Breaking Down NOS, S.G.P.S., S.A. Financial Health: Key Insights for Investors

From its 1994 origins as PT Multimédia to the 2013 merger that created NOS, SGPS, S.A. and its 2014 Euronext Lisbon listing, NOS has steadily transformed into Portugal's digital backbone, reporting revenues of €1.70 billion in 2024 (up 6.19% year‑on‑year) and expanding to a fiber footprint serving 5.8 million households alongside 99.6% 5G coverage nationwide in 2025; controlled majoritarily by Sonaecom with 37.37% ownership (ZOPT at 26.07% and Mubadala at 5.00%), the Group combines NOS Comunicações, NOS Lusomundo Audiovisuais and NOS Lusomundo Cinemas with wholesale, advertising and data‑center services to monetize mobile, fixed, Pay TV, content licensing, cinema box office and B2B wholesale offerings, and as of December 15, 2025 boasted a market capitalization of €1.94 billion with trailing twelve‑month revenue of €1.78 billion and net income of €253.19 million, underscoring its R&D‑driven mission to lead digital transformation and enhance shareholder flexibility after the April 2025 capital restructuring that reduced nominal share value.

NOS, S.G.P.S., S.A. (NOS.LS): Intro

• 1994 - PT Multimédia is created as a subsidiary of Portugal Telecom, initiating the group's entry into telecommunications and media.
• 2007 - PT Multimédia is spun off from Portugal Telecom to become an independent company.
• 2008 - Rebranded as ZON Multimédia, focusing on pay-TV, broadband and media assets.
• 2013 - ZON Multimédia merges with Sonae's Optimus Telecomunicações; the combined group is named NOS, SGPS, S.A.
• 2014 - NOS, SGPS, S.A. lists on Euronext Lisbon, marking its public-market presence.
• 2024 - Reported revenue: €1.70 billion, a 6.19% increase vs. prior year.
• 2025 - Expanded fiber footprint to 5.8 million households and achieved 99.6% 5G coverage across Portugal.

• Listed company with a mix of institutional investors, strategic shareholders and free float on Euronext Lisbon.
• Governance structure includes a Board of Directors and executive management overseeing telecom, media and content operations.
• Major investor categories: domestic institutional investors, international funds and strategic Portuguese corporate interests.

• Mission: deliver converged telecommunications, premium media and digital services to households and enterprises across Portugal, driven by network investment and content differentiation.
• Strategic priorities: network expansion (fiber and 5G), monetization of premium content, growth in enterprise ICT and maintaining leading customer experience.

• Network infrastructure: builds and operates fixed fiber and mobile networks (including 5G radio access and backhaul).
• Retail services: sells fixed broadband, pay-TV, mobile postpaid/prepaid and bundled packages to consumers.
• Content & media: owns and licenses TV channels, sports rights and on-demand platforms to differentiate pay-TV and advertising offerings.
• Enterprise & wholesale: supplies connectivity, cloud, managed services and wholesale access to other operators.
• Customer-facing platforms: billing, CRM, omnichannel sales, and streaming apps to drive ARPU and churn control.

• Consumer fixed broadband and pay-TV subscriptions (bundles, premium content and set-top services).
• Mobile services: voice, data plans, handsets and value-added services.
• Enterprise services: connectivity, ICT solutions, cloud, cybersecurity and managed services.
• Wholesale access and network leasing to other operators and ISPs.
• Advertising and content monetization from owned channels, OTT platforms and sponsorships.
• Equipment sales and installation (customer premise equipment, routers, set‑top boxes).

• Network CAPEX: sustained investment in fiber roll‑out and 5G densification to drive future ARPU and lower churn.
• Content investment: securing premium broadcast/sports rights and enhancing OTT services to retain and upsell subscribers.
• Operational efficiency: consolidation of platforms, digital self-service and cost optimization to protect margins as competition compresses prices.
• M&A and wholesale partnerships: selectively expand footprint or monetize excess capacity via infrastructure wholesale deals.

• For a deeper investor-oriented profile and ownership details see: Exploring NOS, S.G.P.S., S.A. Investor Profile: Who's Buying and Why?

NOS, S.G.P.S., S.A. - History

• Largest shareholder (as of 20 Mar 2024): Sonaecom, SGPS, S.A. - 37.37%.
• Second-largest: ZOPT, SGPS, S.A. - 26.07%.
• Strategic investor: Mubadala Investment Company - 5.00%.
• Other shareholders (free float, institutions, retail) - 31.56%.

