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Sonaecom SGPS
Earnings Release • Nov 28, 2024
1921_10-q_2024-11-28_cbe546c6-8261-4a8d-838d-a78a8448e18e.pdf
Earnings Release
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RESULTS REPORT 9M24
1
TABLES of contents
| I – MANAGEMENT REPORT | II – FINANCIAL STATEMENTS | ||||
|---|---|---|---|---|---|
| Main highlights | Condensed consolidated financial statements | ||||
| Consolidated results | Notes to the condensed consolidated financial statements | ||||
| Consolidated Balance Sheet | |||||
| Consolidated P&L | |||||
| Consolidated FCF | |||||
| Portfolio Information | |||||
I – MANAGEMENT REPORT
The consolidated financial information disclosed in this report is based on unaudited financial statements, prepared in accordance with the International Financial Reporting Standards (IAS/IFRS), issued by the International Accounting Standards Board (IASB), as adopted by the European Union.
Main Highlights
Key Performance Indicators
Direct Results reached €66.8m in 9M24 with a significantly higher contribution from NOS compared to 9M23.
Net Income (group share) reached €61.7m in 9M24.
NAV of Bright Pixel's active portfolio increased to €343m.
Capital Structure remains robust with a Net Cash position of €166.9m.
Consolidated Results
Key data
| €m | 3Q23R | 3Q24 | yoy | 9M23R | 9M24 | yoy |
|---|---|---|---|---|---|---|
| Turnover | 4.2 | 4.1 | (1.5)% | 13.4 | 13.2 | (1.2)% |
| EBITDA | 17.2 | 14.3 | (17.0)% | 32.9 | 61.6 | 87.5% |
| o.w. Equity method(1) | 20.0 | 17.5 | (12.4)% | 39.6 | 70.2 | 77.3% |
| Direct Results | 19.5 | 15.9 | (18.7)% | 38.4 | 66.8 | 73.9% |
| Indirect Results(2) | (0.1) | (1.5) | - | (5.0) | (3.3) | 34.3% |
| Net Income Group | 19.5 | 12.5 | (36.0)% | 33.6 | 61.7 | 83.4% |
| Share Net Debt / (Cash) |
(158.1) | (166.9) | (5.5)% | (158.1) | (166.9) | (5.5)% |
R - Restated: According with IFRS3, the "purchase price allocation" of the additional 11.3% stake in NOS acquired in July'23 was reviewed in 4Q23 and the equity method recorded in 3Q23 was restated.
(1) Includes the 50% holding in Unipress, the 50% holding in SIRS and the 37.37% holding in NOS;
(2) Includes equity method, and fair value adjustments related with ZAP, AVP funds and other minority stakes, net of taxes.
Consolidated Turnover reached €13.2m in 9M24 (€4.1m in 3Q24 ), slightly below 2023, and despite the positive contribution from Media business.
EBITDA reached €61.6m in 9M24 (€14.3m in the 3Q24), significantly above 9M23, driven by the positive evolution from equity method contributions.
Equity method contributions increased from €39.6m to €70.2m in 9M24 (despite the decrease from €20.0m in 3Q23 to €17.5m in the 3Q24) fuelled by a higher stake in NOS when compared to last year (currently 37.37% versus 26.07% until July 23), its nonrecurrent income related with the capital gain of €31m from the sale of a small portfolio of towers concluded in 2Q24, and its non-recurrent income related to a favourable court ruling regarding ANACOM activity fees in 1Q24.
Direct Results increased to €66.8m in 9M24 (€15.9m in 3Q24), from €38.4m in 9M23, driven by the higher EBITDA level.
Indirect Results, were negative by €3.3m in 9M24 (negative by €1.5m in 3Q24), explained by some fair value adjustments on Bright Pixel's portfolio and the negative impact from the exchange rate evolution. The indirect results in 9M23 were also driven by some fair value adjustments that were partially offset by some positive impacts of exchange rate evolutions.
Net income group share stood at €61.7m (€12.5m in the 3Q24), above the €33.6m presented in 9M23, driven by both direct and indirect results evolution.
The net cash position stood at €166.9m at the end of 9M4, €28.6m above YE23. This performance was driven by (i) the €4.3m cash in from the sale of Reblaze at the end of 2023 and deferred prices (Bright Pixel's portfolio companies); (ii) the €67.4m of dividends received from NOS; (iii) the €21.4m dividend paid; (iv) the €8.3m of investments in Bright Pixel's portfolio; and (v) the negative operating cash-flow, financial activity and taxes amounting to €13.2m.
Consolidated Balance Sheet
| €m | 30.09.2023 R | 30.06.2024 | 30.09.2024 |
|---|---|---|---|
| Total Net Assets | 1,379.6 | 1,402.4 | 1,411.3 |
| Non Current Assets | 1,188.9 | 1,194.0 | 1,213.0 |
| Tangible and Intangible Assets and Rights of Use |
7.5 | 6.1 | 6.2 |
| Goodwill | 1.2 | 1.2 | 1.2 |
| Investments | 1,164.7 | 1,167.5 | 1,183.9 |
| Deferred Tax Assets | 10.0 | 10.7 | 10.1 |
| Others | 5.4 | 8.7 | 11.6 |
| Current Assets | 190.7 | 208.3 | 198.3 |
| Trade Receivables | 3.6 | 4.0 | 3.2 |
| Liquidity | 164.1 | 182.1 | 171.9 |
| Others | 23.0 | 22.2 | 23.2 |
| Shareholders' Funds | 1,321.4 | 1,351.5 | 1,362.0 |
| Group Share | 1,304.3 | 1,335.5 | 1,344.0 |
| Non-Controlling Interests | 17.1 | 16.0 | 18.0 |
| Total Liabilities | 58.2 | 50.9 | 49.3 |
| Non Current Liabilities | 39.7 | 39.4 | 38.0 |
| Provisions | 0.3 | 0.4 | 0.3 |
| Others | 39.4 | 39.0 | 37.7 |
| Current Liabilities | 18.5 | 11.5 | 11.3 |
| Trade Payables | 1.9 | 1.2 | 1.6 |
| Others | 16.6 | 10.3 | 9.7 |
| Operating CAPEX(1) | 1.4 | 0.9 | 1.5 |
| Operating CAPEX as % of Turnover | 10.5% | 10.1% | 11.7% |
| Total CAPEX | 248.3 | 2.0 | 10.7 |
| Underlying EBITDA - Operating CAPEX | (7.9) | (6.0) | (9.8) |
| Gross Debt | 6.0 | 5.2 | 5.0 |
| Net Debt | (158.1) | (176.9) | (166.9) |
R - Restated: According with IFRS3, the "purchase price allocation" of the additional 11.3% stake in NOS acquired in July'23 was reviewed in 4Q23 and the equity method recorded in 3Q23 was restated.
(1) Operating CAPEX excludes Financial Investments.
Consolidated Income Statement
| €m | 3Q23R 3Q24 | yoy | 9M23R 9M24 | yoy | ||
|---|---|---|---|---|---|---|
| Turnover | 4.2 | 4.1 | (1.5)% | 13.4 | 13.2 | (1.2)% |
| EBITDA | 17.2 | 14.3 | (17.0)% | 32.9 | 61.6 | 87.5% |
| Underlying EBITDA(1) | (2.7) | (3.2) | (16.0)% | (6.5) | (8.3) | (28.2)% |
| Non recurrent itens | (0.1) | (0.1) | (19.3)% | (0.3) | (0.3) | (0.9)% |
| Equity method(2) | 20.0 | 17.5 | (12.4)% | 39.6 | 70.2 | 77.3% |
| Depreciation & Amortization | 0.6 | 0.5 | (19.1)% | 1.7 | 1.4 | (17.9)% |
| EBIT | 16.6 | 13.8 | (17.0)% | 31.2 | 60.2 | 93.2% |
| Net Financial Results | 2.0 | 1.5 | (25.1)% | 6.3 | 5.0 | (21.7)% |
| EBT | 18.6 | 15.3 | (17.8)% | 37.5 | 65.2 | 73.8% |
| Tax results | 0.9 | 0.6 | (35.1)% | 0.9 | 1.6 | 80.8% |
| Direct Results | 19.5 | 15.9 | (18.7)% | 38.4 | 66.8 | 73.9% |
| Indirect Results(3) | (0.1) | (1.5) | - | (5.0) | (3.3) | 34.3% |
| Net Income | 19.4 | 14.4 | (25.7)% | 33.4 | 63.5 | 90.1% |
| Group Share | 19.5 | 12.5 | (36.0)% | 33.6 | 61.7 | 83.4% |
| Attributable to Non Controlling Interests |
(0.1) | 2.0 | - | (0.2) | 1.8 | - |
R - R - Restated: According with IFRS3, the "purchase price allocation" of the additional 11.3% stake in NOS acquired in July'23 was reviewed in 4Q23 and the equity method recorded in 3Q23 was restated.
(1) Includes the businesses fully consolidated by Sonaecom;
(2) Includes the 50% holding in Unipress, the 50% holding in SIRS and the 37.37% holding in NOS;
(3) Includes equity method and fair value adjustments related with ZAP, AVP funds and other minority stakes, net of taxes.
Consolidated Free Cash Flow
| €m | 3Q23 | 3Q24 | yoy | 9M23 | 9M24 | yoy |
|---|---|---|---|---|---|---|
| Underlying EBITDA Operating CAPEX |
(3.1) | (3.8) | (21.0)% | (7.9) | (9.8) | (25.0)% |
| Change in WC & Others | (4.1) | (0.4) | - | (5.6) | (10.7) | - |
| Operating Cash Flow | (7.2) | (4.2) | 42.0% | (13.4) | (20.5) | (52.9)% |
| Investments | (212.7) | (8.3) | 96.1% | (244.9) | (4.0) | 98.4% |
| Dividends and other reserves distribution |
- | - | - | 43.3 | 67.4 | 55.6% |
| Financial results | 1.9 | 1.4 | (28.2)% | 6.1 | 4.6 | (24.8)% |
| Income taxes | 2.2 | 1.2 | (44.0)% | 1.7 | 2.7 | 58.9% |
| FCF(1) | (215.9) | (9.9) | 95.4% | (207.2) | 50.1 | - |
(1) FCF Levered after Financial Expenses but before Capital Flows and Financing related up-front Costs.
NOS
NOS reported its 3Q24 results to the market on October 30th, showing another quarter with a consistent and solid performance leveraged by robust performance in core Telco & IT business and strong operational performance in the cinema exhibition and audiovisuals area. Further details can be found at the company website.
