NOS, SGPS, S.A. informs on: First Quarter 2025 Consolidated Report and Accounts

REPORT AND ACCOUNTS

Report and Accounts 1Q25

1. MANAGEMENT REPORT

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   Índex

2. INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

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Governing Bodies

Management Report

At the date of this report the Governing Bodies were made up as follows:

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Message from Miguel Almeida, CEO

A Solid Start to a New Cycle

2025 kicked-off with the completion of the acquisition of Claranet Portugal, a decisive step in establishing NOS as the preferred partner for the digital transformation of businesses in Portugal. This transaction strengthens our value proposition in the corporate segment, leveraging our technological assets and technical expertise, and expanding our presence in the ICT market.

NOS was also recognised for its commitment to innovation, one of the strategic pillars of our activity, leading the number of Portuguese patent applications submitted in Europe for the second consecutive year. A total of 22 applications were submitted, focusing on critical areas such as voice-based Artificial Intelligence and accessibility, cybersecurity, the metaverse and blockchain. This performance consolidates our role as the Portuguese company that invests the most in R&D and reinforces our commitment to the national innovation ecosystem.

In the technology field, we maintain leadership in 5G with the launch of 5G+ (standalone) services and the execution of the first VoNR (Voice over New Radio) call in Portugal - a milestone that paves the way for even more advanced connectivity experiences, with greater clarity, lower latency and more sustainable. We are also demonstrating that technology can and should serve people. In partnership with Loulé City Council, we launched a social project using our 5G network to monitor elderly people living in isolation, promoting inclusion and social cohesion through innovation.

We continued to grow in the telecommunications segment, in a demanding competitive environment, supported by our technological superiority and the excellence of the experience we offer our customers, increasing our turnover by 4.5%. At the same time, operational transformation continues, with a focus on initiatives aimed at generating relevant and sustainable efficiencies.

We remain ambitious in leading a new market cycle, driven by innovation, financial discipline and a clear vision for the future. We are ready to continue creating value for all our stakeholders and for the country.

Highlights of Q1 2025 results

• Consolidated revenue grew by 4.5%, with a positive performance in the Telecommunications Business segment of 4.6% and in the Audiovisual and Cinema business of 1.5%;

• Consolidated EBITDA increased by 4.3%, with a slight EBITDA margin compression of 0.1pp to 45.6%, due

  to the increase in low-margin resale revenue;

  Management Report

• Recurring FCF grew by 9.9% to a total of 64.9 million euros, supported by the structural growth of EBITDA AL - CAPEX of 12.2% to 71.1 million euros.

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