• Telecommunications services: mobile subscriptions, fixed broadband, voice - recurring ARPU-driven revenue.
• Pay-TV and content: subscriptions, advertising and sublicensing.
• Enterprise solutions: B2B connectivity, cloud, IT and managed services.
• Equipment sales and installation: handsets, set-top boxes and CPE with one-time and financing revenues.

• Subscriber growth and ARPU management (upselling bundled services).
• Cost control and network efficiencies (capex optimization, shared infrastructure).
• Monetization of content and ad inventory.
• Capital structure adjustments (e.g., the 2025 nominal value reduction) to increase distributable reserves for returns to shareholders.

NOS, S.G.P.S., S.A. (NOS.LS): Ownership Structure

• Mission and values: Deliver innovative, resilient digital solutions; lead digital transformation across economy and society; be a trusted technology partner.
• Customer & technology focus: Prioritizes technological superiority, advanced connectivity (fixed, mobile, TV, cloud) and excellence in customer experience.
• Operational transformation: Continuous investments in efficiency and adaptability to sustain competitiveness in a demanding market.
• Stakeholder value: Committed to creating value for shareholders, customers and the national technological ecosystem.

• R&D and innovation: Significant R&D spend-roughly €50-70 million/year in recent years-and recognised domestically as the Portuguese organisation with the most patent requests submitted in Europe for two consecutive years.
• Scale and reach: A national footprint across fixed broadband, pay-TV and mobile services, serving several million customers across segments.

• Free float / retail & institutional investors: majority portion of listed capital (commonly the largest single block).
• Institutional investors: diversified global asset managers and Portuguese institutions holding material positions (single-digit to low-double-digit % stakes each).
• Management & treasury: smaller residual stakes aligning management incentives.

• Connectivity services (mobile, fixed broadband) - core recurring revenue and ARPU stability.
• Pay-TV and content - subscription revenue plus advertising and bundled offers to reduce churn.
• Business & IT services - higher-margin enterprise solutions, cloud and managed services.
• Innovation monetisation - R&D and patented technologies enabling new product lines and operational efficiencies.

NOS, S.G.P.S., S.A. (NOS.LS): Mission and Values

• Mission: deliver high‑quality connectivity and differentiated audiovisual content that improve daily life for households, businesses and communities in Portugal.
• Core values: customer focus, innovation, integrity, collaboration and environmental and social responsibility.

• NOS Comunicações, S.A. - retail Pay TV, fixed broadband (fiber), fixed voice and mobile services, bundled offerings for residential and business customers.
• NOS Lusomundo Audiovisuais, S.A. - content distribution, production partnerships and rights management for film and TV programming.
• NOS Lusomundo Cinemas, S.A. - the largest cinema chain in Portugal, operating multiplexes and premium cinema experiences nationwide.
• NOS AUDIO - Sales and Distribution, S.A. - aggregates programming, supplies TV channels and services to operators, and manages advertising inventory in subscription television and cinemas.
• NOS Wholesale, S.A. - wholesales electronic communication services (domestic and international) and provides related ICT services to carriers, MVNOs and enterprises.

• Retail subscriptions: recurring revenue from bundled Pay TV, broadband, fixed voice and mobile plans for residential and business customers.
• Content & advertising: revenue from content licensing, box‑office and cinema concession sales, plus advertising sales across linear and digital channels and in cinemas.
• Wholesale & carrier services: wholesale capacity, international connectivity, roaming and MVNO wholesale contracts, plus ICT/managed services to enterprises.
• Product & service upsell: equipment sales/rentals (set‑top boxes, routers), premium TV packages, on‑demand content and pay‑per‑view events.

• Extensive fixed and mobile infrastructure (broad fiber footprint and near‑nationwide 5G) enabling converged bundles and fixed-mobile substitution strategies.
• Vertical integration in content: ownership/operation of cinemas, content distribution and channel aggregation bolsters monetization of audiovisual assets and advertising inventory.
• Wholesale business provides diversified revenue streams and leverages network assets to serve other operators and enterprises.
• First‑mover technology milestones (5G SA, VoNR) that position NOS for low‑latency services, private networks and advanced B2B applications.