NOS equity method contribution to Sonaecom's consolidated accounts reached €70.2m in 9M24 (€17.5m in 3Q24), significantly above the €39.6m registered in 9M23, fuelled by the reinforcement in NOS stake, the improvement in its operational performance, the capital gain of €31m from the sale of a small portfolio of towers, and the non-recurrent income related to a favourable court ruling regarding ANACOM activity fees in 1Q24. Moreover, NOS paid, in May, €0.35 per share relating to 2023 results (26% above last year's ordinary dividend), totalling €67.4m cash-in for Sonaecom.
Bright Pixel
Bright Pixel continued to diligently execute its investment strategy and enhancing the value of existing investments, which currently comprise a global portfolio of more than 40 active companies across cybersecurity, retail technologies and infrastructure software.
During 3Q24, Bright Pixel expanded its portfolio, investing in Tamnoon, a new company in the cybersecurity segment, and reinforcing the investment in the existing portfolio.
NAV and Cash Invested in the active portfolio stood at €343m and €186m, respectively, reflecting a potential cash-on-cash of 1.85x on the existing portfolio.
Bright Pixel Portfolio information
(Non-exhaustive)
CIBERSECURITY
Arctic Wolf, a US based company, is a global pioneer in the SOC-as-a-Service market with cutting-edge managed detection and response (MDR), which provides a unique combination of technology and services for clients to quickly detect and contain threats. Bright Pixel, jointly with US technology investors Lightspeed Venture Partners and Redpoint, entered in the company's cap table in 2017 in a series B round. Since then, the Company closed a \$45m series C round in 2018, a \$60m series D round at the end of 2019, a \$200m series E round in October 2020 funding at a valuation of \$1.3bn and, in 2021, a \$150m, held by existing and new investors, at an underlying valuation of \$4.3bn.
Cybersixgill, is a market leader in deep and dark web cyber threat intelligence. The company helps Fortune 500 companies, financial institutions, governments, and law enforcement agencies protect their finances, networks and reputations from cyberthreats that lurk in the deep, dark and surface webs. The advanced cyber threat intelligence platform automates all phases of the intelligence cycle — collection, analysis and dissemination of data — providing organizations with unparalleled information and actionable insights to protect their various assets in the ever-evolving cyber threatscape. Bright Pixel co-led its series B \$15m round and participated in its new \$35m round raised in 2022 led by More Provident and Pension Funds and REV Venture Partners.
IriusRisk, (previously named Continuum Security) is a Spanish based company with an application security platform to address vulnerabilities early in the development process. In order to realise their international growth plans, the company has raised an investment round of €1.5m, which was led by Swanlaab Venture Factory and joined by JME Venture Capital and Bright Pixel. In September 2020, the company raised a series A round of \$6.7m participated by Paladin, 360 CP, Swanlaab, JME Venture Capital and Bright Pixel. In August 2022, IriusRisk raised a series B round of \$28.7m led by Paladin Capital Group with the participation from existing investors Bright Pixel, Swanlaab Venture Factory, 360 Capital and Inveready.
Jscrambler, is a Portuguese startup that develops a security solution to protect Web and Mobile Applications (Javascript code). In 2018, the company raised a \$2.3m in a financing round that was led by Bright Pixel with the co-investment of Portugal Ventures. In 2021, the Company raised €10m in a series A with the participation of Ace Capital Partners.
Probe.ly, having started as an internal project of Bright Pixel, won the Caixa Capital Empreender Award 2017, has stepped from MVP (Minimum Valuable Product) to an independent Web Application Security startup. In June 2022, the company raised a series A round of €7.7m co-led by Iberis Capital and Semapa Next and with the participation of Bright Pixel, TIIN Capital | Dutch Security Tech Fund, Caixa Capital, Portugal Ventures and EDP Ventures.
Deepfence, is a leading US-based cloud-native workload protection platform that aims to provide a unified security platform for kubernetes, virtual machines and serverless workloads. Deepfence ensures business continuity in the face of persistent threats by detecting and disrupting sophisticated attacks targeting cloud-native technologies, the "glue" that keeps the current world connected. Deepfence raised \$9.5m in series A financing led by AllegisCyber, with participation from Bright Pixel, and existing investor Chiratae Ventures.
Safebreach, pioneer in the Breach and Attack Simulation (BAS) market, is the world's most widely used continuous security validation platform. The patented platform automatically and safely executes thousands of attack methods to validate network, endpoint, cloud, container and email security controls against its Hacker's Playbook™, the world's largest collection of attack data broken down by methods, tactics and threat actors. SafeBreach raised \$53.5m in series D funding, led by Bright Pixel and Israel Growth Partners (IGP), with additional participation from Sands Capital, Bank Leumi and ServiceNow.
Hackuity, is a risk-based vulnerability management solution that empowers cybersecurity teams and leaders to comprehensively collect, prioritize, and remediate security weaknesses before they can be exploited by their adversaries. Hackuity raised a €12m funding round, led by Bright Pixel with the participation of previous investor Caisse des Dépôts.
PicNic, is the creator of the industry's first automated enterprise-wide human attack surface management platform. Energy Impact Partners and Bright Pixel, with continued participation from existing investors Crosslink Capital and Rally Ventures, led the extension of its series A funding in 1Q23.
Sekoia.io, is the European cybertech company that develops the Sekoia.io XDR (eXtended Detection & Response) platform for real-time detection of cyberattacks. The company has raised €35m, in 2023, in a series A financing round from Banque des Territoires, Bright Pixel and its historical investors Omnes Capital, Seventure and BNP Paribas Développement.
Vicarius, is a SaaS platform that consolidates vulnerability discovery, prioritization, and remediation in a single solution. In 2023, the company raised a \$30 million series B led by Bright Pixel and participated by AllegisCyber Capital, AlleyCorp, and Strait.
Tamnoon, is the first and only human-AI managed service developed from the ground up specifically for cloud security remediation. In September 2024, raised \$12m in a series A round led by Bright Pixel with participation by new investors Blu Ventures and Mindset Ventures as well as existing investors Merlin Ventures, Secret Chord Ventures, Inner Loop Capital, and Elron Ventures.
RETAIL TECH
InovRetail, is a retail innovation company that provides data science solutions and digital tools that deliver quantifiable insights and actionable recommendations with direct and sustainable impact on retailer's key metrics. The company's main product is Seeplus, an Order Delivery System designed to maximise efficiency and boost customer satisfaction. It expertly handles orders from inception to delivery, optimising tracking and reducing delays to provide an unparalleled shopping experience.
Ometria, is a London based AI powered customer marketing platform with the vision to become the central hub that powers all the communication between retailers and their customers. This investment was done by Bright Pixel in the series A round, alongside several strategic investors (including Summit Action, the US VC fund of the Summit Series) and was reinforced during series B and C rounds.
Visenze, is a Singapore-based company that delivers intelligent image recognition solutions that shorten the path to action as consumers search and discover on the visual web. Retailers use ViSenze to convert images into immediate product search opportunities, improving conversion rates. Media companies use ViSenze to turn any image or video into an engagement opportunity, driving incremental revenue. Bright Pixel co-led, with Gobi Partners, a \$20m series C round to enable the artificial intelligence company to further invest in its penetration among smartphone manufacturers, as well as with consumer and social communication applications.
Nextail, is a Spanish company that has developed a cloud-based platform that combines artificial intelligence and prescriptive analytics to upgrade retailers' inventory management processes and store operations. The company raised a \$10m series A round led by London and Amsterdam based venture capital firm KEEN Venture Partners LLP ("KEEN"), together with Bright Pixel and existing investor Nauta Capital. The new financing was to be used to accelerate product development and double the size of the team, as it grows internationally.
Sales Layer, is a Spanish based company with a cloud-based Product Information Management (PIM) platform, helping brands and retailers to transform their catalogs into a digital, enriched and multichannel control center. Bright Pixel led its series A round and recently participated in its series B round.
Sellforte, based in Helsinki, Finland, is a SaaS platform for Retailers, Brands and Telcos, which uses proprietary data science and AI to measure the effectiveness of online and offline marketing investments.
Citcon, is a US-based leading mobile wallet payment provider with a fintech platform that enables seamless global commerce at scale by connecting the world's businesses with more than 100+ mobile wallets, local and alternative payment methods. Citcon raised \$30m in series C financing led by Norwest Venture Partners and Cota Capital with the participation of Bright Pixel and Sierra Venture.
Experify, is the first platform to enable a truly authentic product review experience by connecting prospective buyers with purchasers. Experify raised \$4m seed round, led by Vertex Ventures US, with the participation of Bright Pixel and the Berkeley SkyDeck Fund.
Afresh, is a US-based leading AI-powered fresh food technology provider. Afresh's AIpowered solutions optimize critical functions in fresh food, including ordering, inventory, merchandising, and operations. Afresh significantly reduces food waste, improves its partners' profitability, and makes fresher, healthier food more accessible to all. Afresh announced a \$115m series B funding round led by Spark Capital and with participation from Insight Partners, VMG Partners, and Bright Pixel.
Chord, is a US based company with a Platform as a Service that offers commerce businesses technology and data products that help enhance their businesses by giving them cutting-edge headless commerce technology and access to meaningful first-party data. In 2022, Chord raised a \$15m series A extension round, co-led by Bright Pixel and existing investor Eclipse and with new investors GC1 Ventures, TechNexus Venture Collaborative and Anti Fund VC joining existing investors Imaginary Ventures, Foundation Capital and White Star Capital as participants.
Harmonya, offers an AI-powered product data enrichment, categorization, and insights platform for retailers and brands. The company raised \$20m series A round in 2023, led by Bright Pixel with the participation of existing investor Team8, as well as Arc Investors, J Ventures, Silicon Road Ventures, Allen & Company, LiveRamp Ventures, and Susa Ventures.
INFRASTRUCTURE SOFTWARE
Portainer.io, based in New Zealand, is one of the most popular container management platforms globally. Portainer's universal tool unleashes the power of containerized applications for everyone.
Codacy, is a PT-based automated code review and engineering productivity tool. It provides intelligence for software engineering teams to reach their full potential. Codacy raised a \$15m series B funding round led by Bright Pixel, also backed by existing investors Armilar Venture Partners, EQT Ventures, Join Capital, Caixa Capital, Faber Ventures and Iberis Capital.
Seldon, is a data-centric machine learning operations (MLOps) platform for the deployment, management, monitoring and explainability of machine learning (ML) models. Bright Pixel led its \$20m series B funding round in 1Q23 with significant participation from existing investors AlbionVC, Cambridge Innovation Capital, and Amadeus Capital Partners.
