1.8% 7,380 Q1 22 +1.2% 7,446 Q2 22 ■Consumer +1.2% 7,429 Q3 22 -1.0% 7,597 Q4 22 +0.4% Broad based growth; Mobile +1.0%, Broadband +2.3%, TV +4.4% 7,413 ■ Enterprise ■ Other Q1 23 Sustainable brand leader for the 13th year in a row, and a +10pt improvement Service revenue returned to growth Copper legacy = end customer revenue from telephony & xDSL Enterprise growth enabled by convergence strength in ICT, IoT and Security Service revenue split Reported currency, in SEK millions, like for like growth +4.5% 6,705 +3.3% Q1 22 6,800 Q2 22 +3.4% 6,803 LLLLL Q3 22 Roaming +1.0% 7,026 +2.8% Q4 22 6,891 522 Q1 23 Copper legacy* ■Underlying 5G pop coverage now at 63%, and 80% of copper network now shutdown Copper legacy headwind remained largely unchanged at ~SEK 180m per qtr Underlying service revenue growth improved to +2.8% Adj. EBITDA Reported currency, in SEK millions, like for like growth +4.4% 3,337 Q1 22 +2.8% 3,358 Q2 22 +1.2% 3,394 Q3 22 Adj EBITDA -3.4% 3,419 Q4 22 -0.3% 3,313 Q1 23 EBITDA relatively stable, as energy costs remain high (+40m YoY)#7Sweden KPIs Mobile postpaid subs. and ARPU Subscriptions '000, ARPU in SEK 249 3,877 Q1 22 251 3,896 Q2 22 250 3,895 Q3 22 Postpaid ex M2M 253 3,886 Q4 22 250 3,891 Q1 23 ARPU Positive net adds in both Enterprise and Consumer, including from Fello, recently awarded Mobile operator of the year Subscriber base and ARPU fairly unchanged Broadband subs. and ARPU Subscriptions '000, ARPU in SEK - 324 162 1,196 Q1 22 322 137 1,226 Q2 22 Fiber and FWA 330 118 1,241 Q3 22 326 7 100 1,275 Q4 22 Copper 324 85 1,298 Q1 23 ARPU Subscriber growth despite copper shutdown Fiber and FWA more than compensated for copper decline; Fiber service revenue growth at +9.7% TV subs. and ARPU Subscriptions '000, ARPU in SEK 202 935 Q1 22 201 948 Q2 22 202 964 Q3 22 Subscriptions 191 972 Q4 22 ARPU 199 994 Q1 23 Continued solid development in IPTV subs APRU still impacted by a temporarily higher discounts in Q4 last year#8Finland Service revenue Reported currency, in SEK millions, like for like growth -0.3% 3,092 Q1 22 -0.4% 3,117 Q2 22 Consumer (+0.7% 3,155 Q3 22 +2.2% 3,418 Q4 22 Enterprise Other Global winner of Opensignal award confirming network quality; 5G pop coverage now at 83% +2.3% 3,367 Q1 23 Mobile growth slowed to +0.4% due to tough comparison and slowdown in A2P Solid fixed revenue development (+5.2%) supported by convergence leadership, strength in business solutions Adj. EBITDA Reported currency, in SEK millions, like for like growth +1.9% 1,111 Q1 22 +5.3% 1,130 Q2 22 -7.3% 1,140 Q3 22 Adj EBITDA -5.5% 8 1,063 Q4 22 +1.2% 1,197 Q1 23 EBITDA increased despite continued higher energy costs (+55m) from ongoing transformation initiatives Mobile postpaid subs. and ARPU Subscriptions '000, ARPU in EUR 17.8 2,655 Q1 22 17.7 2,652 Q2 22 17.7 2,654 Q3 22 Postpaid ex M2M 18.0 2,635 Q4 22 17.9 ARPU 2,604 Q1 23 Steady growth in mobile consideration and substantial (+23pt) improvement in Sustainable Brand Index Subscriber base reduced due to pricing and channel strategy Strong Consumer ARPU (+6%) offset by reduced Enterprise A2P revenues#9Norway Service revenue Reported currency, in SEK millions, like for like growth +6.6% 3,146 Q1 22 +6.8% 3,137 Q2 22 +5.9% 3,298 Q3 22 +3.2% 3,223 Q4 22 ■Consumer Enterprise Other +3.8% 3,198 Q1 23 5G leadership continues reaching 89% pop coverage Service revenue increase from both mobile (+5.0%) and fixed (+1.9%) Consumer rather stable (+0.6%) and continued strong growth in Enterprise (+6.3%) Adj. EBITDA