Sanoma Oyj Delivers Solid Q3 2024 Results Amid Strategic Initiatives
Sanoma Oyj has reported a solid third quarter performance for 2024, with significant improvements in operational EBIT and cash flow.
Sammanfattning
Sanoma Oyj's Q3 2024 results demonstrate strong operational EBIT and cash flow improvements, driven by strategic initiatives in Learning and Media Finland. The company shows a robust financial position with a positive outlook for investors.
Sanoma Oyj's Q3 2024 Financial Performance
Sanoma Oyj has released its Q3 2024 interim report, showcasing a solid performance with improved operational EBIT and strong free cash flow. The company has narrowed its outlook for 2024 to the upper end of previous estimates, highlighting confidence in its strategic initiatives.
Key Financial Indicators
| KPI | Q1-Q3 2024 | 2023 | Change |
|---|---|---|---|
| Net Sales (EUR billion) | 1.32-1.34 | 1.4 | -4.3% to -2.1% |
| Operational EBIT excl. PPA (EUR million) | 170-180 | 175 | -2.9% to +2.9% |
| Net Debt / Adjusted EBITDA | <3.0 | --- | Improved |
Analysis of KPIs
The key financial indicators for Sanoma Oyj show a slight decrease in net sales compared to 2023, primarily due to strategic decisions such as discontinuing low-value distribution contracts. However, operational EBIT excluding PPA has shown potential improvement, reflecting effective cost management and strategic growth in key markets.
Strategic Initiatives and Market Performance
Sanoma's Learning segment experienced growth in Poland and the Netherlands, offsetting declines in Spain. The company's Program Solar and tech hub initiatives have supported profitability improvements. In Media Finland, digital subscriptions and advertising sales continue to grow, supported by lower paper costs.
Conclusion and Investor Outlook
Sanoma Oyj's financial performance in Q3 2024 indicates a well-managed transition towards strategic growth and profitability. The company's focus on digital expansion and cost management positions it well for future growth. Investors should consider Sanoma's strong cash flow and strategic initiatives as positive indicators of future performance.
Källa
Sammanfattning
Sanoma Corporation released its interim report for January to September 2024, highlighting a solid third quarter with improved operational EBIT and strong free cash flow. The company has narrowed its 2024 outlook, expecting net sales between EUR 1.32‒1.34 billion and operational EBIT excluding PPA between EUR 170−180 million. In Learning, growth in markets like Poland and the Netherlands offset declines in Spain, and the transition to a new digital platform in Italy was successful. Media Finland saw growth in digital subscriptions and advertising, supported by lower paper and printing costs. Sanoma's balance sheet deleveraging is progressing well, aided by improved free cash flow and the issuance of a EUR 150 million Social Bond. The company also improved its ESG ratings. Sanoma remains focused on increasing profitability, organic growth, and deleveraging its balance sheet through 2026. An analyst and investor conference will discuss these results, with opportunities for media interviews available.