Jentis, is an Austrian scale-up specializing in advanced server-side web tracking and data protection technologies. Its Data Capture Platform is an all-in-one tracking solution that provides businesses enhanced data quality and data sovereignty while enabling compliance with GDPR and other global data protection regulations. Bright Pixel led a €11 million in a series A funding round raised in 2023. This round was also participated by the new co-investor 3TS Capital Partners, and by the existing investor Pragmatech Ventures.
BUSINESS APPLICATIONS
Infraspeak, the leading European and South American Intelligent Maintenance Management Platform (IMMP), headquartered in Portugal, has secured a series A extension round of €7.5m, led by Bright Pixel in 2023.
EMERGING TECH & OTHERS
Didimo, a leading creator of high-fidelity digital humans with 3D technology. Didimo enables anyone to quickly and easily create lifelike digital models that businesses and individuals can use to interact and to provide or enjoy services online. In 2020, Didimo announced €1m in funding from new investors led by Armilar Venture Partners along with Bright Pixel and PME Investimentos in cooperation with the 200M Co-Investment Fund. In August 2022, Didimo raised \$7.1m in series A funding led by Armilar Venture Partners, with the participation of Bright Pixel, Portugal Ventures and Techstars.
Armilar Venture Funds, are the 3 Venture Capital funds in which Bright Pixel owns participation units acquired to Novo Banco. With this transaction, concluded in December 2016, Bright Pixel reinforced its portfolio with sizeable stakes in leading edge companies such as Outsystems and Feedzai, both consistently presenting meaningful and sustainable levels of growth.
Media
Público is the reference Portuguese speaking news organization focused on a digital strategy that combines journalism high quality standards with an innovative and digital image and has been reinforcing its leadership position on the daily Portuguese newspaper sector, and particularly, on the digital subscription market.
During the 9M24, the growth of content, subscription revenues and online advertising drove to a slightly increase in Revenues and profitability, when compared to 9M23.
II – FINANCIAL STATEMENTS
Sonaecom condensed consolidated financial statements
Condensed consolidated income statement by nature for periods of 9 months ended on 30 September 2024 and 2023
(Translation of consolidated financial statements originally issued in Portuguese. In case of discrepancy the Portuguese version prevails.)
| (Amounts expressed in Euro) Notes |
30 September 2024 (not audited) |
30 September 2023 restated (not audited) note 1.4 |
|---|---|---|
| Sales 2.1 |
4,750,152 | 5,055,607 |
| Services rendering 2.1 |
8,493,432 | 8,347,709 |
| Other income | 438,177 | 1,681,268 |
| 13,681,761 | 15,084,584 | |
| Cost of sales | (1,024,333) | (1,370,539) |
| External supplies and services | (9,397,993) | (8,902,280) |
| Employee benefits expense | (11,507,534) | (11,398,837) |
| Amortisation and depreciation | (1,375,547) | (1,674,991) |
| Provisions | (55,772) | (13,946) |
| Other expenses | (244,865) | (125,845) |
| (23,606,044) | (23,486,438) | |
| Gains and losses in joint ventures and 3.1 and 3.3 associated companies |
70,074,678 | 38,914,466 |
| Gains and losses on assets at fair value 3.3 through profit or loss |
(3,511,019) | (5,431,168) |
| Financial expenses | (487,760) | (312,912) |
| Financial income | 5,447,955 | 6,648,979 |
| Current income / (loss) | 61,599,571 | 31,417,511 |
| Income taxation | 1,923,784 | 2,001,609 |
| Consolidated net income/(loss) for the period |
63,523,355 | 33,419,120 |
| Attributed to: | ||
| Shareholders of parent company | 61,674,517 | 33,627,525 |
| Non-controlling interests | 1,848,838 | (208,405) |
| Earnings per share | ||
| Basic | 0.20 | 0.11 |
| Diluted | 0.20 | 0.11 |
The notes are an integral part of the condensed consolidated financial statements.
Condensed consolidated statement of comprehensive income for periods of 9 months ended on 30 September 2024 and 2023
(Translation of consolidated financial statements originally issued in Portuguese. In case of discrepancy the Portuguese version prevails.)
| (Amounts expressed in Euro) | Notes | 30 September 2024 (not audited) |
30 September 2023 Restated (not audited) note 1.4 |
|---|---|---|---|
| Consolidated net income / (loss) for the period |
63,523,355 | 33,419,120 | |
| Components of other consolidated comprehensive income, net of tax, that will be reclassified subsequently to profit or loss: |
|||
| Changes in reserves resulting from the application of equity method |
(2,952,175) | (9,507,172) | |
| Changes in currency translation reserve and other |
(268) | 340 | |
| Components of other consolidated comprehensive income, net of tax, that will not be reclassified subsequently to profit or loss: |
|||
| Changes in reserves resulting from the application of equity method |
(1,562,356) | (1,328,105) | |
| Changes in fair value of financial assests at fair value through other comprehensive income net of taxes |
(740,320) | 12,295 | |
| Other consolidated net income / (loss) for the period |
(5,255,119) | (10,822,642) | |
| Consolidated comprehensive income for the period |
58,268,236 | 22,596,478 | |
| Attributed to: Shareholders of parent company Non-controlling interests |
55,914,168 2,354,068 |
22,804,883 (208,405) |
Condensed consolidated statement of financial position for periods ended on 30 September 2024 and 31 December 2023
(Translation of consolidated financial statements originally issued in Portuguese. In case of discrepancy the Portuguese version prevails.)
| (Amounts expressed in Euro) | Notes | 30 September 2024 (not audited) |
31 December 2023 |
|---|---|---|---|
| Assets | |||
| Non-current assets | |||
| Property, plant and equipment | 362,295 | 336,199 | |
| Intangible assets | 1,974,834 | 1,518,447 | |
| Right of use | 3,889,367 | 4,182,194 | |
| Goodwill | 1,165,721 | 1,165,721 | |
| Investments in joint ventures and associated companies |
3.1 | 937,712,778 | 939,537,146 |
| Financial assets at fair value through other comprehensive income |
3.2.1 | 8,744,921 | 9,994,247 |
| Financial assets at fair value through profit or loss | 3.2.2 | 237,466,656 | 234,882,161 |
| Deferred tax assets | 10,061,083 | 11,160,105 | |
| Other non-current assets | 11,587,898 | 7,373,276 | |
| Total non-current assets | 1,212,965,553 | 1,210,149,496 | |
| Current assets | |||
| Inventories | 363,989 | 394,863 | |
| Trade receivables and other receivables | 23,081,150 | 24,971,872 | |
| Income tax assets | 1,279,246 | 1,052,413 | |
| Other current assets | 1,683,288 | 883,081 | |
| Cash and cash equivalents | 171,936,142 | 144,088,064 | |
| Total current assets | 198,343,815 | 171,390,293 | |
| Total assets | 1,411,309,368 | 1,381,539,789 |
The notes are an integral part of the condensed consolidated financial statements.
Condensed consolidated statement of financial position for periods ended on 30 September 2024 and 31 December 2023
(Translation of consolidated financial statements originally issued in Portuguese. In case of discrepancy the Portuguese version prevails.)
| (Amounts expressed in Euro) Notes |
30 September 2024 (not audited) |
31 December 2023 |
|---|---|---|
| Shareholders' funds and liabilities | ||
| Shareholders' funds Share capital |
230,391,627 | 230,391,627 |
| Own shares | (7,686,952) | (7,686,952) |
| Reserves and retained earnings | 1,059,641,902 | 1,043,020,193 |
| Consolidated net income/(loss) for the period | 61,674,517 | 43,785,889 |
| 1,344,021,094 | 1,309,510,757 | |
| Non-controlling interests | 17,954,702 | 15,600,635 |
| Total Shareholders' funds | 1,361,975,796 | 1,325,111,392 |
| Liabilities | ||
| Non-current liabilities | ||
| Lease liabilities | 3,164,557 | 4,105,841 |
| Provisions | 334,444 | 299,695 |
| Deferred tax liabilities | 33,836,059 | 34,688,560 |
| Other non-current liabilities | 707,148 | 753,403 |
| Total non-current liabilities | 38,042,208 | 39,847,499 |
| Current liabilities | ||
| Trade payables and other payables | 2,669,212 | 8,395,113 |
| Lease liabilities | 1,859,745 | 1,695,521 |
| Other current liabilities | 6,762,407 | 6,490,264 |
| Total current liabilities | 11,291,364 | 16,580,898 |
| Total liabilities | 49,333,572 | 56,428,397 |
| Total shareholders' funds and liabilities | 1,411,309,368 | 1,381,539,789 |
Condensed consolidated statement of changes in equity for periods of 9 months ended on 30 September 2024 and 2023
(Translation of consolidated financial statements originally issued in Portuguese. In case of discrepancy the Portuguese version prevails.)
| Reserves & Retained Earnings | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| (Amounts expressed in Euro) | Share capital | Own shares | Share premium |
Legal reserves |
Reserves of own shares |
Other | reserves Total reserves | Non controlling interests |
Net income / (loss) |
Total |
| 2024 | ||||||||||
| Balance on 31 December 2023 Appropriation of the consolidated net result of 2023 |
230,391,627 | (7,686,952) | 775,290,377 | 23,523,509 | 7,686,952 | 236,519,355 | 1,043,020,193 | 15,600,635 | 43,785,889 | 1,325,111,392 |
| Transfers to other reserves | − | − | − | 3,001,865 | − | 40,784,024 | 43,785,889 | − | (43,785,889) | − |
| Dividend distribution | − | − | − | − | − | (21,403,833) | (21,403,833) | − | − | (21,403,833) |
| Consolidated comprehensive income for the period ended on 30 September 2024 |
− | − | − | − | − | (5,760,349) | (5,760,349) | 2,354,068 | 61,674,517 | 58,268,236 |
| Balance on 30 September 2024 | 230,391,627 | (7,686,952) | 775,290,377 | 26,525,374 | 7,686,952 | 250,139,197 | 1,059,641,902 | 17,954,702 | 61,674,517 | 1,361,975,796 |
| Reserves and Retained Earnings | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| (Amounts expressed in Euro) | Share capital | Own shares | Share premium |
Legal reserves |
Reserves of own shares |
Other | reserves Total reserves | Non controlling interests |
Net income / (loss) |
Total |
| 2023 | ||||||||||
| Balance on 31 December 2022 | 230,391,627 | (7,686,952) | 775,290,377 | 23,164,885 | 7,686,952 | 118,722,511 | 924,864,725 | 17,323,720 | 143,082,957 | 1,307,976,077 |
| Appropriation of the consolidated net result of 2022 | ||||||||||
| Transfers to other reserves | − | − | − | 358,624 | − | 142,724,333 | 143,082,957 | − | (143,082,957) | − |
| Dividend distribution | − | − | − | − | − | (9,173,071) | (9,173,071) | − | − | (9,173,071) |
| Consolidated comprehensive income for the period ended on 30 September 2023 restated |
− | − | − | − | − | (10,822,642) | (10,822,642) | (208,405) | 33,627,525 | 22,596,478 |
| Balance on 30 September 2023 restated | 230,391,627 | (7,686,952) | 775,290,377 | 23,523,509 | 7,686,952 | 241,451,131 | 1,047,951,970 | 17,115,315 | 33,627,525 | 1,321,399,485 |
Condensed consolidated cash flow statement for periods of 9 months ended on 30 September 2024 and 2023
(Translation of consolidated financial statements originally issued in Portuguese. In case of discrepancy the Portuguese version prevails.)
