Digi enters losses in 2025 after skyrocketing its funding and debt | Companies | EUROtoday

Digi Communications, the Romanian mother or father group of the Spanish Digi Spain Telecom, introduced this Monday its preliminary outcomes for fiscal 12 months 2025, a 12 months marked by unprecedented operational development that, nevertheless, has taken its toll on the underside line of its steadiness sheet. The firm has reported a pre-tax lack of 33 million euros, a radical turnaround in comparison with the 530 million revenue the earlier 12 months. This fall doesn’t reply to a weak point within the enterprise, however to the aggressive growth technique in Spain, Portugal and Belgium and the absence of the extraordinary earnings that in 2024 gave air to the accounts after the sale of its fiber community in Spain. The losses have additionally been elevated by an merchandise of 878 million which incorporates the price of inventory possibility plans.

Despite this destructive internet end result, the group has achieved consolidated earnings from providers of two,221 million euros, 15.2% greater than in 2024, primarily pushed by the great efficiency of its Spanish subsidiary. However, the funding effort brought on the debt to skyrocket from 1,375 million on the finish of 2024 to 1,872 million on the finish of 2025. Consequently, monetary bills greater than doubled from 62 to 142 million euros. The funding (capex) was 798 million, consistent with the 885 million spent within the earlier 12 months.

In Spain, Digi has consolidated explosive development, closing the 12 months with figures that mirror its unstoppable rise in clients within the nationwide market, with 10.8 million strains as a complete, 2.39 million greater than in 2024, of which a million have been taken from the competitors as a consequence of portability.

In the cellular section, the operator has gone from 5.86 million clients in 2024 to 7.27 million on the finish of 2025, which represents a rise of 1.4 million cellular strains in simply twelve months. However, intense competitors and the recruitment of tighter profiles have brought on a brand new erosion within the common income per consumer (ARPU), which stands at 7.9 euros in comparison with 8.7 euros the earlier 12 months.

The mounted telephony and broadband enterprise in Spain has additionally proven a sturdy evolution, reaching 3.57 million clients, in comparison with 2.57 million in 2024. Within this class, mounted Internet and knowledge has been the primary driver with 2.58 million customers (a rise from 1.95 million the earlier 12 months), whereas mounted telephony has risen to 815,000 shoppers. As a notable novelty, Digi has begun to monetize its tv providing (Pay TV) in Spain, closing the 12 months with its first 172,000 subscribers, a section that in 2024 was non-existent for the corporate on this nation.

In Spain, Digi has invoiced 929 million euros in 2025 as a complete, which represents a rise of 19% in comparison with the earlier 12 months. The firm has reported “a positive net profit” for its Spanish subsidiary with out specifying the quantity, and reached an Ebitda after leases of 175 million, registering a rise of 15% in comparison with 2024.

The operator has invested a complete of 468 million euros all year long in Spain, 63% greater than in 2024, destined primarily to the execution of its plan to deploy next-generation ultra-fast fiber optic networks, and in addition for the acquisition of cellular telephony spectrum and the implementation of its personal cellular community, whose implementation started on July 1.

Shareholders assembly and IPO

To offset the accounting influence of the losses and keep attractiveness amongst its traders, Digi has introduced a unprecedented measure that might be voted on on the shareholders’ assembly on March 20: the distribution of free shares (bonus shares). By capitalizing reserves, the corporate plans to challenge two new shares for every previous one, in order that the shareholder can have thrice as many shares. With this transfer, Digi seeks to triple its liquidity within the inventory market whereas persevering with its roadmap to develop into a completely consolidated personal community operator (MNO) in southern Europe.

Meanwhile, the corporate continues to grease the equipment for its potential debut on the Spanish inventory market, initially scheduled for spring, with May as a precedence window. The goal of this IPO, coordinated by entities comparable to Rothschild, Santander, Barclays and UBS, is to boost roughly 600 million euros by way of the position of a minority stake. This capital injection is vital for the subsidiary, valued at round 2.5 billion euros, to speed up its technological independence and finance the deployment of its personal state-of-the-art cellular and fiber community, thus decreasing its dependence on third events.

“We continue analyzing opportunities. A public offering (IPO) in Spain represents a good opportunity to value the Spanish subsidiary, or even the group to which it belongs. Therefore, it is probably an option that we consider,” mentioned the CEO of the Digi Communications Group, Serghei Bulgac. However, Bulgac has clarified that, as of immediately, it doesn’t have clear and exact steerage on the timing or calendar of the IPO, and has added that, when they’re prepared, they’ll talk it to the market.