Sunrise Communications Ag Class A · SIX:SUNN
Sunrise Communications Ag Class A — Sunrise Communications A — Q4 2024 Earnings Presentation
39 slides from Sunrise Communications Ag Class A's earnings presentation, Feb 28, 2025
Slide 1: Q4 / FY 2024 Financial Results
Q4 / FY 2024 Financial Results 28 February 2025
Slide 2: Disclaimer
Disclaimer No Offer to Sell or Solicit This presentation is not an offer to sell or a solicitation of offers to purchase or subscribe for any securities of Sunrise Communications AG (Sunrise) in any jurisdiction. This document is not a prospectus within the meaning of the Swiss Financial Services Ac
Slide 3: Agenda
Agenda 2024 Highlights 1 André Krause – CEO Commercial Performance 2 André Krause – CEO Infrastructure & 3 Sustainability Developments André Krause – CEO 2024 Financial Results 4 Jany Fruytier – CFO 2025 Financial Outlook 5 Jany Fruytier – CFO Final Remarks 6 André Krause – CEO Questions & Answers A
Slide 4: 2024 Highlights
2024 Highlights Strong New Commercial Excellent Network Test 2024 Financial Guidance Roll-outs and Results and Upgrade to Achieved with Proposed Partnerships 2.5 Gbps Dividend of CHF 3.331 Financial Guidance for 2025 Confirmed with Sustained Customer Successful Listing on SIX Expected Dividend of Gr
Slide 5: Commercial Performance
Commercial Performance Q4 / FY 2024 Results | 28 February 2025 5
Slide 6: Commercial Performance – Consumer | Portfolio innovation for Devices and Entertainment
Commercial Performance – Consumer | Portfolio innovation delivered both for Devices and Entertainment Device-as-a-Service New Sunrise TV Offer • Smart Upgrade launched in 2022 and Flex Upgrade • November 2024 launch of the Sunrise TV Shop to buy and in 2023, offering monthly payment, affordability,
Slide 7: Commercial Performance – Consumer | Black Friday driving high volumes but not value accretive
Commercial Performance – Consumer | Black Friday driving high volumes but not value accretive Black Friday Performance & Learnings • Promotional aggressiveness during 2024 Black Friday on similar level compared to previous year • Successful execution resulting in high volumes for both Main Brand and
Slide 8: Commercial Performance – B2B | Strong new Partnerships in 2024
Commercial Performance – B2B | Strong new Partnerships in 2024, while MNP and IoT gaining traction New Customers Contract Renewals New Innovative Solutions Ente Ospedaliero Cantonale (EOC) decided to implement MPN 5G solution with the integration of the fixed telephony and alarm infrastructure ANYbo
Slide 9: Commercial Results | Sustained commercial momentum reflected in strong net additions
Commercial Results | Sustained commercial momentum reflected in strong net additions 59 48 27 23 29 26 4 33 Strong Inflow Momentum driven by Black Friday volumes in Q4 and a strong Net Postpaid Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 performance in the Enterprise segment4 10 10 5 Additions1 7 5 in k
Slide 10: Infrastructure & Sustainability Developments
Infrastructure & Sustainability Developments Q4 / FY 2024 Results | 28 February 2025 10
Slide 11: Mobile Network | Excellent result in the Connect Mobile Network Test
Mobile Network | Excellent result in the Connect Mobile Network Test1 confirming Sunrise’s high-quality network +5 981 Improved position: Sunrise was able to reduce the 977 973 gap to Swisscom (from 13 to 4 points) and widen the 968 gap to Salt (from 18 to 21 points) vs. previous year 950 952 Winnin
Slide 12: Fixed Network | Continued strong inflow on HFC after 2.5 Gbps upgrade
Fixed Network | Continued strong inflow on HFC after completion of 2.5 Gbps upgrade – future-proof network Share of Own Networks1 HFC & FWA2 in % of total fixed subscriptions 58% • Successful 2.5 Gbps downstream upgrade for HFC completed in 2024 with now 97% availability on our HFC footprint • 2.5 G
Slide 13: Sustainability | Substantial progress on ESG KPIs & high rating performance