| (Amounts expressed in Euro) Notes |
30 September 2024 | (not audited) | 30 September 2023 (not audited) |
|---|---|---|---|
| Operating activities | |||
| Receipts from trade debtors | 14,331,698 | 13,091,748 | |
| Payments to trade creditors | (11,198,244) | (11,111,753) | |
| Payments to employees | (11,883,522) | (12,552,155) | |
| Cash flows generated by operations | (8,750,068) | (10,572,160) | |
| Payments / receipts relating to income taxes | (7,564,629) | (16,606,758) | |
| Other receipts / payments relating to operating activities | 488,524 | 3,723,324 | |
| Cash flows from operating activities (1) | (15,826,173) | (23,455,594) | |
| Investing activities | |||
| Receipts from: | |||
| Financial investments | 4,152,722 | 1,977,192 | |
| Tangible and intangible assets | 532 | 2,182 | |
| Dividends | 67,384,516 | 57,758,575 | |
| Interest and similar income | 4,638,435 | 4,677,656 | |
| Payments for: | |||
| Financial investments | (9,191,666) | (246,858,329) | |
| Tangible and intangible assets | (408,915) | (1,358,922) | |
| Cash flows from investing activities (2) | 66,575,624 | (183,801,646) | |
| Financing activities | |||
| Payments for: | |||
| Leasing | (1,417,259) | (495,206) | |
| Interest and similar expenses | (80,420) | (256,154) | |
| Dividends | (21,403,833) | (9,173,071) | |
| Cash flows from financing activities (3) | (22,901,512) | (9,924,431) | |
| Net cash flows (4)=(1)+(2)+(3) | 27,847,939 | (217,181,671) | |
| Effect of the foreign exchanges | 91 | 466 | |
| Cash and cash equivalents at the beginning of the period | 144,088,064 | 381,295,408 | |
| Cash and cash equivalents at the end of the period | 171,936,142 | 164,114,203 |
SONAECOM, SGPS, S.A.
Notes to the consolidated financial statements for the period ended on 30 September 2024
(Translation of consolidated financial statements originally issued in Portuguese. In case of discrepancy the Portuguese version prevails)
(Amounts stated in euro)
1. Introductory note
1.1 Group's Presentation
SONAECOM, SGPS, S.A. (hereinafter referred to as "the Company" or "Sonaecom") was established on 6 June 1988, under the name Sonae – Tecnologias de Informação, S.A. and has its head office at Lugar de Espido, Via Norte, Maia – Portugal. It is the parent company of the Group of companies listed in Attachment I ("Group").
Sonaecom SGPS, S.A. is owned directly by Sontel BV and Sonae SGPS, S.A. and Efanor Investimentos SGPS, S.E. is the ultimate controlling company.
Sonaecom shares are quoted and traded on Euronext Lisbon.
The Group operates in Portugal and has some subsidiaries from the information systems operating in about 3 countries (Portugal, Spain and United Kingdom).
On 21 December 2022, Sonae SGPS, S.A. ("Sonae"), announced its decision to launch a general and voluntary public tender offer for the acquisition of shares representing the share capital of Sonaecom SGPS, S.A. ("Sonaecom").
On 17 April 2023, the results of the Offer were determined, with 434,139 shares being acquired. Following this operation, Sonae holds 276,585,527 shares representing 88.84% of Sonaecom.
The consolidated financial statements are also presented in euro, rounded to the unit, and the transactions in foreign currencies are included in accordance with the accounting policies detailed below.
1.2 Consolidation Perimeter
The companies included in the Sonaecom Group's consolidation perimeter at 30 September 2024 are listed in Attachment I of this report.
1.3. Changes in the Group
During the periods ended on 30 September 2024 and 2023, the following changes occurred in the group:
a) Acquisitions
| Shareholder | Subsidiary | Date |
|---|---|---|
| 2024 Bright Tech Innovation I |
Reckon.AI, S.A. ("Reckon.AI") - increase | Jan-24 |
| Bright Pixel | Tamnoon, Inc. | Jul-24 |
| Shareholder | Subsidiary | Date |
|---|---|---|
| 2023 | ||
| Bright Pixel | Seldon Technologies Limited ("Seldon") | Feb-23 |
| Bright Pixel | Picnic Corporation ("Picnic") | Feb-23 |
| Bright Tech Innovation I | Infraspeak, S.A. ("Infraspeak") | Mar-23 |
| Bright Tech Innovation I | THU Lda ("THU") | Mar-23 |
| Bright Pixel | Sekoia.io ("Sekoia") | Apr-23 |
| Bright Pixel | Harmonya, Inc. ("Harmonya") | Jun-23 |
| Bright Pixel | Portainer.io Limited ("Portainer.io") - increase | Aug-23 |
As acquired described here, we refer to the financial assets held at fair value.
b) Merged
| Shareholder | Subsidiary | Date |
|---|---|---|
| 2023 Bright Pixel |
Bright Development Studio, S.A. ("Bright") | Jan-23 |
| Bright Pixel | Sonaecom - Serviços Partilhados, S.A. ("Sonaecom SP") | Jan-23 |
1.4 Restatement of consolidated financial statements
Regarding the transaction that occurred in 2022, which led to the classification of NOS's investment as an Associate, and the subsequent increase in the stake by 11.3%, for the latter, the exercise of purchase price allocation was provisionally carried out in September 2023, having been retrospectively adjusted in the line of investments in joint ventures and associates (note 3.1).
As set out in IFRS 3 – Business Combination, an assessment of the fair value of the assets acquired and liabilities assumed was carried out with reference to 30 September 2023, and retrospectively adjusted the values recognized in the financial statements of the Sonaecom using the equity method.
The impact of the restatement of the consolidated financial position as at 30 September 2023, was as follows:
| 30 September 2023 | After Restated | NOS | Before Restated |
|---|---|---|---|
| Assets | |||
| Non-current assets | |||
| Investments in joint ventures and associated companies |
916,852,824 | (1,197,215) | 918,050,039 |
| Other non-current assets | 271,998,238 | − | 271,998,238 |
| Total non-current assets | 1,188,851,062 | (1,197,215) | 1,190,048,277 |
| Total current assets | 190,745,191 | − | 190,745,191 |
| Total assets | 1,379,596,253 | (1,197,215) | 1,380,793,468 |
| Shareholders' funds and liabilities | |||
| Shareholders' funds | |||
| Share capital | 230,391,627 | − | 230,391,627 |
| Own shares | (7,686,952) | − | (7,686,952) |
| Reserves and retained earnings | 1,047,951,970 | 119,770 | 1,047,832,200 |
| Consolidated net income/(loss) for the period | 33,627,525 | (1,316,985) | 34,944,510 |
| 1,304,284,170 | (1,197,215) | 1,305,481,385 | |
| Non-controlling interests | 17,115,315 | − | 17,115,315 |
| Total shareholders' funds | 1,321,399,485 | (1,197,215) | 1,322,596,700 |
| Total liabilities | 58,196,768 | − | 58,196,768 |
| Total shareholders' funds and liabilities | 1,379,596,253 | (1,197,215) | 1,380,793,468 |
As the result of the effect mentioned, related to the recalculation of the equity method of NOS, led to changes in the value of "gains and losses in joint ventures and associates companies" in the 2023 financial year. The impact on the consolidated income statement as of 30 September 2023, can be analysed as follows:
| 30 September 2023 | After Restated |
NOS | Before Restated |
|---|---|---|---|
| Net operating income / (loss) for the segment | (8,401,854) | − | (8,401,854) |
| Gains and losses in joint ventures and associated companies |
38,914,466 | (1,316,985) | 40,231,451 |
| Gains and losses on assets at fair value through profit or loss |
(5,431,168) | − | (5,431,168) |
| Financial expenses | (312,912) | − | (312,912) |
| Financial income | 6,648,979 | − | 6,648,979 |
| Current income / (loss) | 31,417,511 | (1,316,985) | 32,734,496 |
| Income taxation | 2,001,609 | − | 2,001,609 |
| Consolidated net income/(loss) for the period | 33,419,120 | (1,316,985) | 34,736,105 |
1.5 Subsequent events
Until the date of approval of this document, no relevant subsequent events that merit disclosure in this report have occurred.
1.6 Basis of preparation
The condensed consolidated financial statements for the period ended on 30 September 2024, were prepared in accordance with IAS 34 - Interim Financial Reporting. Consequently, these financial statements do not include all the information required by the International Financial Reporting Standards ("IFRS"), so they should be read with the consolidated financial statements for the year end on 31 December 2023. The accounting policies and measurement criteria, adopted by the Group on 30 September 2024 are consistent with those used in the preparation of 31 December 2023 financial statements.
The condensed consolidated financial statements of Sonaecom Group were prepared on the assumption of continuity of operations, based on the books and accounting records of the companies included in the consolidation, which were prepared in accordance with the International Financial Reporting Standards ("IFRS") as adopted and effective in the European Union and, based on historical cost, except for the revaluation of certain financial instruments.
1.7. New Accounting standards and their impact in these consolidated financial statements
During the period there were no changes in accounting policies, except for the adoption of new standards whose application became effective on 1 January 2024 which had no material impact on the Group's condensed financial statements.
The following standards, interpretations, amendments, and revisions have been approved (endorsed) by the European Union, and have mandatory application to the financial years beginning on or after 1 January 2024 and were first adopted in the period ended on 30 September 2024:
| Standards | Effective date (for financial years beginning on or after) |
|---|---|
| IAS 1 – Presentation of financial projections - Classification of liabilities |
1-Jan-24 |
| Classification of a liability as current or non-current, depending on the right that an entity has to defer payment beyond 12 months, after the reporting date, when subject to covenants. |
|
| IFRS 16 – Lease liabilities in sale and leaseback transactions | 1-Jan-24 |
| Accounting requirements for Sale and Leaseback transactions after the transaction date when some or all lease payments are variable. |
|
| IAS 7 – Statement of cash flows and IFRS 7 – Financial instruments: Disclosures – Supplier financing agreements |
1-Jan-24 |
| Additional disclosure requirements on supplier financial arrangements (or reverse factoring), the impact on liabilities and cash flows, as well as the impact on liquidity risk analysis and how the entity would be affected if these arrangements were no longer available. |
|
| IAS 21 – Effect of changes in exchange rates: absence of exchange rates in the long term |
1-Jan-25 |
| It clarifies the following: i) how to assess whether a currency is convertible into another currency; |
and ii) how to determine the exchange rate when the currency is not convertible.