Reported currency, in SEK millions, like for like growth (+2.0% 1,666 Q1 22 +2.0% 1,591 Q2 22 +4.5% 1,846 Q3 22 Adj EBITDA +2.5% 9 1,647 Q4 22 +2.7% 1,681 Q1 23 Continued EBITDA growth despite a tough 2022 comparison Mobile postpaid subs. and ARPU Subscriptions '000, ARPU in NOK 285 1,899 Q1 22 283 1,910 Q2 22 293 1,922 Q3 22 Postpaid ex M2M 284 1,913 Q4 22 288 1,899 Q1 23 ARPU Subscriber base relatively stable ARPU increased +1.1% driven mainly by the Consumer segment Enterprise ARPU flat due to increasing public sector share#10LED markets Lithuania Reported currency, in SEK millions, like for like growth (+5.6%) (+7.5% (+5.6%) +7.1%) (+9.9% +5.4%) (+9.0%)(-0.5%) (+13%)(+13% 862 905 924 972 1,009 Q1 22 Q2 22 Q3 22 Q4 22 Q1 23 Service revenues 401 414 419 453 Q1 22 Q2 22 Q3 22 Q4 22 Q1 23 Adj. EBITDA Sector leader in Sustainable Brand Index with +7pt improvement 483 Service revenue growth accelerated driven by both mobile and fixed EBITDA conversion improved enabling excellent EBITDA development of +13.1% Estonia Reported currency, in SEK millions, like for like growth +8.0%+4.7%) (+5.0%) (+5.1%)+5.8% 729 725 749 - 791 821 Q1 22 Q2 22 Q3 22 Q4 22 Q1 23 Service revenues +7.8%+4.6%) (+4.4%) (+8.1%) +10% 326 323 340 341 Q1 22 Q2 22 Q3 22 Q4 22 Q1 23 Adj. EBITDA 382 Strong progress on customer satisfaction across all channels Broad based service revenue growth, with mobile +10.6% and fixed +4.0% EBITDA increased +10.0% from service revenue flow through 10 Denmark Reported currency, in SEK millions, like for like growth வளைஞஊருருருரு +5.4%) (+9.5%) (+8.1%) (+21%)(+15% +3.0%)(+2.2%) (+2.2%) (+0.5%)(-0.6% 970 975 1,024 1,033 1,027 235 248 268 321 Q1 22 Q2 22 Q3 22 Q4 22 Q1 23 Q1 22 Q2 22 Q3 22 Q4 22 Q1 23 Service revenues Adj. EBITDA No. 1 NPS position sustained, relative to main brands; SBI improved +15pt 288 Service revenue declined slightly driven by mobile interconnect EBITDA growth of +15.4% from continued cost transformation#11TV & Media#12TV & Media Service revenue Reported currency, in SEK millions, like for like growth +5.8% 2,031 Q1 22 +2.0% 2,333 Q2 22 TV (+0.2% 1,898 Q3 22 -2.7% 2,564 Q4 22 Advertising Other -2.4% 2,012 Pay TV revenue stabilized despite a continued challenging landscape Q1 23 Performing relatively well in a softening advertising market Advertising revenue declined -5.4% due to linear, digital continued to grow Adj. EBITDA Reported currency, in SEK millions, like for like growth n/a -191 Q1 22 -40% 345 Q2 22 +24% 234 Q3 22 n/a -112 12 Q4 22 n/a -364 Q1 23 EBITDA declined due to lower service revenue and expanded international content vs Q1 2022 Restructuring and brand consolidation on track with new TV4 Play offering to be launched after summer C More direct OTT subs. and ARPU Subscriptions '000, ARPU in SEK 163 167 551 Q1 22 SWE 165 155 523 Q2 22 158 FIN 157 550 Q3 22 173 159 605 Q4 22 DEN 178 183 560 Q1 23 ARPU Subscriber based declined QoQ due to World Cup in Q4 ARPU increased +9.5% from price increases#13Financials#14Service Revenue & EBITDA Service revenue Like for like growth ■Full Group ■ Telco operations 3.2% 2.9% Q1 22 2.4% 2.5% Q2 22 2.3% 2.6% Q3 22 0.7% 1.2% Q4 22 1.9% 2.4% Q1 23 Total service revenue growth impacted by TV & Media 6 out of 7 telco markets grew service revenue Growth in both Telco Consumer (+0.9%) & Enterprise (+3.4%) 14 Adjusted EBITDA Like for like growth Full Group ■Telco operations 0.1% 4.6% Q1 22 0.8% 4.3% Q2 22 1.0% 0.5% Q3 22 -2.0% -0.6% Q4 22 -0.8% 1.6% Q1 23 EBITDA growth in all markets except for