Sonaecom (SNC) Q1 2025 earnings summary

Executive summary

• Direct Results reached €18.6m in 1Q25, mainly from NOS, but declined year-over-year due to lower EBITDA and absence of prior year non-recurring gains.

• Net Income (group share) was €13.7m, down 46.4% from 1Q24, impacted by both direct and indirect results.

• Bright Pixel's active portfolio NAV stood at €325m, with continued investment and portfolio expansion.

• Capital structure remains robust with a net cash position of €170.6m, up €4.1m from YE24.

Financial highlights

• Consolidated turnover was €3.9m in 1Q25, up 0.6% year-over-year, driven by Media business.

• EBITDA declined 18.5% to €16.9m, mainly due to lower equity method contributions from NOS.

• Equity method contributions fell 16% to €19.8m, reflecting the absence of last year's extraordinary ANACOM-related gains.

• Indirect Results were negative €5.0m, reversing a positive €3.1m in 1Q24 due to exchange rate impacts at Bright Pixel.

• Free Cash Flow increased to €4.1m, up 130.3% year-over-year.

Outlook and guidance

• Management highlights ongoing portfolio expansion at Bright Pixel and continued investment in new ventures.

• NOS completed the acquisition of Claranet Portugal, strengthening its B2B segment.

• NOS Board approved an ordinary and extraordinary dividend for 2024, resulting in a €77m cash-in for the group.