Swisscom (SCMN) Q4 2025 earnings summary

Executive summary

• Achieved strong operational and financial results in Switzerland and Italy, with successful integration of Vodafone Italia and Fastweb, realization of synergies ahead of plan, and organizational streamlining.

• Implemented a new group-wide sustainability strategy, confirmed an 18% dividend increase to CHF 26 per share, and maintained a sector-leading A2 credit rating.

• Maintained #1 customer choice and reinforced brand positioning in Switzerland, with advanced IT growth and service leadership.

• Annual profit for 2025 was CHF 180 million, a significant decrease from CHF 3,003 million in 2024.

• The Swiss Confederation maintained its 51% majority shareholding as of year-end 2025.

Financial highlights

• Group revenue was CHF 15,048 million, down CHF 310 million year-over-year, mainly due to currency effects and lower telco service revenues.

• EBITDA/EBITDAAL reached CHF 4.9–4.984 billion, down slightly year-over-year.

• Free Cash Flow remained stable at CHF 1.4–1.92 billion, with both Switzerland and Italy contributing.

• Net income declined by CHF 271 million, mainly due to PPA depreciation and added interest expense from the Vodafone acquisition; annual profit dropped to CHF 180 million.

• CapEx at group level was CHF 51 million below prior year, with CHF 500 million invested in Swiss fiber rollout.

Outlook and guidance

• 2026 group revenue guidance: CHF 14.7–14.9 billion; EBITDA/EBITDAAL: CHF 5.0–5.15 billion; CapEx: CHF 3.0–3.1 billion; Free Cash Flow: CHF 2 billion.

• Dividend guidance for 2026 is CHF 27 per share, up from CHF 26.

• Switzerland: revenue expected to decline by CHF 100 million, EBITDA slightly down, CapEx and Free Cash Flow stable.

• Italy: revenue expected to decline by CHF 150 million, offset by IT, wholesale, and energy growth; EBITDA up CHF 100–200 million due to synergies.

• The Board of Directors approved the financial statements on 11 February 2026; the AGM for approval is scheduled for 25 March 2026.