Core Viewpoint - Telefônica Brasil reported strong operating performance in 2Q25, leading to significant growth in revenue, EBITDA, and net income [1]. Financial Performance - Net Operating Revenue reached R$14,645 million, a 7.1% increase from R$13,679 million in 2Q24 [2]. - EBITDA grew by 8.8% YoY to R$5,933 million, with an EBITDA margin of 40.5%, up 0.6 percentage points from the previous year [4][6]. - Net Income attributed to Telefônica Brasil was R$1,344 million, reflecting a 10.0% increase compared to R$1,222 million in 2Q24 [6]. Revenue Breakdown - Mobile Services revenue increased by 7.3% YoY to R$9,555 million, driven by a 10.6% growth in postpaid services and a 5.1% increase in mobile ARPU, reaching R$31.1 [2][3]. - Fixed revenue rose by 8.0% YoY, supported by FTTH growth of 10.4% and Corporate Data, ICT, and Digital Services revenue growth of 20.7% [4]. Subscriber Growth - Total subscribers increased by 1.3% YoY, reaching 116,190 thousand, with postpaid customer base growing by 7.0% YoY to 68.5 million accesses [2][3]. Capital Expenditure - Capex for 2Q25 totaled R$2,439 million, a 4.2% increase YoY, representing 16.7% of revenues, reflecting a decrease in Capex intensity [5]. Cash Flow and Shareholder Returns - Operating Cash Flow was R$3,494 million, up 12.2% YoY, with a margin of 23.9% [6]. - The total remuneration paid to shareholders reached R$5,233 million, with commitments to distribute at least 100% of net income for fiscal years 2024 to 2026 [7].

Core Insights - Telefônica Brasil reported strong operating performance in 1Q25, leading to significant growth in EBITDA and net income [2][4][6] Financial Performance - Net Operating Revenue reached R$14,390 million, a 6.2% increase YoY, driven by mobile services and fiber revenues [2][3] - EBITDA grew by 8.1% YoY to R$5,704 million, with an EBITDA margin of 39.6%, up 0.7 percentage points from the previous year [2][4] - Net Income attributed to Telefônica Brasil was R$1,058 million, reflecting an 18.1% increase YoY [2][6] - Earnings per Share (EPS) increased by 20.3% YoY to R$0.65 [2] Revenue Breakdown - Mobile Services revenue increased by 6.5% YoY to R$9,272 million, supported by a 10.3% growth in postpaid revenue [2][3] - FTTH revenue grew by 10.6% YoY to R$1,899 million, with the FTTH network reaching 29.6 million homes passed [2][4] - Corporate Data, ICT, and Digital Services revenue rose by 15.8% YoY to R$1,312 million [2][4] Cost and Cash Flow - Total Costs increased by 5.1% YoY to R$8,687 million [2] - Operating Cash Flow totaled R$3,835 million, a 12.7% increase YoY, with an OpCF margin of 26.7% [2][5] Capital Expenditure - CAPEX for 1Q25 was R$1,869 million, a slight decrease of 0.3% YoY, representing 13.0% of revenues [2][5] - Investments focused on enhancing the 5G network, which is now available in 519 cities, covering 62% of the Brazilian population [5] Shareholder Returns - The total remuneration paid to shareholders reached R$2,576 million by the end of April 2025, with a commitment to distribute at least 100% of net income for fiscal years 2024 to 2026 [6][7]