The Group concluded that the application of these standards does not produced materially relevant impacts on financial statements.
The following standards, interpretations, amendments and revisions were not, until 30 September 2024, approved ("endorsed") by the European Unions seguintes normas:
| Standards | Effective date (for financial years beginning on or after) |
|---|---|
| IFRS 7 and IFRS 9 – Classification and measurement of financial instruments |
1-Jan-26 |
| Changing requirements relating to: i) settlement of financial liabilities through an electronic payment system; ii) assessment of the contractual characteristics of the cash flows of financial assets, including characteristics related to the fulfillment of Environmental, Social and Government (ESG) goals. |
|
| Annual improvement cycle | 1-Jan-26 |
| Specific changes to IFRS 1, IFRS 7, IFRS 9, IFRS 10 and IAS 7 | |
| IFRS 18 – Presentation and Disclosure in Financial Statements | 1-Jan-27 |
| Replacement of IAS 1 with changes regarding specific requirements on the classification of income and expenses in the operational category that would otherwise be classified in the investment and financing categories. It also establishes requirements relating to the disclosure of performance indicators defined by management. |
|
| IFRS 19 – Subsidiaries not subject to public financial reporting: | 1-Jan-27 |
| Disclosures | |
| It allows the preparation of financial statements with reduced disclosure requirements, maintaining the obligation to apply all measurement and recognition requirements of IFRS, in general. |
2. Operational Activity
2.1 Segment information
During the periods ended on 30 September 2024 and 2023 were identified the following business segments:
– Media;
- Technologies; and
- Holding activities.
These segments were identified taking into account the following criteria/conditions: the fact that they are units of the Group that develop activities where income and expenses can be separately identified, in relation to which financial information is developed separately, their operating results are regularly reviewed by the Group´s management bodies and on which it makes decisions about, for example, allocation of resources, the fact that they have similar products/services and also taking into account the quantitative threshold (as provided for in IFRS 8).
The segment "Holding activities" includes the operations of the Group companies that have as their main activity the management of shareholdings.
Excluding the ones mentioned above, the remaining activities of the Group have been classified as unallocated.
Inter-segment transactions during the periods ended on 30 September 2024 and 2023 were eliminated in the consolidation process. All these transactions were made at market prices.
Inter-segment transfers or transactions were entered under the normal commercial terms and conditions that would also be available to unrelated third parties and were mainly related to interest on treasury applications and management fees.
Overall information by business segment on 30 September 2024 and 2023, prepared in accordance with the same accounting policies and measurement criteria adopted in the preparation of the consolidated financial statements, can be summarized as follows:
| Media | Technologies | Holding Activities | Subtotal | Eliminations and others | Total | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| September 2024 September 2023 September 2024 September 2023 September 2024 September 2023 | Restated September 2024 September 2023 | Restated September 2024 September 2023 September 2024 September 2023 | Restated | |||||||||
| Revenues: | ||||||||||||
| Sales and services rendering | 11,710,529 | 11,649,012 | 1,550,576 | 1,808,352 | − | − | 13,261,105 | 13,457,364 | (17,521) | (54,048) | 13,243,584 | 13,403,316 |
| Other operating revenues | 304,349 | 313,460 | 86,144 | 217,618 | 40,482 | 1,151,732 | 430,975 | 1,682,810 | 7,202 | (1,542) | 438,177 | 1,681,268 |
| Total revenues | 12,014,878 | 11,962,472 | 1,636,720 | 2,025,970 | 40,482 | 1,151,732 | 13,692,080 | 15,140,174 | (10,319) | (55,590) | 13,681,761 | 15,084,584 |
| Depreciation and amortisation | (530,784) | (793,974) | (842,646) | (866,726) | (2,117) | (14,291) | (1,375,547) | (1,674,991) | − | − | (1,375,547) | (1,674,991) |
| Provisions and impairment losses | − | − | (55,772) | (13,946) | − | − | (55,772) | (13,946) | − | − | (55,772) | (13,946) |
| Net operating income / (loss) for the segment |
(2,727,645) | (3,130,213) | (6,299,099) | (5,263,421) | (897,539) | (8,253) | (9,924,283) | (8,401,887) | − | 33 | (9,924,283) | (8,401,854) |
| Gains and losses on financial assets at fair value through profit or loss |
− | − | (3,511,019) | (5,431,168) | − | − | (3,511,019) | (5,431,168) | − | − | (3,511,019) | (5,431,168) |
| Gains and losses in associated companies and joint ventures |
69,664 | 27,916 | (100,786) | (676,366) | 70,105,800 | 39,562,916 | 70,074,678 | 38,914,466 | − | − | 70,074,678 | 38,914,466 |
| Other financial results | 125,022 | 29,171 | 503,323 | 360,160 | 3,518,761 | 1,612,920 | 4,147,106 | 2,002,251 | 813,089 | 4,333,816 | 4,960,195 | 6,336,067 |
| Income taxation | 499,634 | 629,253 | 1,877,213 | 2,561,514 | (453,064) | (1,189,158) | 1,923,784 | 2,001,609 | − | − | 1,923,784 | 2,001,609 |
| Consolidated net income/(loss) for the period |
(2,033,325) | (2,443,873) | (7,530,368) | (8,449,281) | 72,273,958 | 39,978,425 | 62,710,265 | 29,085,271 | 813,089 | 4,333,849 | 63,523,356 | 33,419,120 |
| Attributable to: | ||||||||||||
| Shareholders of parent company | (2,033,325) | (2,443,873) | (10,070,853) | (8,164,447) | 72,273,958 | 39,978,425 | 60,169,780 | 29,370,106 | 1,504,738 | 4,257,419 | 61,674,518 | 33,627,525 |
| Non-controlling interests | − | − | 2,540,485 | (284,834) | − | − | 2,540,485 | (284,834) | (691,647) | 76,429 | 1,848,838 | (208,405) |
| September 2024 | December 2023 September 2024 | December 2023 September 2024 | December 2023 September 2024 | December 2023 September 2024 | December 2023 September 2024 | December 2023 | ||||||
| Assets: | ||||||||||||
| Tangible and intangible assets, rights of use and goodwill |
2,892,582 | 2,514,612 | 4,488,282 | 4,675,500 | 11,354 | 12,449 | 7,392,217 | 7,202,561 | − | − | 7,392,217 | 7,202,561 |
| Inventories | 363,989 | 394,863 | − | − | − | − | 363,989 | 394,863 | − | − | 363,989 | 394,863 |
| Investments in associated companies and joint ventures |
954,776 | 885,112 | 90,233,236 | 90,334,022 | 846,617,607 | 848,410,853 | 937,805,619 | 939,629,987 | (92,841) | (92,841) | 937,712,778 | 939,537,146 |
| Financial assets at fair value through other comprehensive income |
3,059,366 | 3,059,366 | 8,696,975 | 9,946,301 | − | − | 11,756,341 | 13,005,667 | (3,011,420) | (3,011,420) | 8,744,921 | 9,994,247 |
| Financial assets at fair value through profit or loss |
− | − | 237,466,656 | 234,882,161 | − | − | 237,466,656 | 234,882,161 | − | − | 237,466,656 | 234,882,161 |
| Other non-current assets and deferred tax assets |
3,257,380 | 3,178,976 | 16,754,017 | 13,433,110 | 105,902,856 | 92,891,367 | 125,914,253 | 109,503,453 | (104,265,272) | (90,970,072) | 21,648,981 | 18,533,381 |
| Other current assets of the segment | 8,933,731 | 10,769,757 | 22,772,318 | 28,947,820 | 166,285,934 | 133,440,946 | 197,991,983 | 173,158,523 | (12,157) | (2,163,093) | 197,979,826 | 170,995,430 |
| Liabilities: | ||||||||||||
| Liabilities of the segment | 10,688,134 | 10,495,672 | 40,796,479 | 47,988,682 | 793,427 | 3,039,446 | 52,278,040 | 61,523,800 | (2,944,468) | (5,095,403) | 49,333,572 | 56,428,397 |
| CAPEX | 907,296 | 999,632 | 9,751,773 | 55,005,186 | 14,156,751 | 241,058,833 | 24,815,820 | 297,063,651 | (14,155,729) | (28,433,063) | 10,660,091 | 268,630,588 |
During the period ended on 30 September 2024 and 2023, the inter-segments sales and services were as follows:
| Media | Technologies | |
|---|---|---|
| 2024 | ||
| Media | − | 10,078 |
| Technologies | 1,396 | − |
| Holding Activities | − | 6,047 |
| External trade debtors | 11,709,133 | 1,534,451 |
| 11,710,529 | 1,550,576 |
| Media | Technologies | |
|---|---|---|
| 2023 | ||
| Media | − | 9,375 |
| Technologies | 1,547 | − |
| Holding Activities | − | 43,126 |
| External trade debtors | 11,647,465 | 1,755,851 |
| 11,649,012 | 1,808,352 |
During the periods ended on 30 September 2024 and 2023, sales and services rendered in the Media and Technologies segments were obtained predominantly in the Portuguese market, with this market representing approximately 92% and 99%, respectively (94% and 98% in 2023, respectively).
