Telefónica’s revenues grew by 1.2% in the second quarter, reaching €10.255 billion, and by 1.1% in the first half of the year, totaling €20.395 billion. The company’s EBITDA increased by 1.8% from April to June, amounting to €3.219 billion, and rose by 1.9% in the first half, reaching €6.424 billion.
The group reaffirms its targets for 2024, including a revenue growth of around 1%, EBITDA and operational cash flow growth between 1% and 2%, a capital expenditure to sales ratio of up to 13%, and a free cash flow increase of over 10%. Additionally, the company confirms a shareholder remuneration for 2024 consisting of a €0.30 per share dividend, payable in two installments of €0.15 each in December 2024 and June 2025.
“Revenues are growing, EBITDA is increasing, and our customer base is larger and more satisfied with the services they receive. Telefónica is a more profitable and sustainable company, adhering to the pillars of its GPS strategic plan, confirming all its financial targets for 2024, and maintaining an attractive remuneration for shareholders,” emphasized Telefónica’s president, José María Álvarez-Pallete.
Madrid, July 31, 2024. Telefónica today presented its results for the first half of 2024. During this period, the company reported a net profit of €979 million, a 28.9% increase compared to the same period last year. The operator continues its accelerated growth in revenues, profitability, and sustainability, in line with the three pillars of its GPS strategic plan. Thanks to this favorable performance, the company confirms its financial targets for the entire year.
The strong business performance in the first half of the year allows the company to confirm its financial targets for 2024, which were presented in February. These targets include a revenue growth of around 1%, an EBITDA growth between 1% and 2%, and an operational cash flow (EBITDAaL-CapEx) growth also between 1% and 2%. Additionally, the company anticipates a capital expenditure to revenue ratio of up to 13% and a free cash flow increase of more than 10%.
Telefónica also confirms the shareholder remuneration for 2024, which includes a cash dividend of €0.30 per share, payable in two installments: €0.15 in December 2024 and €0.15 in June 2025.
“Revenues are growing, EBITDA is increasing, and our customer base is larger and more satisfied with the services we provide. Telefónica is a more profitable and sustainable company, adhering to the pillars of its GPS strategic plan, confirming all its financial targets for 2024, and maintaining an attractive remuneration for shareholders,” reiterated José María Álvarez-Pallete, president of Telefónica.
Significant Advances in Strategic Initiatives
Throughout the first half, Telefónica has completed various strategic initiatives representing significant progress within the context of the strategic plan presented in November. A notable achievement was the long-term agreement reached with DIGI for the mobile network in Spain, which highlights the quality of Telefónica’s infrastructure and ensures a return on network investments through long-term revenue streams.
In mobile networks, VMO2 announced in the second quarter the extension of its agreement with Vodafone for network sharing in the UK. In Brazil, Telefónica, in collaboration with Anatel and other agencies, has advanced a proposal to transition from a concession model to an authorization model.
