Telekom Serbia 2024 financial reports show that the state-owned company reported profits of 10 billion Dinars, or two-thirds less than the 34.15 billion reported in 2023.
According to those reports, Telekom invested more than 32 billion dinars into the recapitalization of its subsidiary companies — inlcuding 30.4 billion Dinars transferred to the Arena Channels group. Significant increases were also noted in interest expenses.
Operational revenues grew from 124.73 billion dinars in 2023 to 155.31 billion Dinars in 2024. Financial revenue rose from two billion Dinars to 7.9 billion. However, financial expenses nearly doubled — reaching 32.69 billion dinars in 2024 (up from 17.88 billion dinars in 2023), while interest expenses rose from 15.36 billion dinars at the end of 2023 to 25.14 billion dinars at the end of December 2024.
The number of employees also increased — from 8,367 to 8,689.
Advertising, sponsorship, and propaganda expenses also rose, by as much as one billion dinars compared to the previous year (from 4.21 billion to 5.29 billion dinars). Expenses related to donations saw a significant increase — from 277 million dinars to 757.99 million dinars. According to accompanying documents, Telekom’s long-term domestic financial loans totaled 44 billion Dinars, while foreign loans totaled 184 billion Dinars — for a combined total of 228 billion dinars.
Commodity credits domestically and internationally are valued at 3.4 billion dinars.
The total liabilities of Telekom as of December 31, 2024 (including short-term liabilities) stood at 246 billion dinars (245,998,373,000 dinars). Of these, 14.3 billion dinars of long-term loans matured during 2024, along with an additional 117 million dinars in short-term liabilities.
Interest expenses for 2024 — covering loans, borrowings, financial leasing, and issued corporate bonds — amounted to 24.49 billion dinars (up from 15.3 billion dinars in 2023). In 2024, late payment interest expenses totaled 166.7 million dinars, while hedging costs amounted to 94.8 million dinars.
Corporate Bonds
On October 28, 2024, Telekom issued Eurobonds on the Dublin Stock Exchange valued at $900 million for five years, according to notes accompanying the financial statements. The issuance was concluded with an interest rate of 7% annually in USD, and after currency hedging from USD to euro, the final interest rate will be approximately 5.9% annually in euros. The principal is fully repaid at maturity, as stated in the documents.
Telekom also issued corporate bonds in 2020 — on September 25 — with total nominal value of 23.5 billion dinars for qualified investors. Each bond has a nominal value of 10,000 dinars, with a maturity of five years, and a coupon rate based on 3M Belibor plus 2.95% annually. These bonds have a fixed maturity, with the principal fully repaid on the due date.
Housing Loans for Management
Interest-free housing loans granted to management amount to 31.65 million dinars as of December 31, 2024 (compared to 33.95 million dinars on December 31, 2023), and are granted with monthly repayment plans and conditions applicable to employees.
Loans provided to employees for housing needs and vehicle purchases amount to 613.8 million dinars.
Based on the provided data, Telekom’s employee loans include:
– Interest-free housing loans;
– Loans with interest rates approved by selected commercial banks (single loans for participation in credit and installment loans for interest);
– Interest-free loans for the purchase of company vehicles (for former managers).
Serbian Post Office Rent
Given that the majority shareholder is the Government of the Republic of Serbia, the company discloses significant transactions with other state-owned enterprises.
“Significant individual transactions mainly involved leases of commercial, technical, and warehouse space with JP PTT. As of December 31, 2024, liabilities to JP PTT amount to 705,976,000 dinars, compared to over two billion dinars (2,829,406,000 dinars) at the end of 2023,” the reports state.
What’s Ahead in 2025
Regarding business changes after the reporting period (post-December 31, 2024), Telekom notes that “in February 2025, the company reached an agreement to acquire 100% of the shares in EON TV International Ltd (the holding company of NetTV Plus), involved in direct-to-home operations within EoNSat and Total TV in Serbia and North Macedonia, as well as certain rights, licenses, and other assets related to Sportklub channels for the Western Balkans, either directly or indirectly, from United Group B.V.”
Source: N1
