DIGI Spain Telecom (DIGIS) Investor presentation summary

Strategic positioning and growth

• Achieved rapid growth, becoming the fastest-growing telecom in Europe with a 20% revenue CAGR (2023-25A) and consistent market share gains in both fixed broadband and mobile segments.

• Holds #3 position in B2C fixed broadband (13% market share) and #4 in mobile (12% market share) as of Q4-25A.

• Maintains a value-for-money strategy with prices 25-50% below competitors, never raising core commercial prices since launch.

• Fully integrated, vertically integrated model with 90% of operations managed in-house, ensuring cost efficiency and quality control.

• Strong brand awareness (91%) and #1 Net Promoter Score in Spain since 2022, with best-in-class customer satisfaction and lowest churn rates.

Network infrastructure and operational excellence

• Deployed 13.7m SMART FBB BUPs with a mid-term target of 21m, focusing on urban and semi-urban areas for efficient fibre rollout.

• Owns state-of-the-art FTTH infrastructure, with 93% of the SMART footprint using XGS-PON technology, enabling 10 Gbps speeds.

• Strategic partnerships (SOTA, DIGI Andalucia) provide long-term access to additional network capacity while maintaining owner-like economics.

• Achieved industry-leading FTTH deployment costs (~€49/BUP) and lower access fees, supporting sustainable competitive pricing.

• Transitioned to MNO status in 2025, acquiring 60MHz spectrum and entering a 16-year RAN and spectrum sharing agreement with Telefónica, ensuring nationwide coverage and scalable mobile economics.

Financial performance and outlook

• Reported €929m revenue and €175m adjusted EBITDA (excl. operating leases) in 2025, with FTTH and mobile gross margins at 53% and 32% respectively.

• Maintains high cash conversion, with recurring OpFCF of €99m in 2025 and prudent capex allocation focused on FTTH rollout and MNO transition.

• Net principal debt (ex-operating leases and spectrum) at €498m in 2025, with leverage expected to decrease to ~1.5x post-IPO.

• Guidance for 2026 includes revenue of €1,040-1,085m, low-20s% EBITDA margin, and recurring capex below 10% of revenue.

• Financial structure supported by SOTA and DIGI Andalucia transactions, enabling deleveraging and continued investment in network expansion.