Sunrise Communications (SNRE) Q3 2025 earnings summary

Executive summary

• Q3 2025 revenue declined 1.1% year-over-year to CHF 740.9 million, with 20,000 postpaid mobile net adds and B2B growth offsetting a 7,000 decline in internet net adds due to UPC migration and market liquidity.

• Adjusted EBITDAAL grew 2.4% year-over-year in Q3 2025 to CHF 270.1 million (margin 36.5%), driven by OpEx improvements and cost focus, despite revenue softness.

• Net loss for the nine months was CHF 59.3 million, a 72.9% improvement from the prior year; Q3 net loss was CHF 4.4 million.

• New product launches included Home Security, Iconic Bundle, SuperSearch, SME Ready Connect & Pay, and CHmobile, expanding segment coverage.

• 2025 guidance and midterm outlook for increasing free cash flows and progressive shareholder returns reaffirmed.

Financial highlights

• Q3 2025 revenue was CHF 740.9 million, down 1.1% year-over-year; 9M 2025 revenue was CHF 2,194.6 million, down 1.7%.

• Adjusted EBITDAAL for Q3 2025 was CHF 270.1 million (margin 36.5%), up 2.4% year-over-year; 9M 2025 Adjusted EBITDAAL was CHF 764.2 million (margin 34.8%), down 1.9%.

• CapEx reduced by CHF 5 million year-over-year to CHF 106 million in Q3 2025, with CapEx/Revenue at 14.3%.

• Adjusted Free Cash Flow for Q3 2025 was CHF 37 million; for the nine months, CHF 47.4 million, down from CHF 118.8 million in 2024.

• Net cash provided by operating activities was CHF 753.7 million for the nine months, down from CHF 820.1 million in 2024.

Outlook and guidance

• 2025 guidance reaffirmed: revenue expected broadly stable at lower end of range, adjusted EBITDAAL stable to low single-digit growth, CapEx/Revenue 15–16%, adjusted FCF CHF 370–390 million.

• Dividend per share for FY 2025 expected at CHF 3.42 (Class A), up 2.7% year-over-year.

• Stabilization of Fixed business now expected during 2026, with countermeasures in place.

• Capital expenditures expected to taper as integration and IT transformation initiatives conclude.

• Majority of CHF 60 million tax settlement to be paid in FY2026, excluded from adjusted FCF guidance.