Tele2 (TEL2) Q3 2026 earnings summary

Executive summary

• Organic end-user service revenue grew 2% to SEK 5.7bn and organic underlying EBITDAaL rose 3%; record Q3 equity free cash flow was SEK 2.3bn.

• Growth spanned the Baltics and Swedish B2B, partly offset by competition in Swedish consumer and broadband markets.

• 2026 guidance targets 4%-5% organic underlying EBITDAaL growth and CapEx-to-sales below 10%; end-user service revenue guidance remains low single-digit growth.

Financial highlights

• Q3 revenue was SEK 7,603m versus SEK 7,442m; underlying EBITDAaL was SEK 3,146m versus SEK 3,157m, with organic growth offset in reported results by the Baltic Tower transaction.

• Operating profit was SEK 1,981m versus SEK 1,839m; net profit was SEK 1,410m versus SEK 1,290m.

• Equity free cash flow reached SEK 2,302m versus SEK 1,777m; LTM EFCF was SEK 6,729m, or SEK 9.69 per share.

• Underlying EBITDAaL margin was 41.4% versus 42.4%; 9M underlying EBITDAaL grew 6% organically and 3% reported.

Outlook and guidance

• FY 2026 organic end-user service revenue growth guidance remains low single-digit; organic underlying EBITDAaL growth guidance is 4%-5%, narrowed from low-to-mid single-digit.

• CapEx-to-sales guidance is below 10%, revised from 10%-11%; it excludes spectrum and leases and includes the Baltic Tower transaction impact.

• FY estimates include ~SEK 180m spectrum payments, ~SEK 600m net financial payments excluding leases, and ~SEK 1.45bn tax payments.

• Q4 EBITDAaL growth faces a strong comparison, competitive pressure and a challenging macro environment; Q4 investment is typically intense and depends on decisions and hardware conditions.