Swisscom (SCMN) Q3 2025 earnings summary

Executive summary

• Q3 2025 saw continued operational progress in Switzerland and Italy, with integration of Vodafone Italia proceeding as planned and synergy targets on track.

• Achieved best-in-class service and network quality in Switzerland, winning all major industry tests in 2025.

• Strategic priorities include cementing market leadership in Switzerland, integrating Vodafone Italia, and scaling IT and wholesale businesses.

• Revenue decreased by 2.1% year-over-year to CHF 11,175 million pro forma, with EBITDAAL down 4.8% to CHF 3,777 million, mainly due to currency effects and integration costs.

• Net income fell 23.0% to CHF 988 million, primarily due to acquisition-related costs and higher amortisation from the Vodafone Italia purchase.

Financial highlights

• Group Q3 revenue CHF 3,729 million (-1.8% YoY pro forma); 9M revenue CHF 11,175 million (-2.1% YoY pro forma).

• Q3 EBITDAAL CHF 1,303 million (-3.5% YoY); 9M EBITDAAL CHF 3,777 million (-4.8% YoY pro forma).

• Net income impacted by PPA amortisation and higher interest expense from Vodafone Italia acquisition.

• CapEx declined 7.4% to CHF 2,171 million, with reductions in both Switzerland and Italy.

• Operating free cash flow stable at CHF 1,606 million for 9M 2025.

Outlook and guidance

• Full-year 2025 guidance confirmed: revenue CHF 15.0–15.2 billion, EBITDAAL ~CHF 5.0 billion, CapEx CHF 3.1–3.2 billion, OpFCF CHF 1.8–1.9 billion.

• Dividend proposal of CHF 26/share for 2025, subject to guidance achievement.

• Service revenue decline in Switzerland expected to be about CHF 120 million for the year, slightly above initial guidance.

• In Italy, full-year service revenue decline will exceed CHF 200 million, above the original range, but EBITDA guidance is maintained.