- Orange has increased its 2025 organic cash flow target to at least €3.6 billion, up from the previous €3.3 billion.
- This adjustment follows a strong fourth-quarter performance, with core profit (EBITDAaL) rising 3.2% to €3.25 billion, driven by a rebound in its home market.
What happened: Orange raises cash flow target following strong domestic performance
Orange has revised its 2025 financial outlook, raising its organic cash flow target to a minimum of €3.6 billion, up from the earlier projection of €3.3 billion. This adjustment comes after the company reported a robust fourth-quarter performance, with core profit (EBITDAaL) increasing by 3.2% to €3.25 billion. The growth was primarily driven by a recovery in its home market, France, where the company implemented price increases and effective base management strategies.
In France, retail services experienced a 2.6% increase, attributed to a combination of value strategies and price hikes. Despite facing competition from no-frills brands and a decline in broadband demand post-pandemic, Orange’s strategic initiatives have led to a significant turnaround in its domestic operations.
Additionally, Orange has been leveraging artificial intelligence (AI) to enhance its services, generating €200 million in value in 2024 and expecting to surpass €300 million in 2025. The company has also expanded its fiber-to-the-home (FTTH) connectivity, reaching 60.1 million households globally by the end of 2024, marking a 9.3% annual increase.
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Why it’s important
The upward revision of Orange’s cash flow target reflects the company’s successful strategies in revitalizing its domestic business and effectively managing market challenges. The strong performance in France, coupled with advancements in AI and FTTH expansion, positions Orange for sustained growth and competitiveness in the telecommunications sector.
