To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh. ...

Telefónica (NYSE:TEF) 2025 Capital Markets Day November 04, 2025 06:00 AM ET Company ParticipantsLaura Abasolo - CFCOEmilio Gayo - CEOMathew Biafre - Private BankerNone - Video Narrator 2Marc Millar - Chairman and CEODavid Wright - Managing Director and Head of Telecoms Equity ResearchTorsten Achtmann - Investor RelationsKiel Metoyer - Supply Chain Finance Program ManagerNone - Video Narrator 3Antonio Rodríguez - Managing Director and Deputy Head of Equity ResearchFernando Correiro - Executive ManagerNone - ...

Financial Data and Key Metrics Changes - The company reported sustained organic growth in revenues and EBITDA, with EBITDA minus CapEx returning to growth in the quarter [8][29] - Free cash flow expectations for the year were updated to around EUR 1,900 million, reflecting various impacts including tax refunds and litigation payments [20][21] - Net financial debt decreased year on year to EUR 28.2 billion, and after accounting for recent divestitures, it further reduced to EUR 26.5 billion [25][26] Business Line Data and Key Metrics Changes - In Spain, Q3 revenue increased year on year, driven by service revenue growth, with retail revenue up about 2% and EBITDA growth accelerating to nearly 4% [10][11] - Telefonica Brasil maintained robust growth, with revenue growing over 6% year on year, supported by a 17% increase in new fiber connections and low churn rates around 1% [12][13] - Telefonica Deutschland faced challenges with a revenue decline of over 6% year on year and EBITDA dropping 9.5%, primarily due to ongoing migration issues [15][16] Market Data and Key Metrics Changes - The total customer base reached 350 million, with significant growth in fiber and mobile contract accesses across core markets [7] - In Germany, the company reported strong mobile contract net adds despite the negative impact of the one-on-one migration [14] - Virgin Media O2 improved its commercial results, focusing on customer loyalty and expanding its convergent offerings [16] Company Strategy and Development Direction - The company is focused on accelerating portfolio transformation and increasing efficiency across the group, with a declining CapEx to sales ratio [6][8] - The strategy includes exiting five out of eight Hispam countries to streamline operations and concentrate on core markets [22][30] - The company aims to maintain strong performance in retail and B2B segments, despite increasing competition [58] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in maintaining operational performance in core markets, with strong growth in Brazil and Spain [29][30] - The outlook for Germany remains challenging, but underlying performance is expected to improve as migration issues are resolved [24][62] - The company reiterated its commitment to the dividend for 2025 and confirmed guidance for revenue and EBITDA growth [20][30] Other Important Information - The company signed long-term Power Purchase Agreements (PPAs) in the UK and Germany, enhancing its ESG approach [27] - A write-down of approximately EUR 250 million was recorded for Telefonica Tech due to lower sector expectations and asset performance [76][78] Q&A Session Summary Question: Clarification on free cash flow impacts for 2025 - Management confirmed that the EUR 400 million tax refund is expected in 2026, and the Millicom litigation payments will be distributed from 2025 to 2027 [32][33] Question: Germany's EBITDA stabilization target - Management acknowledged the challenging market conditions but emphasized ongoing efficiency measures that are expected to yield results in the coming quarters [35][37] Question: Free cash flow difficulties in Germany - Management indicated that the free cash flow drag is a combination of various factors, including B2P impacts and restructuring efforts [46][50] Question: Dynamics in the Spanish wholesale market - Management noted that the decline in wholesale revenue was anticipated and attributed to contracts signed in previous years, with expectations for improvement in the future [64][66] Question: Working capital expectations - Management clarified that working capital contributions are expected to be lower than initially anticipated due to reduced management capacity in Hispam [70][73]

· Telefónica CAPITALI MARKETS DAY | 2025 Disclaimer This document and any related confeerce call or webcasts (induding any relact GBA ession) has been prepered by Telefonce, S.A. (Tieldnical or the "Company", and bpether wi exclusively for its use during the gresentation of the Capital Markets Day. The Company coses not assume any liability for the content if vesef for any supposes diferent f The document and any related confirence cal or velocast. Including any relebel C24 eastion may contain for world nov ...

The telecom said it plans to deliver steady revenue and earnings growth in coming years, as it aims to expand its digital services and gain exposure to defense markets. ...

***Este documento está clasificado como USO INTERNO por TELEFÓNICA. ***This document is classified as INTERNAL USE by TELEFÓNICA. Disclaimer This document and any related conference call or webcast (including any related Q&A session) has been prepared by Telefónica, S.A. ("Telefónica" or the "Company", and together with its subsidiaries the "Telefónica Group") exclusively for its use during the presentation of financial results. The Company does not assume any liability for the content of this document if u ...

Investors might want to bet on Telefonica (TEF) , as it has been recently upgraded to a Zacks Rank #2 (Buy). An upward trend in earnings estimates -- one of the most powerful forces impacting stock prices -- has triggered this rating change.A company's changing earnings picture is at the core of the Zacks rating. The system tracks the Zacks Consensus Estimate -- the consensus measure of EPS estimates from the sell-side analysts covering the stock -- for the current and following years.The power of a changin ...

Telefonica Chile confirmed Friday that its parent company — Spain’s Telefonica — is selling the local unit https://t.co/UAvIVcui4q ...

Core Insights - Spanish telecoms group Telefonica plans to lay off at least 6,000 employees across several units before the end of the year [1] Company Actions - The layoffs are part of a broader restructuring strategy aimed at improving operational efficiency and reducing costs [1] - The decision reflects ongoing challenges within the telecom industry, including increased competition and pressure on profit margins [1] Industry Context - The telecom sector is facing significant changes, with companies needing to adapt to evolving market conditions and consumer demands [1] - Layoffs in the industry are becoming more common as firms seek to streamline operations and enhance profitability [1]

Group 1 - Telefónica is considered one of the most undervalued telecom stocks, with a strategy focused on consolidating the European telecom market and divesting Latin American assets [1][3] - CEO Marc Murtra highlighted the fragmentation of the European telecom market, which has 41 companies serving over 500K mobile customers each, compared to only 5 in the US, 4 in China and Japan, and 3 in South Korea [2] - The company plans to sell its units in Argentina and Uruguay, exploring potential sales in Chile, Mexico, and Ecuador, which could generate up to 3.6 billion euros ($4.21 billion) for funding acquisitions [3] Group 2 - The consolidation strategy aims to enhance scale and maintain an investment-grade credit rating, with a focus on investing in related sectors like cybersecurity and data centers [2] - Potential acquisition targets for Telefónica include Vodafone Spain, a joint venture with 1&1 in Germany, assets in Brazil, or a 50% stake in Virgin Media O2 [3]