Sanoma Oyj · OMXHEX:SANOMA
Sanoma Oyj — Q1 2025 Earnings Presentation
28 slides from Sanoma Oyj's earnings presentation, Apr 29, 2025
Slide 1: Interim Report Q1 2025
Interim Report Q1 2025 Improved performance driven by Learning in a seasonally small quarter Rob Kolkman, President & CEO Alex Green, CFO
Slide 2: Improved performance driven by Learning in a seasonally small quarter
Q1 2025 Improved performance driven by Learning in a seasonally small quarter Net sales Organic net sales Operational EBIT Free cash Net debt / development excl. PPA flow Adj. EBITDA 221m€ 0% -19m€ -30m€ 2.4 (2024: 221) (2024: 5%) (2024: -24) (2024: -44) (2024: 2.9) ▪ Net sales were stable with the
Slide 3: Learning: net sales grew and operational earnings improved
LEARNING Q1 2025 Operational EBIT excl. PPA Net sales grew and operational m€ earnings improved ▪ Net sales increased to 89m€ (2024: 81) in a seasonally small quarter 19,4 % 19,6 % – Growth in learning content sales in the 19,3 % 19,1 % 19,2 % Netherlands, partially driven by earlier ordering 155 –
Slide 4: Media Finland: stable operational earnings
MEDIA FINLAND Q1 2025 Operational EBIT excl. PPA Stable operational earnings m€ ▪ Net sales amounted to 132m€ (2024: 140) – Advertising sales decreased 12,2 % ▪ TV, print and radio decreased incl. the impact of ending the reselling of certain third-party TV channel advertising in the beginning of 20
Slide 5: Outlook for 2025 (unchanged)
Outlook for 2025 (unchanged) ▪ In 2025, Sanoma expects that the Group’s reported net sales will be 1.28‒1.33bn€ (2024: 1.34) ▪ The Group’s operational EBIT excluding PPA is expected to be 170‒190m€ (2024: 180) ▪ The outlook is based on the following assumptions: – Demand for learning content will be
Slide 6: Financials
6 Financials
Slide 7: Improved operational EBIT driven by Learning
Q1 2025 Operational EBIT excl. PPA Q1 2025 vs. Q1 2024 Improved operational EBIT m€ driven by Learning Learning + Growth in learning content sales in the Netherlands, partially driven by earlier ordering + Increased digital platform sales in Poland -19 + First impacts of Solar visible in cost base -
Slide 8: Income statement items relatively stable
Income statement items Key income statement related items Q1 2025 relatively stable ▪ IACs were -4m€ (2024: 2) and consisted mainly of m€ Q1 2025 Q1 2024 strategic development costs Operational EBIT excl. PPA -18.8 -23.7 – 1m€ of costs related to Solar IACs -3.7 1.5 PPAs -8.8 -9.2 – Q1 2024 included
Slide 9: Continued progress in deleveraging the balance sheet
Continued progress in Net debt m€ deleveraging the balance sheet 3,2 3,3 Long-term ▪ Net debt and leverage significantly lower vs. target 2,9 2,9 <3.0 2,8 2,8 previous year – Net debt / Adj. EBITDA improved to 2.4 2,4 2,4 (2024: 2.9), below the long-term target of < 3.0 2,2 ▪ Equity ratio at 42.7% (
Slide 10: Strong free cash flow improvement
Strong free cash flow Free cash flow m€ improvement 200 ▪ Free cash flow improved to -30m€ (2024: -44) + Positive working capital development in Learning 150 + Higher operational earnings in Learning + Lower financial items 100 ‒ Higher investments in TV programs 50 ➢ Full-year free cash flow expect
Slide 11: Q&A
Q&A
Slide 12: Financial reporting in 2025
Financial reporting in 2025 Half-Year Report 2025 30 July Interim Report Q3 2025 30 October 12 Interim Report Q1 2025
Slide 13: Appendix
[ea Appendix
Slide 14: Sanoma in 2024
Sanoma in 2024 Learning Media Finland Net sales 764m€ Net sales 581m€ NET SALES Non-print 46% Non-print 57% 1,345m€ Margin 19.2% Margin 8.2% NON-PRINT SALES 51% Net sales, m€ Net sales, m€ Netherlands Subscription OPERATIONAL EBIT MARGIN Spain 13.4% Non-print advertising Poland Italy Print advertisi
Slide 15: Unchanged long-term targets in both businesses
Unchanged long-term targets in both businesses… Learning Media Finland 25% 700 20% 800 600 15% 20% 500 10% 600 15% 400 5% 10% 400 300 0% 5% 200 -5% 200 148 147 134 132 96 0% 100 66 70 69 67 74 66 -10% 56 61 76 40 48 0 -5% 0 -15% 2017 2018 2019 2020 2021 2022 2023 2024 2017 2018 2019 2020 2021 2022 2
Slide 16: Good progress towards the Group's ambitious long-term targets
