Summary

Group revenue remained virtually stable year-on-year at CHF 5,454 million (+0.1%). Operating income before depreciation and amortisation (EBITDA) fell by 1.0% to CHF 2,279 million. The reported revenue and EBITDA development was influenced by the performance of the euro (EUR) as a result of the substantial share attributable to the Italian subsidiary Fastweb. The EUR average exchange rate fell by 2.9% in the first half of 2024 compared to the same period of the previous year. This resulted in negative exchange differences on Group revenue of CHF 38 million and on EBITDA of CHF 12 million. Based on a constant EUR exchange rate, revenue in the first half of 2024 rose by 0.8% or CHF 42 million. Swisscom Switzerland’s revenue fell by 1.4%. Fastweb achieved an increase in revenue of 7.1% (in EUR).

EBITDA development was influenced not only by currency effects, but also by non-recurring items related to litigation in the amount of CHF 24 million (CHF –3 million in the previous year). On the other hand, non-recurring costs of CHF 13 million, which had an impact on EBITDA, were incurred in connection with preparations for the takeover of Vodafone Italia. Without these non-recurring items and with a constant EUR exchange rate, this resulted in a drop in EBITDA of CHF 26 million (–1.1%). CHF 43 million (–2.3%) of this drop is attributable to Swisscom Switzerland. Fastweb, on the other hand, reported an increase of CHF 6 million (+1.5%). Consolidated net income fell slightly by 1.4% year-on-year to total CHF 836 million. The lower operating income was offset by lower tax expense.

The Group’s capital expenditure rose by 4.0% in a year-on-year comparison to CHF 1,157 million. Capital expenditure in the Swiss core business rose by 5.4%, and by 3.4% at Fastweb (in EUR). Operating free cash flow fell by CHF 70 million or 6.7% year-on-year to CHF 977 million due to lower EBITDA and increased capital expenditure. Free cash flow declined by CHF 109 million year-on-year to CHF 353 million, due to the drop in operating free cash flow and the deterioration in net working capital. Net debt decreased by 2.3% to CHF 7,919 million year-on-year. The number of Swisscom employees increased by 2.3% to 19,936 FTEs. In Switzerland, headcount increased by 0.7% to 16,044 FTEs as a result of company acquisitions.

The financial outlook for the 2024 financial year remains unchanged. Swisscom expects revenue of around CHF 11.0 bil­lion, EBITDA of CHF 4.5–4.6 bil­lion and capital expenditure of around CHF 2.3 bil­lion. Subject to achieving its targets, Swisscom plans to propose payment of an unchanged attractive dividend of CHF 22 per share for the 2024 financial year at the 2025 Annual General Meeting.