Telecom Argentina (TEO) investor relations material

Executive summary

• Consolidated financials for 1H26 include a full six months of TMA, with revenues up 23% year-over-year to $3.4 billion and EBITDA margin rising to 35.8%.

• Net income swung to ARS 870 billion (P$869,038 million), reversing a prior loss, mainly due to exchange rate effects and improved efficiency.

• Strong operational performance with real growth in service revenues and ARPU across mobile, broadband, and Pay TV.

• Continued focus on network expansion, digital ecosystem growth, and efficiency initiatives, including 5G and FTTH deployments.

• Maintained solid cash generation, with free cash flow before dividends and interest reaching $404 million, more than doubling year-over-year.

Financial highlights

• Consolidated revenues exceeded $3.4 billion, up 23% year-over-year; service revenues grew 16% in constant pesos.

• EBITDA margin improved to 35.8%, with adjusted EBITDA margin at 40.2% in 2Q26.

• Net income was ARS 870 billion, reversing a loss of ARS 100 billion in the prior year.

• Free cash flow before dividends and interest was $404 million, up from $199 million in 1H25.

• CAPEX for 1H26 was $639 million, representing 18.6% of revenues, focused on mobile and FTTH expansion.

Outlook and guidance

• Ongoing investments in FTTH and 5G to capture future connectivity demand and drive growth.

• Continued execution of efficiency initiatives and disciplined cost management.

• Management highlights ample liquidity and a smoother debt maturity profile to support ongoing investments.