Sanoma Corporation, Stock exchange release, 8 December 2020 at 9:00 EET

Sanoma increases its long-term financial targets for profitability of Sanoma Learning and leverage of the Group

Sanoma’s Board of Directors has decided to update the company’s long-term financial targets. The profitability target of Sanoma Learning will be increased to an operational EBIT margin excl. PPA of ‘above 23%’ (previous: 20-22%) and the Group’s leverage target (net debt / adjusted EBITDA) will be increased to ‘below 3.0’ (previous: below 2.5).

Sanoma Learning’s target for operational EBIT margin excl. PPA is increased based on, among others, the estimated positive profitability impact of the acquisition of Santillana Spain. Closing preparations of the acquisition are proceeding ahead of the original plan, and the acquisition is expected to be finalised latest early 2021 compared to the earlier estimate of during H1 2021.

The increase in the Group’s leverage target is based on the growing contribution from the more stable and resilient learning business to the Group’s earnings. Sanoma did not change its long-term leverage target in connection to adopting the IFRS 16 standard in the beginning of 2019, although the standard increased its net debt / adjusted EBITDA by 0.6. The increased leverage target, together with the Group’s ability to generate a positive cash flow, allow Sanoma a EUR 300-400 million M&A headroom by 2022. Sanoma’s continued strategic focus is in growing its K12 learning business also beyond the acquisition of Santillana Spain announced on 19 October 2020.

The long-term financial targets for Sanoma are:

Sanoma Group Updated target Previous target
Net debt / Adj. EBITDA below 3.0 below 2.5
Equity ratio 35-45% 35-45%
Dividend policy * increasing dividend corresponding to 40-60% of annual free cash flow increasing dividend corresponding to 40-60% of annual free cash flow

Sanoma Learning Updated target Previous target
Comparable net sales growth 2-5% 2-5%
Operational EBIT margin excl. PPA above 23% 20-22%

Sanoma Media Finland Updated target Previous target
Comparable net sales growth +/- 2% +/- 2%
Operational EBIT margin excl. PPA 12-14% 12-14%

* When proposing a dividend to the AGM, the Board of Directors will look at the general macro-economic environment, Sanoma’s current and target capital structure, Sanoma’s future business plans and investment needs as well as both previous year’s cash flows and expected future cash flows affecting capital structure.

Capital Markets Day 2020

Sanoma is hosting a virtual Capital Markets Day today at 14:00 – approx. 16:15 EET. During the event the management will provide an update on the strategy and financial performance of Sanoma Group and its two businesses, Learning and Media Finland. Presentations will be given by all members of Sanoma’s Executive Management Team: Susan Duinhoven (President & CEO), Markus Holm (CFO & COO), Rob Kolkman (CEO, Sanoma Learning) and Pia Kalsta (CEO, Sanoma Media Finland).

The Capital Markets Day can be followed as a live webcast at Each presentation will be followed by a Q&A session where participants can post questions through the webcast platform. After the webcast, participants will have an opportunity to join an informal roundtable discussion with Rob Kolkman and Pia Kalsta via Teams. A link to the Teams meeting will be provided in the webcast platform.

The presentation materials will be available on Sanoma’s website at before the start of the event, and an on-demand replay of the webcast shortly after the end of the event.

Additional information
Kaisa Uurasmaa, Head of Investor Relations and CSR, tel. +358 40 560 5601


Sanoma is an innovative and agile learning and media company impacting the lives of millions every day.

Our learning products and services enable teachers to develop the talents of every child to reach their full potential. We offer printed and digital learning content as well as digital learning and teaching platforms for primary, secondary and vocational education, and want to grow our business across Europe.

Our Finnish media provide independent journalism and engaging entertainment also for generations to come. Our unique cross-media position offers the widest reach and tailored marketing solutions for our business partners.

Today, we operate in eleven European countries and employ close to 4,500 professionals. In 2019, our net sales totalled 900m€ and our operational EBIT margin excl. PPA was 14.8%. Sanoma shares are listed on Nasdaq Helsinki. More information is available at