Sunrise Communications (SNRE) Q4 2025 earnings summary

Executive summary

• Achieved 2025 financial guidance with revenue down 1.1% year-over-year and adjusted EBITDAaL up 0.9%, supporting a 2.7% dividend increase.

• Free cash flow rose 4.7% to CHF 380 million, enabling a proposed dividend of CHF 3.42 per share.

• Innovations and multi-brand strategy, including new product launches and 5G expansion, drove customer growth and loyalty.

• Net customer growth of 82,000 mobile postpaid subscriptions and stable Internet base; fixed-mobile convergence rate approached 60%.

• Sustainability progress: 49% reduction in greenhouse gas emissions, increased female leadership, and EcoVadis Platinum Medal.

Financial highlights

• FY 2025 revenue CHF 2,983 million, down 1.1% YoY; Q4 revenue up 0.5% YoY.

• Adjusted EBITDAaL for FY 2025 CHF 1,007 million, up 0.9% YoY; Q4 down 1.4% YoY.

• Adjusted FCF CHF 380 million, up 4.7% YoY; CAPEX/revenue 16.0%.

• Net leverage ratio stable at 4.5x; gross debt reduced by CHF 180 million in Q4.

• Dividend payout ratio ~66% of adjusted FCF.

Outlook and guidance

• 2026 revenue expected broadly stable; adjusted EBITDAaL around CHF 1 billion.

• Free cash flow projected at CHF 380–400 million, with CAPEX/revenue below 15%.

• Dividend per share for 2026 expected to grow by about 2%.

• Focus on operational execution, cost optimization, and AI-driven productivity gains.

• Conservative guidance due to market uncertainty and potential hardware supply constraints.