Sweden Sequential improvement driven by higher revenue and reduced energy cost impact#15OPEX & CAPEX OPEX excl. energy Like for like growth Q1 22 Resources +1.3% Marketing Other Q1 23 Resource costs lower due to continued FTE/FTC reduction Other increased due to higher costs associated with IT and travel Cumulative reductions since 2021 is SEK 1.0bn driven mainly by lower resource and IT costs Cost transformation agenda remains but challenging to realize the full ambition given the current inflationary environment 15 CAPEX excl. licensees Reported currency, in SEK billions 3.3 Q1 22 ■Mobile NW 4.0 Q2 22 3.7 Q3 22 Fixed NW 5.0 Q4 22 Product & IT 3.7 Q1 23 Other Increase compared to Q1 last year driven by mobile network modernization and fiber roll-out in Sweden CAPEX to be gradually reduced YTG with biggest impact in H2 Outlook for the year of SEK 13-14bn confirmed#16Cash Flow Reported currency, SEK billions Adjusted EBITDA Restructuring and other adj. items Repayment of leasing liabilities Cash CAPEX excl. licenses Interest paid net Taxes paid Other items Structural part of OFCF Working capital Operational free cash flow Q1 2023 7.3 -0.6 -0.8 -4.1 -1.0 -0.5 0.5 0.7 -4.3 -3.6 Q1 2022 7.2 -0.3 -0.8 -3.0 -0.9 -0.6 0.3 1.9 0.2 2.2 Change 0.1 -0.3 -0.1 -1.1 -0.1 0.1 0.2 -1.3 -4.5 -5.8 - 16 Higher restructuring and other adjustment items following the recent resource reductions Cash CAPEX increased by SEK 1.1bn mainly due to continued high investment level and vendor financing impact of SEK 0.8bn Slightly increased paid interest due to higher interest rates, offset partly by higher interest income Taxes slightly lower due to phasing Negative impact from working capital driven mainly by vendor financing impact of SEK 3.1bn and accounts payable phasing#17Cash Flow trends Operational free cash flow Reported currency, in SEK billions, illustrative profile Operational free cash flow Structural part of OFCF -3.6 0.7 Q1 23 Q2 23 Q3 23 Q4 23 17 Cash flow generation for the full year weighted towards H2 - CAPEX to gradually reduce and expected to be materially lower in Q4 considering last year's heightened level Working capital expected to be materially positive H2 driven by vendor financing phasing and inventory reductions Vendor financing balance expected to end the year at a similar level to last year Impact from other items expected to be rather evenly distributed between the quarters#18Net debt & leverage Net debt and leverage Reported currency, in SEK billions and leverage ratio 2.35x 71.4 Q4 22 3.6 Operational free cash flow = Leverage ratio +4.3 0.2 License CAPEX 0.3 Other items 2.49x 75.6 Q1 23 18 As expected, leverage increased to the upper end of our range due to OFCF Slightly negative impact from other items, including FX Spectrum costs expected to be material in H2 Proceeds from sale of Telia Denmark expected to reduce leverage by ~0.2x#19Outlook#20Outlook 2023 reaffirmed * Like for like ** Excluding CAPEX related to right of use assets Service revenue* Low single digit growth Adjusted EBITDA* Flat to low single digit growth CAPEX excl. licenses and spectrum** In the range of SEK 13-14 billion Structural part of Operational free cash flow In the range of SEK 7-9 billion 20#21Full focus on strategy execution and capital allocation Growth momentum has continued, supported by pricing initiatives and especially strong position in Enterprise services "beyond connectivity" Digital infrastructure leadership built further with network modernization delivering to plan, underpinning