…and good progress towards the Group’s ambitious long-term targets Our key long-term financial and sustainability targets (FY 2024 in brackets) Net debt / Equity Increasing Adj. EBITDA ratio dividend < 3.0 35−45% 40−60% (2.2) (45.0%) of free cash flow (44%, Board’s proposal) Employee Experience Annu
Slide 17: Group: key figures Q1 2025
Group: key figures Q1 2025 Q1 2025 Q1 2024 m€ Q1 2025 Q1 2024 Average number of employees (FTE) 4,594 4,834 Net sales 221.1 220.9 Number of employees at the end of Operational EBITDA 26.0 21.2 4,604 4,817 the period (FTE) margin 11.7% 9.6% Operational EBIT excl. PPA -18.8 -23.7 margin -8.5% -10.7% E
Slide 18: Learning: Quarterly key figures
Learning: Quarterly key figures m€ Q1 25 Q4 24 Q3 24 Q2 24 Q1 24 Net sales 89.1 96.5 395.9 190.6 81.1 Operational EBITDA -0.6 -4.3 178.9 72.2 -5.2 Operational EBIT excl. PPA -24.4 -30.6 155.2 49.8 -27.6 margin -27.4% -31.7% 39.2% 26.1% -34.0% IACs -2.3 -5.9 -42.3 -5.8 -3.4 PPAs -7.3 -7.4 -7.7 -7.7 -
Slide 19: Program Solar mostly completed
Program Solar mostly completed ▪ Program Solar initiatives were mostly completed by the end of Q1 2025 – On track to deliver the 55m€ efficiencies in 2026 – Supports reaching Learning’s long-term profitability target of 23% in 2026 – First impacts were visible in Q1 2025 in free cash flow and cost b
Slide 20: Current view on curriculum renewals in Learning's major operating countries
Current view on curriculum renewals in Learning’s Learning major operating countries content 79% of net sales ▪ Expected development of learning K12 publishing market values in Sanoma’s key in 2024 content sales in 2025−2027 is a operating countries indexed to 2020 function of changes in 150 Poland
Slide 21: Media Finland: Quarterly key figures
Media Finland: Quarterly key figures m€ Q1 25 Q4 24 Q3 24 Q2 24 Q1 24 Net sales 132.1 145.0 144.1 151.9 139.9 Operational EBITDA 28.8 32.7 35.3 34.5 29.9 Operational EBIT excl. PPA 8.1 8.5 17.6 13.7 7.7 margin 6.2% 5.9% 12.2% 9.0% 5.5% IACs 0.2 -3.3 -1.5 -2.5 4.4 PPAs -1.6 -1.6 -1.6 -1.6 -1.6 EBIT 6
Slide 22: Finnish advertising market development
Finnish advertising market development Finnish measured media advertising markets Q1 25 Q4 24 Q3 24 Q2 24 Q1 24 Newspapers -12% -16% -17% -17% -20% Magazines -19% -10% -12% -9% -12% TV -4% -2% 3% 2% 3% Radio -3% -3% -5% 3% -4% Online (excl. search and social media) -2% -2% 3% 4% -2% Total market* -3
Slide 23: Estimated amortisations of acquired intangible assets (PPA) of the Group
Estimated amortisations of acquired intangible assets (PPA) of the Group ▪ Acquired subsidiaries are consolidated using the Estimated amortisations of acquired intangible assets (PPA) 2025−2027 acquisition method, whereby the cost is allocated m€ to the acquired assets and liabilities assumed at the
Slide 24: Group debt portfolio, March 2025
Group debt portfolio, March 2025 External debt structure 1) Maturity profile of external debt m€, 31 March 2025 m€, 31 March 2025 85 100 169 150 100 503m€ 1) 32 269 119 50 2025 2026 2027 150 Term Loan 2022 RCF (fully unused) Term Loan 2022 Social Bond Social Bond Term Loan 2023 Term Loan 2023 Commer
Slide 25: Largest shareholders
Largest shareholders 31 March 2025 Largest shareholders Holding by sector Number of % of Shareholders shares shares 1. Jane and Aatos Erkko Foundation 39,820,286 24.35 3% 13% 2. Holding Manutas Oy 21,870,000 13.37 Private companies 3. Langenskiöld Robin 12,273,371 7.50 17% 4. Seppälä Rafaela 7,654,7
Slide 26: Analyst coverage
Analyst coverage Carnegie Investment Bank Pia Rosqvist-Heinsalmi +358 9 6187 1232 Danske Markets Equities Sami Sarkamies +358 10 546 8468 Inderes Petri Gostowski +358 40 821 5982 Kepler Cheuvreux Kristoffer Carleskär +44 207 621 5149 Nordea Sanna Perälä +358 40 779 0845 OP Corporate Bank Joona Harja
Slide 27: Disclaimer
Disclaimer The information above contains, or may be deemed to contain, forward-looking statements. These statements relate to future events or future financial performance, including, but not limited to, expectations regarding market growth and development as well growth and profitability of Sanoma
Slide 28: Please contact our Investor Relations
Please contact our Investor Relations: Kaisa Uurasmaa, Head of IR & Sustainability +358 40 560 5601 | kaisa.uurasmaa@sanoma.com ir@sanoma.com | www.sanoma.com