Telefônica Brasil (VIVT3) Q3 2025 earnings summary

Executive summary

• Achieved strong growth across all key business lines, driven by robust commercial performance, customer experience focus, and enhanced profitability, with a focus on mobile postpaid, fiber, and B2B segments.

• Net operating revenue for the nine months ended September 30, 2025, reached R$43.98 billion, up 6.6% year-over-year, with net income of R$4.28 billion, a 12.8% increase from the prior year.

• Highest-ever postpaid net additions and continued mobile outperformance, with 69.8 million postpaid accesses (+7.3% YoY) and 102.9 million total mobile accesses (+1.4% YoY).

• Accelerated convergence strategy reduced churn, boosted net additions, and increased fiber penetration, with 7.6 million fiber homes connected (+12.7% YoY).

• The company completed significant corporate actions, including the acquisition of Samauma and IPNET, and a share capital reduction of R$2 billion.

Financial highlights

• Total revenues increased 6.5% year-over-year, with mobile and fixed services both contributing; consolidated net operating revenue for Q3 2025 was R$14.95 billion.

• EBITDA for the nine months was R$17.05 billion, with an EBITDA margin of 38.8%; Q3 2025 EBITDA was R$6.49 billion, margin at 43.4%.

• Net income for the first nine months reached R$4.3 billion, up 13.4% year-over-year; Q3 2025 net income was R$1.89 billion.

• Free cash flow approached R$7 billion, margin at 15.6%; operating cash flow before leases was R$11.2 billion, up 12.4% year-over-year.

• CapEx for the first nine months was R$6.9 billion, up 3% year-over-year; CapEx/revenue ratio declined to 15.7%.

Outlook and guidance

• Positive trends expected in both mobile and fiber segments, with continued focus on customer retention and ARPU growth.

• Commitment to distribute at least 100% of net income as shareholder remuneration for 2025 and 2026; 2024 payout reached 105.3% of net income.

• Asset sales from concession migration to ramp up through 2028, with R$4.5 billion targeted.