Masorange (MASORANGE) Q2 2025 earnings summary

Executive summary

• Transitioned from telco to techco, expanding into insurance, energy, and retail advertising, and achieved strong H1 2025 results with 4.7% YoY revenue growth and double-digit EBITDA increase.

• Closed Spain's largest retail insurance distribution deal in a decade, forming a strategic 10-year partnership with Zurich.

• Enhanced customer experience with a new TV platform, Device-as-a-Service model, and best-in-class connectivity, reaching 2.5 million TV users.

• Led European TMT sector in ESG with a Fitch score of 79.

• Operating income reached €321.7 million, but high finance costs and depreciation led to a net loss.

Financial highlights

• Total revenues reached €3,777m in H1 2025, up 4.7% YoY; service revenues +2.7%, equipment revenues +28.9%.

• Reported EBITDA €1,457m (+17.2% YoY), margin 38.6% (+4.1pp); Adjusted EBITDA €1,475m (+12.9% YoY), margin 39.1%.

• Operating free cash flow margin increased to 25.1% of revenues, with absolute growth of 20%.

• Net loss: €135.3 million, attributable almost entirely to owners of the parent.

• Net cash provided by operating activities: €864.3 million.

Outlook and guidance

• Confirmed 2025 guidance: accelerated revenue growth, over €300 million in synergies, and double-digit operating free cash flow growth.

• CapEx intensity expected to decline from 17% of revenues in 2024 to around 12% within three years.

• Targeting further churn reduction, aiming to lower from 15-16% to below 11% over the next few years.