3. Investments
3.1. Investments in joint ventures and associated companies
The associated companies and the joint ventures, their head offices, percentage of ownership and value in profit and loss statement on 30 September 2024 and 2023 are as follows:
| 30 September 2024 | Head Office | Percentage of ownership |
Value in profit and loss statement |
|---|---|---|---|
| Investments in joint ventures | |||
| Unipress – Centro Gráfico, Lda. ("Unipress") |
Vila Nova de Gaia |
50.00% | 65,105 |
| SIRS - Sociedade Independente de Radiodifusão Sonora, S.A. ('Rádio Nova') |
Oporto | 50.00% | 4,559 |
| 69,664 | |||
| Investments in associated companies | |||
| NOS, SGPS, S.A. ("NOS") (a) | Oporto | 37.37% | 70,105,800 |
| Fundo de Capital de Risco Armilar Venture Partners II ("Armilar II") |
Lisbon | 47.78% | (100,660) |
| Fundo de Capital de Risco Armilar Venture Partners III ("Armilar III") |
Lisbon | 45.52% | (2,398) |
| Fundo de Capital de Risco Armilar Venture Partners Inovação e Internacionalização ("Armilar I+I") |
Lisbon | 38.25% | 2,272 |
| 70,005,014 | |||
| Total | 70,074,678 |
| 30 September 2023 restated |
Head Office | Percentage of ownership |
Value in profit and loss statement |
|---|---|---|---|
| Investments in joint ventures | |||
| Unipress – Centro Gráfico, Lda. ("Unipress") |
Vila Nova de Gaia |
50.00% | 48,245 |
| SIRS - Sociedade Independente de Radiodifusão Sonora, S.A. ('Rádio Nova') |
Oporto | 50.00% | (20,329) |
| 27,916 | |||
| Investments in associated companies | |||
| NOS, SGPS, S.A. ("NOS") (a) (b) | Oporto | 37.37% | 39,562,916 |
| Fundo de Capital de Risco Armilar Venture Partners II ("Armilar II") |
Lisbon | 44.33% | 42,364 |
| Fundo de Capital de Risco Armilar Venture Partners III ("Armilar III") |
Lisbon | 45.52% | (534,332) |
| Fundo de Capital de Risco Armilar Venture Partners Inovação e Internacionalização ("Armilar I+I") |
Lisbon | 38.25% | (184,398) |
| 38,886,550 | |||
| Total | 38,914,466 |
(a) Includes the incorporation of the results of the subsidiaries in proportion to the capital held. (b) Increase of participation related to the purchase of shares from Sonae SGPS in July 2023.
In the case of investments in associates that are venture capital organizations, IAS 28 contains an option to keep these investments held by them measured at fair value. The Group made this option, applying the equity method to Armilar Funds.
In accordance with the IFRS 11, the classification of investments in joint ventures is determined based on the existence of an agreement that clearly demonstrate and regulate the joint control. On 30 September 2024, the Group held associated and joint ventures companies, as decomposed below.
The division by company of the amount included in the investments in associated companies and joint ventures on 30 September 2024 and 31 December 2023 is as follows:
| 30 September 2024 | Ownership value |
Goodwill | Total investment |
|---|---|---|---|
| Investments in joint ventures | |||
| Unipress – Centro Gráfico, Lda. ("Unipress") | 512,507 | 321,700 | 834,207 |
| SIRS - Sociedade Independente de Radiodifusão Sonora, S.A. ('Rádio Nova') |
27,730 | − | 27,730 |
| 540,237 | 321,700 | 861,937 | |
| Investments in associated companies | |||
| NOS, SGPS, S.A. ("NOS") | 255,420,736 | 591,196,867 | 846,617,603 |
| Fundo de Capital de Risco Armilar Venture Partners II ("Armilar II") |
57,934,122 | − | 57,934,122 |
| Fundo de Capital de Risco Armilar Venture Partners III ("Armilar III") |
17,341,321 | − | 17,341,321 |
| Fundo de Capital de Risco Armilar Venture Partners Inovação e Internacionalização ("Armilar I+I") |
14,957,795 | − | 14,957,795 |
| 345,653,974 | 591,196,867 | 936,850,841 | |
| Total | 346,194,211 | 591,518,567 | 937,712,778 |
| 31 December 2023 | Ownership value |
Goodwill | Total investment |
|---|---|---|---|
| Investments in joint ventures | |||
| Unipress – Centro Gráfico, Lda. ("Unipress") | 447,402 | 321,700 | 769,102 |
| SIRS - Sociedade Independente de Radiodifusão Sonora, S.A. ('Rádio Nova') |
23,171 | − | 23,171 |
| 470,573 | 321,700 | 792,273 | |
| Investments in associated companies | |||
| NOS, SGPS, S.A. ("NOS") | 257,213,982 | 591,196,867 | 848,410,849 |
| Fundo de Capital de Risco Armilar Venture Partners II ("Armilar II") |
58,034,782 | − | 58,034,782 |
| Fundo de Capital de Risco Armilar Venture Partners III ("Armilar III") |
17,343,719 | − | 17,343,719 |
| Fundo de Capital de Risco Armilar Venture Partners Inovação e Internacionalização ("Armilar I+I") |
14,955,523 | − | 14,955,523 |
| 347,548,006 | 591,196,867 | 938,744,873 | |
| Total | 348,018,579 | 591,518,567 | 939,537,146 |
Investment in NOS
The value of the investment held in NOS is measured using the equity method.
At the general meeting of NOS in April 2024, the payment of ordinary dividends of 0.35 euro per share was approved, relating to 2023 results. In this regard, Sonaecom recorded a dividend receipt amounting to 67,384,516 euro.
On 20 July 2023, Sonaecom, SGPS, S.A. has entered into a purchase and sale agreement to acquire to Sonae SGPS, S.A. 58,204,920 shares of NOS SGPS, S.A. representing 11.30% of the share capital and 11.38% of the voting rights of NOS, at a price of 3.6527 euro per share, corresponding to the average closing price of the shares over the last six months, calculated after the market close on 19 July 2023, amounting to a value of 212.6 million euro.
Given this acquisition, Sonaecom now holds, directly, 192,527,188 shares in NOS, representing approximately 37.37% of its share capital and 37.65% of the voting rights.
Albeit Sonaecom having exceeded, with this transaction, one third of the voting rights corresponding to the share capital of NOS, such fact does not result in any material change regarding in the exercise of voting rights inherent to the shares. The voting rights inherent to the shares are no longer attributed directly to Sonae, being now indirectly attributed to Sonae as the controlling shareholder of Sonaecom.
Taking into account the percentage of ownership directly attributable to Sonaecom, it was analyzed in the light of what is described in IFRS 10, whether Sonaecom could exercise control over NOS. From this analysis, it was concluded that Sonaecom does not control the aforementioned company, insofar as it does not hold the majority of the share capital and voting rights of NOS and, that it is not clear that i) it is possible for Sonaecom to make decisions for itself only and ii) that the existence of a majority contrary to its intentions is unlikely. In view of the above and given that Sonaecom has the opportunity to participate in NOS' decision-making processes, we are facing a situation of significant influence, with the respective investment being classified as "Investments in associates" and recorded in Sonae's consolidated accounts using the equity method patrimonial.
As set out in IFRS 3 – Business Combination, an assessment of the fair value of the assets acquired and liabilities assumed was carried out.
The fair value of the net assets acquired was determined using different valuation methodologies for each type of asset or liability, based on the best available information. The main adjustments to fair value made within the scope of this process were: i) customer portfolio (+222.8 million euro), which will be amortized on a straight-line basis over 6 years; ii) rights of use (+294.6 million euro), which will be amortized on a straight-line basis over 12 years; iii) investments in joint ventures and associates (+40.3 million euro), and iv) contingent liabilities (-73.7 million euro).
On 30 September 2024, it was considered the assumptions made in the impairment tests carried out in 2023 did not have significant variations.
NOS group provisions
The evolution in provisions occurred during the first 9 months of 2024 compared to 31 December 2023 was as follows:
- 1) Legal actions with regulators and Competition Authority (AdC)
- i. NOS, S.A., NOS Açores, NOS Madeira and NOS Wholesale received the settlement note, issued by ANACOM, of the annual Fee of Activity for the 2023 financial year: 10.486 thousand euro, 120 thousand euro, 247 thousand euro and 106 thousand euro, respectively. Similar to the settlements received for the years 2009 to 2023, Anacom's acts were challenged in court.
Between 2023 and the first quarter of 2024, the Constitutional Court ruled, in more than two dozen separate cases, that have became final and unappealable, that Ordinance 1473-B/2008, of 17 December, which regulates the determination of fees due for the exercise of the activity of provider of electronic communications networks and services, is unconstitutional, and ordered ANACOM to refund the amount unduly charged. On 30 September 2024, an accumulated profit of 72 million euro (2023: 38.5 million euro and 2024: 33.4 million euro) was recognized as a result of the favorable decisions in the Constitutional Court, having already received the entire amount. The remaining process are awaiting final judgement/decision, there are some processes in which ANACOM raises the issue of NOS's right to interest.
ii. In relation to the administrative offense process related to the communication of price updates carried out at the end of 2016 and beginning of 2017, in May 2024,
NOS appealed the Acordão, which reduced the fine to 3.5 million euro, to the Constitutional Court, awaiting further developments in the process.
- iii. Regarding the notification of NOS by the AdC of the notice of illegality (accusation) related to digital marketing on the Google search engine, in January 2024, NOS was notified by the AdC that the emails affected by the declaration of prohibition of evidence had already been expunged from the file and, in February 2024, NOS requested that other documentary elements be expunged from the file, and, to date, no decision has yet been made on this topic. It is the conviction of the NOS Board of Directors, taking into account the elements it knows, that it will be able to demonstrate the various arguments in favor of its defense.
- iv. In relation to the note of illegality (accusation) to which NOS was notified by the AdC, relating to practices related to the advertising service in automatic recordings, in which it accuses NOS, other operators and a consultant, of coordinating behavior in the advertising on television recordings, in January 2024, NOS was notified by the AdC that the emails affected by the declaration of prohibition of evidence had already been expunged from the records. In September 2024, NOS was notified by the AdC of the final decision regarding the elements that make up the process, a decision that resumes the investigation phase of the process and which included a request to NOS for new elements. It is the conviction of the NOS Board of Directors, considering the elements it knows, that it will be able to demonstrate the various arguments in favor of its defense.
2) Tax Authorities
During the 2003 and 2023 financial years, some companies of NOS Group were notified of the corrections made by the Tax autorithies at the IRC, VAT and Stamp Post and of the corresponding additional payments. The total value of settled notifications, legal and cargo receipts, amounts to 39 million euro.
3) Actions by MEO against NOS SA, NOS Madeira and NOS Açores and by NOS SA against MEO
In April 2024, the Lisbon Court of Justice was revoked and the Court of First Instance was abolished, which preceded the payment of 5.3 million euro and determined the investigation of testimonies on the matter of fact declared following the professional hearing Supreme Court of Justice in March 2019, it is expected that the trial hearing will only take place in 2025
4) Action brought by DECO
After the discussion and trial sessions were held in 2022, NOS filed an appeal against the court decision that dispensed with the production of testimonial evidence, wich was upheld by the Lisbon Court of Appeal. In June and Septeber 2024, trial sessions were held, with the deadline for presenting final arguments currently running out. NOS Board of Directors is conviced that the arguments used by the author are not justified, which is why it is believed that the outcome of the proceeding should not result in significant impacts for the group NOS's financial statements.
