Sonaecom: Sharp Increase in Net Income in Q1, Despite Slight Decline in Direct Results
Sonaecom reported a first quarter of 2026 marked by nearly stable revenue and steady EBITDA. The group's net income significantly increased to 21.5 million euros, up 57.4% year-over-year. However, this growth should be viewed with nuance: it largely reflects the improvement in indirect results, supported by favorable exchange rate effects, while direct results saw a slight decline. Free cash flow was also negative for the period.
Stable Revenue and Unchanged EBITDA
Consolidated revenue stood at 3.9 million euros in the first quarter of 2026, up 0.7% year-over-year. EBITDA remained stable at 16.9 million euros, with the group indicating that a weaker underlying operational contribution was offset by the positive performance of investments accounted for using the equity method.
Slight Decline in Direct Results
Direct results amounted to 18.5 million euros, compared to 18.6 million euros a year earlier, representing a decline of 0.6%. The underlying EBITDA from fully consolidated activities was -3.0 million euros, compared to -2.8 million euros in the first quarter of 2025.
Indirect Results Support Net Income
The main driver of the net income growth lies in the indirect results, which shifted from -5.0 million euros in the first quarter of 2025 to +3.0 million euros in the first quarter of 2026. Sonaecom attributes this favorable change primarily to positive exchange rate effects during the period, contrasting with the unfavorable effects recorded a year earlier, which had impacted the valuation of Bright Pixel portfolio assets.