NOS, S.G.P.S., S.A. - How It Works

• Core services: mobile voice & data, fixed telephony, fixed broadband, cable & satellite TV.
• Media & entertainment: cinema operations, film distribution, audiovisual production and licensing.
• Advertising & sales: TV and cinema ad inventory, sponsorships and cross-platform promotions.
• Wholesale & enterprise: carrier wholesale services, MVNO/wholesale access, data center hosting and IT consulting.

• Retail telecommunications: recurring subscription fees from mobile postpaid/prepaid plans, fixed broadband subscriptions (FTTx/cable), pay TV packages and voice lines; one-off device sales and installation fees.
• Cable, satellite & OTT content: subscription and pay-per-view revenue for premium channels, sports packages (notably football rights), and transactional VOD.
• Cinema operations: box office ticket sales, F&B (concessions), premium-format surcharges (IMAX/4DX), and film distribution revenue via NOS Lusomundo Cinemas, S.A.
• Content distribution & licensing: sale and licensing of films and TV series through NOS Lusomundo Audiovisuais, S.A., including home entertainment and licensing to third-party platforms.
• Wholesale services: leased lines, IP transit, interconnection fees, roaming income and carrier services sold to other operators and corporate customers.
• Advertising sales: TV channel ad spots, program sponsorships, cinema advertising and digital ad sales managed by NOS AUDIO - Sales and Distribution, S.A.
• IT, data centers & consulting: colocation, managed hosting, cloud and consultancy services sold to enterprises and public sector clients.

• Subscription ARPU: consumer mobile and fixed ARPU driven by bundled offers (quad-play bundles increase per-customer lifetime value).
• Content paywalls: premium sports and film rights sold as add-ons increase ARPU and lower churn.
• Ad inventory: linear TV and cinema inventory sold in CPM-based blocks; targeted digital ads add yield via addressable inventory.
• Wholesale contracts: multi-year SLAs and capacity leases provide predictable cash flow; roaming and interconnect add incremental revenue.
• Enterprise services: multi-service agreements (connectivity + hosting + managed services) generate higher-margin, recurring revenue.

• Bundling strategy: combining mobile, broadband, TV and fixed voice to increase ARPU and reduce churn; bundles account for the majority of retail revenue.
• Premium sports rights: acquiring exclusive rights for national/international competitions drives subscriber acquisition and upsell to top-tier packages.
• Content exploitation: film distribution and licensing through NOS Lusomundo Audiovisuais monetizes owned content across theatrical, pay-TV and VOD windows.
• Advertising optimization: programmatic and addressable TV ad products increase yield per spot versus traditional linear sales.
• Network wholesale: renting fiber and spectrum to other operators and MVNOs provides steady capacity-utilization revenue streams.

NOS, S.G.P.S., S.A. (NOS.LS): How It Makes Money

• Ownership: publicly listed on Euronext Lisbon with a mix of institutional and retail investors; key strategic shareholders have historically included Portuguese financial institutions and investment funds.
• Strategic focus: expand fiber-to-the-home, lead 5G coverage, monetize content and converge fixed/mobile offerings into bundled services.

• Fixed broadband and voice: subscription fees for FTTH and DSL services; upsells to higher-speed tiers and equipment rental.
• Mobile services: postpaid and prepaid plans, device sales and financing, roaming and data monetization.
• Pay-TV and content: subscription TV packages, on-demand services and advertising from own channels and platforms.
• Wholesale & enterprise solutions: leased lines, cloud/managed services, IoT and B2B connectivity contracts.
• Advertising and media production: ad sales, sponsorships and third‑party distribution of produced content.

• Scale of networks: 5.8M households on fiber supports higher ARPU and lower churn versus copper-based competitors.
• Extensive 5G coverage (99.6% population) enables premium mobile plans, low-latency services (e.g., VoNR), and enterprise 5G use cases.
• Solid profitability: €253.19M net income on €1.78B revenue (P/E 8.02) indicates cash-generation capacity for capex and dividends.
• Growth runway: 7.36% YoY revenue growth driven by fixed-mobile convergence, fiber expansion and digital services monetization.

• Leading market share in Portugal's converged services due to national fiber scale and near‑nationwide 5G.
• Recognitions: technological leadership (first VoNR call in Portugal) and industry awards for 5G coverage and innovation.
• Planned investments: continued capex into fiber densification, 5G capabilities and digital transformation to drive ARPU growth and new enterprise services.
• Valuation context: market cap €1.94B vs. net income €253.19M (P/E 8.02) implies market pricing that factors in steady cash flows and investment-led growth.