5) Action brought by Citizens Voice
A Preliminary Hearing was scheduled for October 2024. The further terms of the process are currently awaited, and the NOS Board of Directors is convinced that the arguments used by the author are not valid, which is why it is believed that the outcome of the process will not significant impacts should result on the NOS Group's financial statements.
6) Interconection tariffs
In May 2024, following a complaint to the conference, the latter was rejected and the decision not to admit MEO's appeal was confirmed. As the process ended, in the semester ending 30 June 2024, NOS derecognized the outstanding balances, resulting in a gain of 8.6 million euro.
3.2. Financial assets at fair value
3.2.1. Through other comprehensive income
On 30 September 2024 and 31 December 2023, this caption was composed as follows:
| 30 September 2024 | 31 December 2023 | |
|---|---|---|
| Iriusrisk | 7,124,896 | 7,124,896 |
| Others | 1,620,025 | 2,869,351 |
| 8,744,921 | 9,994,247 |
On 30 September 2024, these investments correspond to shareholdings in unlisted companies in which the Group has no significant influence.
According to IFRS 9 these investment is defined as "Investments at fair value through other consolidated comprehensive income" as they are held as long-term strategic investments and there is no expectation that these investments will be sold in the short and medium term, and, so, were irrevocably designated as investments at fair value through other comprehensive income. For investments with a maturity of less than a year, the acquisition costs were considered as a reasonable approximation of their fair value. For investments with a maturity greater than a year, the subsequent changes in fair value are presented through other consolidated comprehensive income. The fair value of the investments is calculated in the currency of the country of the investment and converted to euro at the end of the reporting year.
IriuskRisk
IriusRisk (previously named Continuum Security) is a Spanish based company with an application security platform to address vulnerabilities early in the development process. In order to realise their international growth plans, the company has raised an investment round of 1.5 million euro, which was led by Swanlaab Venture Factory and joined by JME Venture Capital and Bright Pixel. In September 2020, the company raised a series A round of 6.7 million dollars participated by Paladin, 360 CP, Swanlaab JME Venture Capital and Bright Pixel. In August 2022, IriusRisk raised a series B round of 28.7 million dollars led by Paladin Capital Group with the participation from existing investors Bright Pixel, Swanlaab Venture Factory, 360 Capital and Inveready.
3.2.2. Financial assets at fair value through profit or loss
On 30 September 2024 and 31 December 2023, this caption was composed as follows:
| 30 September 2024 | 31 December 2023 | |
|---|---|---|
| Arctic Wolf | 75,030,076 | 76,021,315 |
| Cybersixgill | 19,173,631 | 19,426,938 |
| Ometria | 16,513,379 | 15,874,498 |
| SafeBreach | 13,469,889 | 13,647,843 |
| Infraspeak | 9,733,337 | 6,000,000 |
| Sales Layer | 9,714,017 | 9,714,017 |
| Sekoia.io | 9,000,000 | 9,000,000 |
| Vicarius | 8,931,812 | 9,049,812 |
| Harmonya | 6,252,260 | 6,334,860 |
| Codacy | 6,000,207 | 6,000,210 |
| Hackuity | 6,000,000 | 6,000,000 |
| Jentis | 5,505,000 | 5,505,000 |
| Chord | 5,359,080 | 5,429,880 |
| Tamnoon | 5,359,079 | − |
| Afresh | 4,465,892 | 4,524,892 |
| Jscrambler | 3,828,724 | 3,828,724 |
| ViSenze | 3,209,151 | 3,251,548 |
| Probe.ly | 2,971,123 | 2,971,123 |
| Citcon | 2,597,140 | 2,631,451 |
| Didimo | 2,070,133 | 2,070,130 |
| Portainer.io | 1,970,689 | 1,983,290 |
| Taikai | 1,836,895 | 1,836,895 |
| Replai | 1,800,887 | 1,800,887 |
| Sellforte | 1,794,980 | 1,794,980 |
| Others | 14,879,275 | 20,183,868 |
| 237,466,656 | 234,882,161 |
Investments not irrevocably designated in the initial recognition as "Investments at fair value for other comprehensive income", are classified as "Investments at fair value through profit or loss" in accordance with IFRS 9. Are also included in this caption the investments in associated companies, held by a venture capital organization or equivalent, in which the Group opted, in the initial recognition for, to measure at fair value through results in accordance with IFRS 9. In the case of the investments of less than 1 year, their acquisition cost was considered a reasonable approximation of their respective fair value. For investments over 1 year, subsequent changes in fair value are presented through profit or loss. The fair value of the investments is calculated in the currency of the country of the investment and converted to euro at the end of the reporting year.
Arctic Wolf
Arctic Wolf, a US based company, is a global pioneer in the SOC-as-a-Service market with cutting-edge managed detection and response (MDR), which provides a unique combination of technology and services for clients to quickly detect and contain threats. Bright Pixel, jointly with US technology investors Lightspeed Venture Partners and Redpoint, entered in the company's cap table in 2017 in a series B round. Since then, the Company closed a 45 million dollars series C round in 2018, a 60 million dollars Series D round at the end of 2019, a 200 million dollars series E round in October 2020 funding at a valuation of 1.3 billion dollars and, in 2021, a 150 million dollars, held by existing and new investors, at an underlying valuation of 4.3 billion dollars.
Cybersixgill
Cybersixgill, is a market leader in deep and dark web cyber threat intelligence. The company helps Fortune 500 companies, financial institutions, governments, and law enforcement agencies protect their finances, networks and reputations from cyberthreats that lurk in the deep, dark and surface webs. The advanced cyber threat intelligence platform automates all phases of the intelligence cycle - collection, analysis and dissemination of data - providing organizations with unparalleled information and actionable insights to protect their various assets in the ever-evolving cyber threatscape. Bright Pixel co-led its series B 15 million dollars round and participated in its new 35 million dollar round raised in 2022 led by More Provident and Pension Funds and REV Venture Partners.
Ometria
Ometria, is a London based AI powered customer marketing platform with the vision to become the central hub that powers all the communication between retailers and their customers. This investment was done by Bright Pixel in the series A round, alongside several strategic investors (including Summit Action, the US VC fund of the Summit Series) and was reinforced during series B and C rounds.
SafeBreach
SafeBreach, pioneer in the Breach and Attack Simulation (BAS) market, is the world's most widely used continuous security validation platform. The patented platform automatically and safely executes thousands of attack methods to validate network, endpoint, cloud, container and email security controls against its Hacker's Playbook, the world's largest collection of attack data broken down by methods, tactics, and threat actors. SafeBreach raised 53.5 million dollars in series D funding, led by Bright Pixel and Israel Growth Partners (IGP), with additional participation from Sands Capital, Bank Leumi and ServiceNow.
Infraspeak
Infraspeak, is the leading European and South American Intelligent Maintenance Management Platform (IMMP), headquartered in Portugal, has secured a series A extension round of 7.5 million euro, led by Bright Pixel in 2023.
Sales Layer
Sales Layer, is a Spanish based company with a cloud-based Product Information Management (PIM) platform, helping brands and retailers to transform their catalogues into a digital, enriched and multichannel control center. Bright Pixel led its series A round and recently participated in its series B round.
Sekoia.io
Sekoia.io, is the European cybertech company that develops the Sekoia.io XDR (eXtended Detection & Response) platform for real-time detection of cyberattacks. The company has raised 35 million euro, in 2023, in a series A financing round from Banque des Territoires, Bright Pixel and its historical investors Omnes Capital, Seventure and BNP Paribas Développement.
Vicarius
Vicarius, is a SaaS platform that consolidates vulnerability discovery, prioritization, and remediation into a single solution. In 2023, the company raised a 30 million dollars series B round led by Bright Pixel and participated by AllegisCyber Capital, AlleyCorp and Strait.
Harmonya
Harmonya, offers an Artificial Intelligence-powered product data enrichment, categarization, and product plataform for retailers and brands. The company raised 20 million dollars series A round in 2023, led by Bright Pixel with participation of existing investors Team8 as well as Arc Investors, J Ventures, Silicon Road Ventures, Allen & Company, LiveRamp Ventures, and Susa Ventures.
Codacy
Codacy, is a PT-based automated code review and engineering productivity tool. It provides intelligence for software engineering teams to reach their full potential. Codacy raised a 15 million dollars series B funding round led by Bright Pixel, also backed by existing investors Armilar Venture Partners, EQT Ventures, Join Capital, Caixa Capital, Faber Ventures and Iberis Capital.
Hackuity
Hackuity, is a risk-based vulnerability management solution that empowers cybersecurity teams and leaders to comprehensively collect, prioritize, and remediate security weaknesses before they can be exploited by their adversaries. Hackuity raised a 12 million euro funding round, led by Bright Pixel with the participation of previous investor Caisse des Dépôts.
Jentis
Jentis, is is an Austrian scale-up specializing in advanced server-side web tracking and data protection technologies. Its Data Capture Platform is an all-in-one tracking solution that provides businesses enhanced data quality and data sovereignty while enabling compliance with GDPR and other global data protection regulations. Bright Pixel led a 11 million euro in a series A funding round raised in 2023. This round was also participated by the new co-investor 3TS Capital Partners, and by the existing investor Pragmatech Ventures.
Chord
Chord, is a US based company with a Platform as a Service that offers commerce businesses technology and data products that help enhance their businesses by giving them cutting-edge headless commerce technology and access to meaningful first-party data. In 2022, Chord raised a 15 million dollars series A extension round, co-led by Bright Pixel and existing investor Eclipse and with new investors GC1 Ventures, TechNexus Venture Collaborative and Anti Fund VC joining existing investors Imaginary Ventures, Foundation Capital and White Star Capital as participants.
Tamnoon
Tamnoon, is the first and only human-AI managed service developed from the ground up specifically for cloud security remediation. In September 2024, raised 12 million dollars in a series A round led by Bright Pixel with participation by new investors Blu Ventures and Mindset Ventures as well as existing investors Merlin Ventures, Secret Chord Ventures, Inner Loop Capital, and Elron Ventures.
Afresh
Afresh, is a US-based leading AI-powered fresh food technology provider. Afresh's AIpowered solutions optimize critical functions in fresh food, including ordering, inventory, merchandising, and operations. Afresh significantly reduces food waste, improves its partners" profitability, and makes fresher, healthier food more accessible to all. Afresh announced a 115 million dollars series B funding round led by Spark Capital and with participation from Insight Partners, VMG Partners, and Bright Pixel Capital.
Jscrambler
Jsrambler, is a Portuguese startup that develops a security solution to protect Web and Mobile Applications (Javascript code). In 2018, the company raised a 2.3 million dollars in a financing round that was led by Bright Pixel with the co-investment of Portugal Ventures. In 2021, the Company raised 10 million euro in a series A with the participation of Ace Capital Partners.