Sustainability | Substantial progress on ESG KPIs & high rating performance PEOPLE PLANET CERTIFICATIONS & RATINGS Share of women in Reduction of Scope 1 and 2 External validated near-term leadership accelerated – GHG emissions by 37% GHG reduction targets (SBTi) target on track (2024 to 2022 baseli
Slide 14: 2024 Financial Results
2024 Financial Results Q4 / FY 2024 Results | 28 February 2025 14
Slide 15: Listing on SIX Swiss Exchange | Sunrise re-listed in November 2024
Listing on SIX Swiss Exchange | Sunrise re-listed on the Stock Market in November 2024 52 SUNN Share Price in CHF New Board of 48 Directors (~6%) introduced with 44 narrow trading strong mix of Swiss corridor +~7% 40 nationals and strategic leaders from 36 telecom and media 32 15 Nov 2024 31 Dec 202
Slide 16: Financial Results 2024 | Updated FY 2024 Guidance achieved
Financial Results 2024 | Updated FY 2024 Guidance achieved Q4 2024 FY 2024 FY 2024 Guidance FY 2024 Commentary Slight Revenue decline driven by UPC customer base migration and Revenue 785 3’018 related right-pricing weighing on Main Brand ARPU (especially Fixed), partly YoY Growth (1.3%) (0.6%) Broa
Slide 17: Revenue | FY Revenue development as expected
Revenue | FY Revenue development as expected with headwinds from UPC Migration and ARPU trends Q4 2024 Revenue FY 2024 Revenue in CHFm, YoY Mobile Fixed in CHFm, YoY Mobile Fixed (11) (17) (1.3%) (0.6%) 795 3’035 (9) (19) 3’018 785 3 1 22 8 (55) (19) 1 12 5 20 2 1 Residential B2B & WHS Residential B
Slide 18: Adj. EBITDAaL | Opex spend optimizations overcompensating Revenue decline
Adj. EBITDAaL | Opex spend optimizations overcompensating Revenue decline in FY 2024 Q4 2024 Adj. EBITDAaL FY 2024 Adj. EBITDAaL in CHFm, YoY in CHFm, YoY (2) +7 (0.7%) +0.7% 251 250 1’030 (1) 1’023 (4) 23 18 (26) (52) 14 3 25 4 1 Gross Profit 3 Gross Profit Q4 Residential B2B & Infra & OPEX Leasing
Slide 19: P&E Additions | P&E Additions decreased driven by merger / migration completion
P&E Additions | P&E Additions decreased driven by merger / migration completion P&E Additions In CHFm (70m) 580 576 Cost-to-Capture 538 510 Baseline 2021 2022 2023 2024 Mid-term target % of 19.1% 18.9% 17.7% 16.9% ~15% Revenue - Drivers - Customer premise Product & enablers Well-invested fixed Cost-
Slide 20: Adj. FCF | Lower Capex spend and a strong Q4
Adj. FCF | Lower Capex spend and a strong Q4 leading to Adj. FCF generation as guided Q4 Adj. FCF 2024 FY Adj. FCF 2024 in CHFm, YoY in CHFm, YoY +43 +10 +21% +3% 244 3 (5) 24 28 (23) 363 201 3 2 353 16 7 (2) o/w leases +31 o/w leases (6) Adj. EBITDAaL less PP&E Add.: +15m Adj. EBITDAaL less PP&E Ad
Slide 21: Debt Structure & Leverage | Net Debt leverage reduced to 4.4x
Debt Structure & Leverage | Net Debt leverage reduced to 4.4x by YE 2024, commitment to de-lever further Overview of debt structure and leverage (in CHFm) • Net leverage ratio of 4.4x achieved as of 31 December 2024, 30 Sep 20241 31 Dec 20242 in line with Guidance of 4.5x for FY 2024 • Net debt redu
Slide 22: Dividend FY 2024 | Proposed Dividend of CHF 3.33 per Class A share
Dividend FY 2024 | Proposed Dividend of CHF 3.33 per Class A share, leading to a total payout of ~CHF 240m Proposed Dividend for FY 20241 (subject to AGM approval) Indicative Dividend Timeline Class A Dividend per share CHF 3.33 13.05.2025 Annual General Meeting Sunrise Shares Class B Dividend per s
Slide 23: 2025 Financial Outlook
2025 Financial Outlook Sunrise Q4 / FY 2024 Results | 28 February 2025 23
Slide 24: Refinancing in Q1 2025 | USD 1.3bn sustainability-linked Term Loan
Refinancing in Q1 2025 | Issuance of USD 1.3bn sustainability-linked Term Loan New Term Loan B Overview • New USD 1,300m Term Loan B due 2032 Instrument Sustainability-linked Term Loan B issued in January 2025 to refinance the existing USD Term Loan B due 2029 and partially Amount USD 1,300m refinan
Slide 25: Financial Outlook 2025 | Confirming 2025 Guidance
Financial Outlook 2025 | Confirming 2025 Guidance as per Capital Markets Day (September 2024) 2025 Guidance (IFRS, rebased) • In Q4 2024, Sunrise reached a pre-final tax settlement with the Canton Zurich tax authority, covering fiscal years 2019-2024 and amounting to ~CHF 60m. Most of the cash amoun
