Sanoma (SAA1V) Investor presentation summary

Financial performance and outlook

• Net sales for 2025 were €1,303m, down 3% due to planned discontinuation of low-value distribution contracts and lower advertising sales.

• Adjusted operating profit improved to €188m with a margin of 14.4%, and free cash flow rose to €160m.

• Dividend proposal of €0.42 per share, representing 43% of free cash flow, to be paid in three instalments.

• Net debt/adjusted EBITDA improved to 1.8, reflecting significant deleveraging.

• 2026 outlook expects net sales of €1.29–1.34bn and adjusted operating profit of €205–225m, with a step change in profit growth projected for 2026–2030.

Segment highlights

• Learning segment net sales were €746m, with a 20.4% adjusted operating profit margin; growth in content sales offset lower distribution.

• Media Finland net sales were €557m, with an 8.8% adjusted operating profit margin; digital subscriptions grew, offsetting declines in print and TV advertising.

• Learning margin expected to rise above 23% in 2026, driven by curriculum renewals and digitalisation.

• Media Finland anticipates incremental advertising sales from the gambling market opening in 2027.

Strategic growth drivers

• Focus on K12 learning content, leveraging curriculum renewal cycles and blended learning formats.

• AI integration enhances personalised learning, teacher support, and operational efficiency.

• M&A opportunities targeted in K12 learning to enter new markets and expand offerings.

• Media Finland’s digital transformation and new gambling market expected to drive future growth.