Elisa (ELISA) Q1 2025 earnings summary

Executive summary

• Revenue increased 4% year-over-year to EUR 556 million, driven by international software services and mobile service growth, with 5G upselling and sedApta consolidation as key contributors.

• Comparable EBITDA rose 4.6% to EUR 199 million, with margin improving to 35.8% due to efficiency measures and higher service revenues.

• Dividend of EUR 2.35 per share approved for the 11th consecutive year, paid in two instalments.

• 5G network covers over 96% of the Finnish population, with strong upselling, new product launches, and 5.5G introduced in Finland.

• International Software Services now reported as a separate segment, showing strong growth.

Financial highlights

• Q1 2025 revenue: EUR 556 million (+4% year-over-year); mobile service revenue up 2.6% to EUR 255 million; ARPU up 5%.

• Comparable EBITDA: EUR 199 million (+4.6%); EBIT up 3.1% to EUR 126 million; EPS up 2.3% to EUR 0.58.

• International Software Services revenue up 57% (2.1% organic), recurring revenue up 20%, EBITDA improved by EUR 3 million.

• CapEx at EUR 72 million; guided CapEx (excl. licenses/leases) EUR 65 million, 12% of sales.

• Comparable cash flow EUR 82 million, down 4% year-over-year due to higher CapEx and interest.

Outlook and guidance

• Full-year 2025 revenue and comparable EBITDA expected at or slightly above 2024 levels.

• Double-digit growth anticipated for International Software Services in 2025, with positive EBITDA for the segment.

• CapEx (excluding leasing, licences, acquisitions) capped at 12% of revenue.

• Medium-term targets: >4% organic revenue and EBITDA growth.

• Productivity improvements and automation to continue.