Telefonica Q2 Earnings Call Highlights

Telefonica (NYSE:TEF) raised its 2026 outlook for adjusted operating currency travel aft leases aft reporting stronger second-quarter momentum successful Spain and Brazil, portion maintaining its different full-year targets amid handset weakness successful Germany and unit successful the U.K.

Chairman and CEO Marc Murtra said the institution present expects adjusted operating currency travel aft leases to turn by much than 3% successful 2026, up from its anterior outlook of much than 2%. He said the upgrade reflected improved operating leverage and show successful Spain and Brazil.

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"We are connected way to fulfill 2026 guidance successful each different metrics," Murtra said. However, helium said gross maturation is expected to onshore astatine the debased extremity of the company's scope due to the fact that of weaker handset sales, peculiarly successful Germany. Telefonica maintained its adjusted EBITDA outlook and expects to decorativeness astatine the precocious extremity of that range.

Group Financial Performance and Cash Flow

At the radical level, work gross roseate 0.9% twelvemonth implicit twelvemonth successful the 2nd quarter, supported by accelerating maturation successful Spain and, to a lesser extent, Brazil, according to CFO Juan Azcue. B2B gross accrued 6.7%, portion B2C gross roseate 1.4%.

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Adjusted EBITDA accrued 2.7% successful the quarter, and adjusted operating currency travel aft leases grew 2.9%. The operating currency travel aft leases borderline expanded by 0.4 percent points twelvemonth implicit twelvemonth successful some the 2nd 4th and the archetypal half, portion superior expenditures represented 11.6% of gross successful the archetypal six months, unchanged from a twelvemonth earlier.