Sao Paulo, Brazil--(Newsfile Corp. - November 10, 2026) - Telefônica Brasil (B3: VIVT3) (NYSE: VIV) announces its results for 3Q26.
Consistent Revenue and EBITDA performance drives +30.1% YoY growth in Net Income.
| R$ million | 3Q26 | 3Q25 | % YoY | 9M26 | 9M25 | % YoY | ||||||||||||
| Net Operating Revenue | 16,023 | 14,949 | 7.2 | 47,237 | 43,984 | 7.4 | ||||||||||||
| Mobile Services | 10,437 | 9,715 | 7.4 | 30,500 | 28,542 | 6.9 | ||||||||||||
| FTTH | 2,092 | 1,980 | 5.7 | 6,315 | 5,819 | 8.5 | ||||||||||||
| Corporate Data, ICT and Digital Services | 1,453 | 1,386 | 4.9 | 4,343 | 4,059 | 7.0 | ||||||||||||
| Handsets and Electronics | 1,113 | 879 | 26.6 | 3,312 | 2,608 | 27.0 | ||||||||||||
| Other Revenues¹ | 928 | 989 | (6.2 | ) | 2,766 | 2,957 | (6.4 | ) | ||||||||||
| Total Costs | (8,887 | ) | (8,463 | ) | 5.0 | (27,311 | ) | (25,862 | ) | 5.6 | ||||||||
| EBITDA | 7,136 | 6,486 | 10.0 | 19,926 | 18,123 | 9.9 | ||||||||||||
| EBITDA Margin | 44.5% | 43.4% | 1.1 p.p. | 42.2% | 41.2% | 1.0 p.p. | ||||||||||||
| EBITDA AL² | 5,689 | 5,134 | 10.8 | 15,628 | 14,118 | 10.7 | ||||||||||||
| EBITDA AL² Margin | 35.5% | 34.3% | 1.2 p.p. | 33.1% | 32.1% | 1.0 p.p. | ||||||||||||
| Net Income³ | 2,456 | 1,888 | 30.1 | 5,290 | 4,291 | 23.3 | ||||||||||||
| Earnings per Share (EPS)4 | 0.77 | 0.59 | 31.0 | 1.66 | 1.33 | 24.7 | ||||||||||||
| CAPEX ex-IFRS 165 | 2,561 | 2,603 | (1.6 | ) | 7,197 | 6,911 | 4.1 | |||||||||||
| CAPEX ex-IFRS 165/Net Revenue | 16.0% | 17.4% | (1.4) p.p. | 15.2% | 15.7% | (0.5) p.p. | ||||||||||||
| Operating Cash Flow (OpCF)6 | 4,575 | 3,883 | 17.8 | 12,729 | 11,212 | 13.5 | ||||||||||||
| OpCF6 Margin | 28.6% | 26.0% | 2.6 p.p. | 26.9% | 25.5% | 1.5 p.p. | ||||||||||||
| Operating Cash Flow AL (OpCF AL)7 | 3,128 | 2,531 | 23.6 | 8,431 | 7,207 | 17.0 | ||||||||||||
| OpCF AL7 Margin | 19.5% | 16.9% | 2.6 p.p. | 17.8% | 16.4% | 1.5 p.p. | ||||||||||||
| Free Cash Flow | 2,426 | 1,762 | 37.7 | 7,287 | 6,866 | 6.1 | ||||||||||||
| Total Subscribers (Thousand) | 120,154 | 116,643 | 3.0 | 120,154 | 116,643 | 3.0 |
1 - Other Revenues include Fixed Voice, xDSL, FTTC and IPTV. 2 - AL means After Leases. 3 - Net Income attributable to Telefônica Brasil. 4 - Earnings per Share (EPS) calculated based on net income attributable to Telefônica Brasil divided by the weighted average of outstanding shares in the period. EPS for 2025 was recalculated considering the effects of the Split and Reverse Stock Split effective on April 15, 2025. 5 - Does not include amounts related to IFRS 16 effects and licenses. 6 - Operating Cash Flow is equivalent to EBITDA less Capex ex-IFRS 16 and licenses. 7 -Operating Cash Flow AL is equivalent to EBITDA After Leases less Capex ex-IFRS 16 and licenses.
Net revenue reached R$16,022.7 million, increasing +7.2% YoY, driven by strong postpaid (+9.1% YoY), FTTH (+5.7% YoY) and the continued expansion of Corporate Data, ICT and Digital Services revenues (+4.9% YoY). Human Postpaid remained a key growth driver, with +3.5 million net additions LTM, bringing the base to 53.4 million accesses (+7.0% YoY). ARPU stood at R$53.8 (+0.6% YoY), and churn also remained at a historically low level of 1.0%.
Our Fiber business continued to execute consistently, with the footprint expanding to 32.4 million homes passed (+6.4% YoY) and homes connected reaching 8.4 million (+10.8% YoY) in 3Q26. This performance supported a +1.0 p.p. YoY increase in take-up (26.0% in 3Q26), while ARPU decreased following Vivo Total's rebalancing and churn was flat at 1.4% this quarter.
EBITDA delivered another quarter of double-digit growth, +10.0% YoY, summing R$7,135.6 million, reaching a strong margin of 44.5% (+1.1 p.p. YoY). EBITDA AL rose +10.8% YoY, with another margin expansion of +1.2 p.p. YoY to 35.5%.
Capex totaled R$2,561.0 million, down -1.6% YoY, lower than 1Q26 and 2Q26 growth rates (+9.6% and +6.1% YoY, respectively), representing 16.0% of revenues, a reduction of -1.4 p.p. YoY. Investments remained focused on expanding and enhancing our network infrastructure, with 5G now available in 1,012 municipalities and our FTTH network reaching 453 cities.
Operating Cash Flow reached R$4,574.6 million, increasing +17.8% YoY and leading to a margin of 28.6% (+2.6 p.p. YoY), one of the highest OpCF margins on record. Net income amounted to R$2,456.4 million, delivering a strong +30.1% YoY increase, the highest since 4Q23.
Shareholder remuneration paid out in 9M26 reached R$6,990.0 million, surpassing the amount distributed in FY2025 by +9.6%. This includes R$2,990.0 million of interest on capital declared in 2025 and R$4,000.0 million related to capital reduction. On November 10, 2026, Vivo's Executive Board approved the date of payment of the IoC declared in February 2026, in the amount of R$325.0 million, to be made on December 15, 2026, driving current 2026 shareholder remuneration to R$7,315.0 million, with R$1,000.0 million still at our disposal under the share buyback plan and R$3,195.0 million in IoC declared in 2026 for which payment dates have yet to be determined, subject to the April 30, 2027 deadline. We remain firmly committed to distributing at least 100% of FY26 net income to shareholders.
TELEFÔNICA BRASIL - Investor Relations
ir.br@telefonica.com
To download the complete version of the Company's earnings release, please visit our website: https://ri.telefonica.com.br/en
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/323457
