...April 30, 2026 This report does not constitute a rating action. VMED O2 UK's credit metrics are expected to remain within acceptable rating thresholds, although with reduced headroom, reflecting weaker-than-anticipated prospective earnings. S&P Global Ratings projects an organic revenue decline of approximately 4%, driven by increased promotional activity within the consumer mobile segment and ongoing pricing pressures in the highly fragmented consumer fixed market. Consequently, we forecast a 4%-6% decline in overall consumer segment revenue in 2026, attributable to weakness in both fixed and mobile services. Furthermore, we anticipate organic revenue from the business-to-business (B2B) segment will also decrease in 2026, as planned streamlining of the product portfolio introduces a temporary headwind. This revenue decline is expected to translate into a 3%-4% reduction in organic adjusted EBITDA, resulting in an adjusted debt-to-EBITDA ratio approaching 6.0x by the end of 2026. We believe...
