Sýn (SYN) Q2 2025 earnings summary

Executive summary

• Revenue for H1 2025 was ISK 10,577 million, with a net loss of ISK 518 million compared to a loss of ISK 339 million in H1 2024.

• Q2 2025 revenue increased by 1.4% year-over-year to ISK 5,357 million, with growth in media, internet, and mobile services by 3.4%.

• Core business segments showed revenue growth from telecom and TV subscriptions, but overall revenue declined due to lower IoT and advertising sales.

• Major brand consolidation in June 2025 merged Vodafone, Stöð 2, and related brands under Sýn.

• Subsidiary mergers and a planned network asset transfer to Sendafélagið are expected to improve efficiency and reduce debt.

Financial highlights

• EBITDAAL for H1 2025 was ISK 1,297 million, down 12.6% from H1 2024; EBITDA for H1 2025 was ISK 1,927 million, down from ISK 2,115 million.

• EBIT for H1 2025 was negative ISK 74 million, compared to positive ISK 110 million last year.

• Free cash flow for H1 2025 was ISK 838 million, a significant improvement from negative ISK 415 million in H1 2024.

• Investments in H1 2025 totaled ISK 1,103 million, significantly lower than ISK 2,108 million in H1 2024.

• Net interest-bearing debt (excluding lease liabilities) was ISK 6,216 million at June 30, 2025.

Outlook and guidance

• Updated 2025 guidance expects EBITDAAL of ISK 4.0–4.2 billion and investments of ISK 3.3–3.5 billion.

• Ongoing growth in core telecom and media subscriptions is expected to support future revenue.

• The planned sale of mobile network assets is projected to reduce annual investments by ISK 200 million and debt by ISK 960 million.

• Second half expected to see full impact of rebranding and English Premier League rights.

• Uncertainty remains regarding inflation, interest rates, and regulatory decisions.