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Swisscom (A1/A) Headline Results Broadly In Line; FCF and CapEx Slightly Weaker

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  • Q1 revenue was ~1% behind company-provided consensus while EBITDAal was ~2% ahead at -1.6% YoY and -0.7% YoY respectively. Swiss revenue declined 2.2% on the back of telco services -2.2% YoY, driven by declines from both residential and business customers.
  • EBITDA leverage looks to be steady at 1.5x. OpFCF of CHF 489mn was down from CHF 546mn and was ~5% behind consensus. CapEx was expected to be flat YoY but rose from CHF 545mn in Q123 to CHF 594mn.
  • FY guidance confirmed. EUR spreads muted.

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