Sanoma (SAA1V) Q4 2025 earnings summary

Executive summary

• Adjusted operating profit and free cash flow improved in 2025, primarily driven by the Learning segment, despite a 3% decline in net sales due to discontinued low-value distribution contracts and lower advertising sales.

• Both Learning and Media Finland achieved higher margins and profitability, with significant progress in deleveraging and a proposed dividend of EUR 0.42 per share, up 8% year-over-year, to be paid in three installments.

• Strategic focus on digital transformation, AI integration, and operational efficiency supported improved financial targets.

Financial highlights

• Net sales for 2025 were EUR 1,302.5 million (2024: 1,344.8), down 3% year-over-year; adjusted operating profit rose to EUR 188.2 million (2024: 180.0), margin 14.4%.

• Free cash flow improved by 10% to EUR 160 million (2024: 145.3 million).

• Net debt/Adjusted EBITDA improved to 1.8 (2024: 2.2), well below the 2.5 target.

• Adjusted EPS increased to EUR 0.57 (2024: 0.46).

Outlook and guidance

• 2026 net sales expected at EUR 1.29–1.34 billion; adjusted operating profit guided to EUR 205–225 million.

• Learning segment margin expected to exceed 23% in 2026; high single-digit organic earnings growth targeted through 2030.

• Growth in learning content sales expected, driven by curriculum renewals; advertising market in Finland expected to stabilize.