premium market positions Headcount reductions executed in the quarter, to support productivity improvements in an inflationary environment TV & Media brand consolidation and restructuring underway in the midst of market headwinds Strong progress on climate agenda with 45% of supplier emissions covered by SBTi and Telia awarded no.1 European Climate Leader Investment levels have peaked Highly accretive agreement struck in Denmark Reaffirming full year outlook; continue to expect all metrics to improve 21 1 Restore growth by inspiring our customers 2 Lead the build out of digital infrastructure that connects everyone 3 Transform to become a more digital telco 4 Build the capabilities to deliver sustainably and responsibly#22Q&A#23Appendix#24Sustainability overview and key highlights Three impact areas in focus Our ambitions 2022 selected highlights 2023 Q1 selected highlights ☆ Climate and circularity Zero CO2 and Zero Waste by 2030 CDP score: A- (up from D in 2018) Strong growth in loT solutions for energy efficiency (within transport, real estate and utility sectors) 45% of supply chain emissions covered by science-based targets (26% in Q1'22) Europe's Climate Leader #1 by (FT) S Digital inclusion 2 million individuals reached through digital inclusion initiatives between 2021-2025 2025 target for digital inclusion achieved: 1 million individuals reached since 2021 (new target: 2 million) Ranked 11 out of 150 ICT companies in global digital inclusion rating (by World Benchmarking Alliance) Due to the strong progress, one million added to our target: to reach 2 million individuals between 2021-25 24 8 Privacy and security Top tier positions/preferred supplier in all markets Ranked No 1 or 2 on privacy in 4 out of 6 markets Several contract-wins with elevated security requirements (e.g. Norwegian Military and Swedish Civil Contingencies Agency) Telia Cygate crowned preferred partner of several global security providers (Fortinet, Checkpoint and more)#25Telia's climate commitments ● ● одо ● 2020 O ● Science Baset Targets (near-term) – approved by SBTi in 2020 (baseline 2018): - Reduce CO₂e emissions in Telia's own operations by 50% Reduce CO₂e emissions related to use of sold and leased products by 29% 72% of supply chain emissions covered by Science Based Targets ☆ 2022 O Achieve Net Zero by reducing value chain CO₂e emissions (scope 1, 2 and 3) by 90%, in line with the new SBTi Net Zero Corporate Standard, and offset (neutralize) residual emissions* 000 Climate neutral in Telia own operations Reduce CO₂e emissions in the whole value chain (scope 1, 2 and 3) by at least 50%, offset the rest Reduce CO₂e emissions in own operations (scope 1 and 2) by 90% 100% renewable electricity 2025 O Reduce energy consumption/ subscription equivalent by 5% Achieved 25 SCIENCE BASED TARGETS 2030 DRIVING AMBITIOUS CORPORATE CLIMATE ACTION 2040 For a full overview of progress, refer to the Annual and Sustainability Report 2022 * Pending external approval . -#26ESG awards and ratings as of end 2022 MSCI ESG RATINGS CCC B BB BBB A AA AAA PLATINUM AAA Top 1% 2022 ecovadis Sustainability Rating CDP DISCLOSURE INSIGHT ACTION MSCI ESG rating: "AAA" (highest) EcoVadis: "Platinum supplier" rating (highest) CDP Climate Rating: A- (up from D in 2018) 26 SUSTAINALYTICS a Morningstar company RATED Corporate ESG Performance RATED BY ISS ESG Prime FTSE4Good Sustainalytics: 15.4 Low Risk, Industry rank 7 out of 232 ISS ESG rating: -B (Prime status) Included in FTSE4Good#27Telia Company