Cellnex Telecom (CLNX) Q1 2026 earnings summary

Executive summary

• Q1 2026 delivered strong organic growth, margin expansion, and a significant turnaround in free cash flow, supported by operational efficiencies and lower capex intensity.

• Revenues grew 4.7% year-on-year to €984 million, with adjusted EBITDA up 6.4% and EBITDA after lease (EBITDAaL) up 7.2%.

• EBITDAaL margin expanded to 60.5%, up from 58.8% in Q1 2025, reflecting efficiency measures and proactive land management.

• Free cash flow turned positive at €118 million, a €184 million improvement versus Q1 2025.

• Shareholder remuneration included €500 million in dividends (two tranches) and €60 million in share buybacks executed in Q1 2026.

Financial highlights

• Organic revenue growth of 4.7% year-on-year to €984 million, driven by escalators, CPI, colocation, and build-to-suit revenues.

• Adjusted EBITDA margin improved to 85% (pro-forma), with operational efficiencies reducing SG&A and staff costs per tower.

• Recurring Levered Free Cash Flow increased to €378 million, up 12.2% organically.

• Free cash flow improved to €118 million from €-66 million in Q1 2025.

• Net profit attributable to the parent company was €-37 million, an improvement from €-49 million in Q1 2025.

Outlook and guidance

• 2026 guidance: revenues (ex pass-through) €4,075–4,175 million, adjusted EBITDA €3,425–3,525 million, RLFCF €1,900–2,000 million, FCF €600–700 million.

• 2027 guidance: revenues €4,255–4,455 million, adjusted EBITDA €3,605–3,805 million, RLFCF €1,945–2,145 million, FCF €975–1,175 million.

• Management confident in sustainable free cash flow growth and progressive shareholder returns.

• Acceleration in network densification and investment in the U.K. and Spain expected by 2027, with potential for earlier upside.