EuroTeleSites (ETS) Q1 2025 earnings summary

Executive summary

• Achieved 5.9% year-over-year revenue growth in Q1 2025, reaching EUR 67.7 million, driven by portfolio expansion, new tenants, and indexation.

• Constructed 36 new sites (14 Greenfield, 22 Rooftop) and onboarded 24 third-party tenants across six countries.

• Strong rollout of new sites and high tenancy development, especially on new sites.

• CAPEX focused on mandatory upgrades and new site construction, totaling EUR 12.3 million.

• Received first Build-to-Suit orders from non-anchor mobile operators, marking a milestone in market recognition.

Financial highlights

• Q1 2025 revenues reached EUR 67.7 million, up from EUR 63.9 million in Q1 2024 (+5.9% year-over-year).

• EBITDA rose 9.5% to EUR 59.6 million with an 88.0% margin; EBITDA after lease (EBITDAaL) up 11.3% to EUR 40.2 million with a 59.5% margin.

• Net result for Q1 2025 was EUR 9.2 million, up from EUR 6.7 million in Q4 2024 and EUR 7.9 million in Q1 2024.

• Cash flow from operations minus CAPEX was EUR 30.9 million in Q1 2025.

• Cost of service declined significantly, reflecting normalization after previous one-offs.

Outlook and guidance

• 2025 revenue growth expected at approximately 4%, with CAPEX at around 20% of revenues and all other parameters unchanged.

• Confident in meeting rollout targets for 2025, continuing operational implementation as planned.

• Optimistic outlook driven by ongoing demand for digital connectivity and technology adoption (5G, IoT, AI, cloud).

• Focus on cost efficiency, innovation, and maintaining investment grade ratings.

• No dividend commitment in near term to reach leverage target of ~5x (from FY24: 6.2x).