Slide 26: Final Remarks
Final Remarks Q4 / FY 2024 Results | 28 February 2025 26
Slide 27: Successful 2024 behind Us… …exciting 2025 ahead
Successful 2024 behind Us… DREAM BIG. DO BIG. Strong New Commercial Sustained Customer Roll-outs and Growth Momentum Partnerships Excellent Network Test Successful Listing on Results and Upgrade to SIX Swiss Exchange 2.5 Gbps 2024 Financial Financial Guidance for Guidance Achieved with 2025 Confirme
Slide 28: Q&A
Q&A Q4 / FY 2024 Results | 28 February 2025 28
Slide 29: Appendix
Appendix Q4 / FY 2024 Results | 28 February 2025 29
Slide 30: Quarterly P&L and Cash Flow
Quarterly P&L and Cash Flow Financials - P&L 2023RB 2024RB CHF millions 2021RB Q122 Q222 Q322 Q422 2022RB Q123 Q223 Q323 Q423 2023RB Q124 Q224 Q324 Q424 2024RB* (H1) (H1) Revenue 3,042.4 760.1 740.4 765.7 775.7 3,041.9 747.4 733.3 1,480.7 759.1 795.4 3,035.2 746.8 737.5 1,484.3 749.0 784.7 3,018.0 G
Slide 31: Quarterly segment split
Quarterly segment split Financials - Revenue split 2023RB 2024RB CHF millions 2021A 2022A Q123 Q223 Q323 Q423 2023RB Q124 Q234 Q324 Q424 2024RB (H1) (H1) Revenue 3,035.7 3,035.2 747.5 733.3 1,480.8 759.0 795.4 3,035.2 746.8 737.5 1,484.3 749.0 784.7 3,018.0 Growth % (0.0%) (1.7%) (1.0%) (0.9%) 2.5%
Slide 32: Quarterly segment split (cont'd)
Quarterly segment split (cont’d) Financials - P&L 2023RB 2023RB 2024RB 2024RB CHF millions 2023RB 2024RB* (Q3) (Q4) (Q3) (Q4) Revenue 759.1 795.4 749.0 784.7 3,035.2 3,018.0 Growth % (1.3%) (1.3%) (0.6%) Residential Customers 564 580 539 554 2,247 2,173 Business Customers & Wholesale 194 207 207 221
Slide 33: Operational KPIs – Customer relationships
Operational KPIs – Customer relationships Customer Relationships 2021 2022 Q123 Q232 2023H1 Q323 Q423 2023H2 2023 Q124 Q224 2024 H1 Q324 Q424 2024H2 2024 Fixed Customer Relationships represent the number of customers who receive at least one of Sunrise’s broadband internet, TV or fixed-line telephon
Slide 34: Operational KPIs – Base RGUs
Operational KPIs – Base RGUs Base RGUs1 2021 2022 Q123 Q232 2023H1 Q323 Q423 2023H2 2023 Q124 Q224 2024 H1 Q324 Q424 2024H2 2024 Internet Subscribers are homes, residential multiple dwelling units or commercial units that receive fixed Broadband Internet broadband internet services over Sunrise’s fi
Slide 35: Operational KPIs – ARPU Residential
Operational KPIs – ARPU Residential ARPU (Residential) 2021 2022 Q123 Q232 2023H1 Q323 Q423 2023H2 2023 Q124 Q224 2024 H1 Q324 Q424 2024H2 2024 Subscription Revenue CHFm 1,956 1,934 469 468 937 486 474 959 1,896 460 459 919 457 446 903 1,821 Fixed CHFm 1,125 1,080 263 260 522 263 258 521 1,043 253 2
Slide 36: Rebase information (1)
Rebase information (1) Rebase Information Rebase results, which are non-IFRS measures, are presented as a basis for assessing growth rates on a comparable basis. Rebase information is provided to show the results of the business without the impact of certain acquisition-related, transaction-related,
Slide 37: Rebase information (2)
Rebase information (2) Rebase Information Rebase results, which are non-IFRS measures, are presented as a basis for assessing growth rates on a comparable basis. Rebase information is provided to show the results of the business without the impact of certain acquisition-related, transaction-related,
Slide 38: Non-IFRS Reconciliations
Non-IFRS Reconciliations Three months ended Three months ended Year ended December 31, 31-Mar-24 30-Jun-24 30-Sep-24 31-Dec-24 31-Mar-23 30-Jun-23 30-Sep-23 31-Dec-23 2024 2023 CHF in millions Adjusted EBITDA and Adjusted EBITDAaL: Adjusted EBITDA and Adjusted EBITDAaL: Net income (loss) (127.2) (73
Slide 39: Contact Information
Contact Information Sunrise Investor Relations Thurgauerstrasse 101B investor.relations@sunrise.net 8152 Glattpark (Opfikon) +41 58 777 61 00 Switzerland Q4 / FY 2024 Results | 28 February 2025
Sunrise Communications A — Q4 2024 Earnings Presentation on 6ix