ViSenze
ViSenze, is a Singapore-based company that delivers intelligent image recognition solutions that shorten the path to action as consumers search and discover on the visual web. Retailers use ViSenze to convert images into immediate product search opportunities,
improving conversion rates. Media companies use ViSenze to turn any image or video into an engagement opportunity, driving incremental revenue. Bright Pixel co-led, with Gobi Partners, a 20 million dollars series C round to enable the artificial intelligence company to further invest in its penetration among smartphone manufacturers, as well as with consumer and social communication applications.
Probe.ly
Probe.ly, having started as an internal project of Bright Pixel, won the Caixa Capital Empreender Award 2017, has stepped from MVP (Minimum Valuable Product) to an independent Web Application Security startup. In June 2022, the company raised a series A round of 7.7million euro co-led by Iberis Capital and Semapa Next and with the participation of Bright Pixel, TIIN Capital | Dutch Security Tech Fund, Caixa Capital, Portugal Ventures and EDP Ventures.
Citcon
Citcon, is a US-based leading mobile wallet payment provider with a fintech platform that enables seamless global commerce at scale by connecting the world's businesses with more than 100+ mobile wallets, local and alternative payment methods. Citcon raised 30 million dollars in series C financing led by Norwest Venture Partners and Cota Capital with the participation of Bright Pixel and Sierra Venture.
Didimo
Didimo, a leading creator of high-fidelity digital humans with 3D technology. Didimo enables anyone to quickly and easily create lifelike digital models that businesses and individuals can use to interact and to provide or enjoy services online. In 2020, Didimo announced 1 million euro in funding from new investors led by Armilar Venture Partners along with Bright Pixel and PME Investimentos in cooperation with the 200M Co-Investment Fund. In August 2022, Didimo raised 7.1 million dollars in series A funding led by Armilar Venture Partners, with the participation of Bright Pixel, Portugal Ventures and Techstars.
Portainer.io
Portainer.io, based in New Zealand, is one of the most popular container management platforms globally. Portainer's universal tool unleashes the power of containerized applications for everyone.
3.2.3 Movement occurred during the period
In the periods ended on 30 September 2024 and 2023, the change in investments at fair value through other comprehensive income was as follows:
| 30 September 2024 | 30 September 2023 | |
|---|---|---|
| Opening balance | 9,994,247 | 11,704,456 |
| Fair value | (1,249,326) | 15,925 |
| Closing balance | 8,744,921 | 11,720,381 |
In the periods ended on 30 September 2024 and 2023, the change in investments at fair value through profit or loss was as follows:
| 30 September 2024 | 30 September 2023 | |
|---|---|---|
| Opening balance | 234,882,161 | 208,671,179 |
| Acquisitions/Capital Increases | 5,561,666 | 32,383,534 |
| Fair value | (2,977,171) | (4,903,718) |
| Closing balance | 237,466,656 | 236,150,995 |
3.3 Gains or losses related to investments
Gains and losses on investments for the periods on 30 September 2024 and 2023 are as follows:
| 30 September 2024 | 30 September 2023 | |
|---|---|---|
| Financial results of associates and jointly controlled companies: |
||
| Gains and losses related with the aplication of the equity method |
70,074,678 | 38,914,466 |
| 70,074,678 | 38,914,466 | |
| Gains and losses on financial assets at fair value through profit or loss |
||
| Gains and losses on financial assets at fair value through profit or loss |
(2,977,171) | (4,903,718) |
| Impairment of other financial assets | (529,776) | (527,166) |
| Others | (4,072) | (284) |
| (3,511,019) | (5,431,168) |
4. Related Parties
The balances and transactions maintained with related parties were mainly associated with the normal operational activity of the Group and to the concession and obtainment of loans.
| Balances on 30 September 2024 | |||||
|---|---|---|---|---|---|
| Parent company |
Companies joint ventures |
Associated companies |
Other related parties |
||
| Accounts receivable | 18,400,662 | 49,485 | − | 1,109,446 | |
| Accounts payable | 210,425 | 33,946 | 171,691 | 136,848 | |
| Other assets | 3,292,427 | − | − | 5,996,086 | |
| Other liabilities | 60,153 | − | 9,225 | 8,851 |
| Balances on 31 December 2023 | |||||
|---|---|---|---|---|---|
| Parent company |
Companies joint ventures |
Associated companies |
Other related parties |
||
| Accounts receivable | 15,210,312 | 98,468 | 27,820 | 1,603,404 | |
| Accounts payable | 5,372,921 | 49,151 | 249,257 | 203,307 | |
| Other assets | 1,613,239 | − | − | 108,621 | |
| Other liabilities | 41,661 | − | 180 | 99,837 |
| Transactions on 30 September 2024 | |||||
|---|---|---|---|---|---|
| Parent company |
Companies joint ventures |
Associated companies |
Other related parties |
||
| Sales and services rendered | 11,478 | − | 2,500 | 1,653,733 | |
| Supplies and services received | 380,275 | 221,833 | 238,502 | 534,077 | |
| Interest and similar income | 4,218,225 | − | − | 123,995 | |
| Interest and similar expense | − | − | − | 381 | |
| Other income | − | 161,250 | − | 4 |
| Transactions on 30 September 2023 | ||||||
|---|---|---|---|---|---|---|
| Parent company |
Companies joint ventures |
Associated companies |
Other related parties |
|||
| Sales and services rendered | 13,028 | − | 5,497 | 1,864,377 | ||
| Supplies and services received | 428,086 | 227,251 | 253,950 | 433,967 | ||
| Interest and similar income | 5,283,688 | − | − | 81,196 | ||
| Other income | − | 159,650 | − | − |
The transactions between Group companies were eliminated in consolidation, and therefore are not disclosed in this note.
All the above transactions were made at market prices.
Both accounts receivable and payable with related parties will be paid in cash and have no guaranties attached.
During the periods ended on 30 September 2024 and 2023, no impairment losses have been recognized as accounts receivables of related parties.
Board of Directors,
Ângelo Gabriel Ribeirinho dos Santos Paupério
Maria Cláudia Teixeira de Azevedo
João Pedro Magalhães da Silva Torres Dolores
Eduardo Humberto dos Santos Piedade
Cristina Maria de Araújo Freitas Novais
Attachment I - Companies in the Consolidation Perimeter
The subsidiary companies included in the consolidation, their registered offices and proportion of capital held at 30 September 2024 and 31 December 2023, are as follows:
| Percentage of share capital held | |||||||
|---|---|---|---|---|---|---|---|
| 30 September 2024 | 31 December 2023 | ||||||
| Company (Commercial brand) | Head office | Main activity | Shareholder | Direct | Effective* | Direct | Effective* |
| Parent company SONAECOM, S.G.P.S., S.A. ("Sonaecom") |
Maia | Management of shareholdings. | - | - | - | - | - |
| Subsidiaries | |||||||
| Bright Ventures Capital, SCR, S.A. | Lisbon | Realization of investment in venture capital, management of venture capital funds and investment in venture capital fund units. |
Bright Pixel | 100% | 100% | 100% | 100% |
| Inovretail, S.A. | Oporto | Industry and trade of electronic equipment and software; development, installation, implementation, training and maintenance of systems and software products; rental equipment, sale of software use license; consulting business, advisory in retail segments, industry and services. |
Bright Pixel | 100% | 100% | 100% | 100% |
| Inovretail España, SL ("Inovretail España") | Madrid | Industry and trade of electronic equipment and software; development, installation, implementation, training and maintenance of systems and software products; rental equipment, sale of software use license; consulting business, advisory in retail segments, industry and services. |
Inovretail | 100% | 100% | 100% | 100% |
| Fundo Bright Vector I ("Bright Vector I") (a) | Lisbon | Venture Capital Fund | Bright Pixel | 50% | 50% | 50% | 50% |
| Fundo Bright Tech Innovation I - ("Bright Tech Innovation I") (a) |
Maia | Venture Capital Fund | Sonaecom Bright Pixel PCJ |
30% 10% 10% |
50% | 30% 10% 10% |
50% |
| Percentage of share capital held | |||||||
|---|---|---|---|---|---|---|---|
| 30 September 2024 | 31 December 2023 | ||||||
| Company (Commercial brand) | Head office | Main activity | Shareholder | Direct | Effective* | Direct | Effective* |
| Subsidiaries | |||||||
| PCJ - Público, Comunicação e Jornalismo, S.A. ("PCJ") |
Maia | Editing, composition and publication of periodical and non periodical material and the exploration of radio and TV stations and studios. |
Sonaecom | 100% | 100% | 100% | 100% |
| Praesidium Services Limited ("Praesidium Services") |
Berkshire | Rendering of consultancy services in the area of information systems. |
Bright Pixel | 100% | 100% | 100% | 100% |
| Público – Comunicação Social, S.A. ("Público") | Oporto | Editing, composition and publication of periodical and non periodical material. |
Sonaecom | 100% | 100% | 100% | 100% |
| Sonae Investment Management – Software and Technology, SGPS, S.A. (using the brand "Bright Pixel") |
Maia | Management of shareholdings in the area of corporate ventures and joint ventures. |
Sonaecom | 100% | 100% | 100% | 100% |
* Sonaecom effective participation
(a) The venture capital funds Fundo Bright Vector I and Fundo Bright Tech Innovation I have Bright Ventures Capital SCR as their management company, which performs their operational management.
These companies were included in the consolidation by the full consolidation method, as established by IFRS 10 – Consolidated financial statements.
31
Safe Harbour
This document may contain forward-looking information and statements, based on management's current expectations or beliefs. Forward-looking statements are statements that are not historical facts.
These forward-looking statements are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements, including, but not limited to, changes in regulation, the telecommunications industry and economic conditions; and the effects of competition. Forward-looking statements may be identified by words such as "believes", "expects", "anticipates", "projects", "intends", "should", "seeks", "estimates", "future" or similar expressions.
Although these statements reflect our current expectations, which we believe are reasonable, investors, analysts and, generally, the recipients of this document are cautioned that forward-looking information and statements are subject to various risks and uncertainties, many of which are difficult to predict and generally beyond our control, that could cause actual results and developments to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. You are cautioned not to put undue reliance on any forward-looking information or statements. We do not undertake any obligation to update any forward-looking information or statements.
Sonaecom SGPS is listed on the Euronext Stock Exchange. Information is available on Reuters under the symbol SNC.LS and on Bloomberg under the symbol SNC:PL.
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Report available on Sonaecom's corporate website www.sonaecom.pt
Investor Relations Contacts [email protected] Tlf: +351 22 013 23 49